Roundtable Discussion; The Future of Mineral Sands. Watch the video here.
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Now above $70. It's all starting to fall into line.
GLA
Keep the faith.
35 or lower?
There is some detail on the licences in this document from 2008 when BPC essentially came to AIM. Page 100 onwards. https://d1ssu070pg2v9i.cloudfront.net/pex/bahamas/2008/09/01180256/2008-09-02-bpc_-_admission_document_2008.pdf
If you want to see how the rental and commitments have jumped around, you need to jump into each annual report here https://www.bpcplc.com/investor-relations/financial-reports/ and search for "rental".
does anyone actually have a copy of the Licences? i thought they had never been disclosed. Maybe post a link so we can all read them?
Morpheaous123 - Very sensible well-written post. The only thing as LTH with 90% losses is just hoping that Eytan can turn it around after the disaster that was Simon Potter and I believe partly Eytan' s fault. I am amazed Eytan has been rewarded for the disastrous commercial deals he negotiated with a CEO position but lets give the man a chance. If I can get 50% of my losses back from this share I will be more than happy. All in my own opinion : GG.
Only BPC- 08.12am "just gonna sit tight...no selling,...no additional shares... lets see how eytan moves"
THE MOST SENSIBLE RATIONAL COMMENT POSTED ON HERE FOR A LONG LONG TIME.
GG.
.. is whether you can ever trust this BoD again? I appreciate the need to move on. And the company has set out its vision for the future. But I think we are still owed an explanation for the disaster that was Percy. - it was a disaster however you may wish to dress it. I am also not convinced that a farm-in for The Bahamas license is imminent. I think any major will do what every major did this time round - wait for the results of the drill. The difference now, of course, is that we have another three years wait during which time majors will refocus towards renewables and face an ever growing and sophisticated environmental lobby focussed on preserving jurisdictions like The Bahamas from exploration. There is also a general election before next proposed spud which may lead to a change of direction re oil. You can grant licenses to explore. But do you then need to produce if the political will has gone? I do wonder if the Bahamian boat has sailed.
My concern would be that, as far as I can see, the renewal terms are up for negotiation. The second, current exploration origianlly carried rental fees of $1,000,000 per year (much higher than the first term) but this was cut mid-term to just a fraction after oil prices crashed and the government apparently wanted to help BPC get the drill down.
But now, if they've decided they don't want to support BPC, I don't see why they can't set the cost for the third term at $2m/yr and, let's say, set the minimuim work commitment for year 1 as $1m of seismic, pre funded into escrow. BPC doesn't have that money so it's putting them on the spot to prove their intent and financial capability.
SC's post about the Bahama's license is factually wrong, licenses can be revoked for any number of reasons especially at the renewal stage but it really doesn't matter anyway as without the required drill within the next three years the license will be cancelled but he's right about it not being priced in.
Thursday's rns will be interesting which ever way it goes.
Looking good and see what the benefits of extra oil in Saffron are - as their stick to promises in moving forward. Thank goodness P1 is behind us for now.
I am not anti BPC, I am just stating reality. The present mood of the Bahamas Government is against drilling for oil.
When BPC changes its name, then the website will be changed and all the history of BPC will be wiped. The BoD of BPC has spent 150 million on one failed drill. I would like to see the actual accounts of BPC, but as they are in the Isle of Mann, there is no chance. The company is now too small financially to achieve much without a lot of help from a major. I appreciate Stachild's assumptions but, she should stick to facts and not conjecture. It does not help newbies at all. Her expectations are not facts that all LTHs have seen. I hope that the slim chance BPC has will increase the SP, but I'm not holding my breath. This is a bottom draw job.
have to admit,...because of the persy saga its coloured my judgement here..
just gonna sit tight...no selling,...no additional shares...
lets see how eytan moves
Bahamas License renewal
The latest anti-BPC rhetoric gleefully stated by persons who do not wish to share in BPC’s future success, relates to the 3 year Bahamas renewal from 30 June.
This morning’s ‘sermon’ provides opinion and commentary.
1. Based on the current SP and MCap, the market values the asset, its monetisation, and a potential farm-in (the aim is by Oct/Nov) as zero/zilch/nada. IMO, confirmation of renewal will increase the SP, rather than affect the SP negatively if the Gov plays games for a few weeks to try and extract better royalties.
2. The agreement is not in the public domain, only certain aspects of it such as royalties. If it were, the enviros would not have added its public disclosure as part of its EA case against the Gov.
3. How can the so called self-professed legal experts from ‘Earthjustice,’ provide unsolicited legal opinion on something they haven’t read?
4. Despite having a theoretical license to drill for over 10 years, BPC has and will argue it could not have done so without EA approval. This was only sanctioned in Feb 2020. Even if BPC had $100m in the bank between 2015-2019, it could not have hired a drill ship without EA approval.
5. Eytan and the BoD have stated the license is ‘water-tight’ and BPC has the right to renewal. It is unfathomable that BPC’s lawyers (headed by a serving Bahamas Senator currently in the opposition party), have the skills to negotiate a water-tight contract but leave renewal loopholes.
6. BPC now has a proven track record for funding and delivering an exploration drill SAFELY. BPC will state it will get funding: a JV, farm-in, ex-CERP assets bearing fruit, or raising equity in 2-3 years. There is risk appetite for billion-barrel exploration spuds.
7. The Gov may politicise this and play hardball as there’s an election on or before May 2022. IMO, the underlying intent is to leverage better royalties rather than pander to a few very loud enviros. The Gov would love $10B+ in royalties as the economy and the populous have suffered from a hurricane and Covid-19.
8. If the Gov denies renewal on some obscure technicality, BPC can sue and take the case all the way to the Privy Council in the UK.
9. The Bahamas is a reputable nation, not a banana republic. The State must be VERY careful. If it declines to renew, it will suffer severe reputational damage. Why would anyone, especially foreign entities, ever risk partnering with the Gov to invest in infrastructure such as building a new airport or wind farm, only to be taken advantage of a few years later?
10. Amen
Changing the subject to immediate potential, I’m pleased the resolutions were passed. I plan to participate in the placing tomorrow evening as IMO BPC’s Mcap is seriously undervalued. A cat has 9 lives. BPC has Saffron 2,3,4,5,6,7,8,9, SWP, Suriname and Farm-in potential. BPC is no longer a one hit wonder.
IMHO. DYOR. GLA.
Starchild
https://www.lse.co.
'The share price chart tells the story of bad management over many years. '
The past is the past, time for a new future
Do you mean the share issuance and further 50% dilution?
The share price chart tells the story of bad management over many years.
Layladylay - thank you for the update. That may reduce the SP somewhat. PIs should beR this in mind when investing despite what Star child states. She means well in her daily sermons but this sort of news is not good for her banter
Don't you understand, the licence is Bpc's right, it's not a request to renew it as its already given, it's just a formality. The licence will be given without doubt.
Did you listen to the latest proactive London interview with Eytan Uliel ?
Here it is again if you've missed it.....
......
https://www.proactiveinvestors.co.uk/companies/news/948701/bahamas-petroleum-co-plc-shareholder-qa-948701.html
The government has full legal authority not to renew Bahamas Petroleum Company’s (BPC) oil exploration licences, a major environmental organisation has told the prime minister.
http://www.tribune242.com/news/2021/may/17/govt-not-bound-renew-bpc-licence/
Linton, you get that for free every morning when you look in the mirror.
Enjoy the news flow about to come.
with spudding only days away looking forwar to upward momentum from here. Eytan knows what hios is doing. Looking forward to spudding news next Monday.
I like a good laugh every morning.....
I find it strange that the voting figures are not in the RNS. Without knowing what the actual %ages for, against and abstain it's impossible to tell what support the BoD actually has from the shareholders. Seems like a cover up to try not to sink the OO.
Anyway we'll find out soon enough if the OO has failed.
Bohemia: Sorry - not mentioned
Thanks - any idea how many votes cast?
Starchild:
1, 2 and 3 around 93%.
4 & 5 78-79%
Thanks for your valued posts.