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The only explanation to this morning’s news is that there is a Tax advantage for the “recipient” …. I wonder who it is ? … Umm .. answers on a postcard please
The MMs are superspreaders this morning which suggests they on't have a clue what's going on either
UN...
They placed for £1m to keep lights on and Directors paid.
This is to satisfy a small undisclosed debt, paid for in stock as their cash flow is all going operationally, they couldnt get credit terms and the supplier insisted on payment up front, the recipient will sell them, MM's moved price up accordingly.
I can't see this being anything else, I would also note the RNS released advising home oil sale price had risen, they are on the bread line.
Can't say it hasn't wound me up, not the sum, the communication or lack of it. They are a listed AIM Company yet KO runs it as as if it's wholly his, it isn't and minority shareholders are treated like mushrooms in my potting shed !
CC,
£70k, that's pocket change and makes no sense to issue shares as they can't be on the bread line unless the oil trader debt had to be settled. Taking company information as fact, the netbacks from export ar mid $40s and basic maths gives me a higher revenue number than at anytime historically. Yes domestic is down from historic levels of $20 but probably recovering. GA costs down, operational activities and costs down ? They were managing the $3.2m annual BNG cost pre Covid and accounts were ok and the barge has added probably $1m pa inc maintenance. They've lost 300bopd from SY temporarily but that wouldn't have made a huge difference in 2020 due to domestic oil price crash.
Work the maths out on a 60:40 split on 1320 bopd using $45 netback from export, something doesn't add up and the financials next month will clarify matters and i'd love to see managements to month 4 2021.
Maybe the recipient wanted 3m shares and didn't want to buy them in open market but we all know the truth. No detail re debt is not acceptable as is director share disposal without following the proper process. These guys better shape up before minority investors start causing issues and as Clive knows from his AST days, certain investors can make things difficult.
Wake up Carver, stop running this company like a corner shop and communicate professionally !!
KK - this is a game of opinions, thats mine mate.
£71k isn't going to make anyone rich, thats why I think it's a forced payment, same as the small placing, things are that bad they are giving shares to someone who isn't Kuat .... never know with this lot.
CC,
Yep, different opinions on some things but if they wanted more cash they could easily pull off another little fundraiser to keep the show going. My sums show more than enough cash and continuing to do operational work does not smack off being on the bread line. Kuat probably out on a bender, drinking to much Koumiss and done his lot on poker.
Anybody with a shareholding in Casper should write to the leadership and ask what the debt was for, we have a right to know. If they don't respond, write to the Nomad, LSE etc. They are not above the rules and more transparency needed, that and Carver's P45, LONG OVERDUE !
It's Clive's pie bill (for this month).
A baffling raise communicated badly. At 2.35 the taker will have to sell them at a loss if they sell now. If it was because we are skint surely they would have demanded a discount so they could get rid straight away,which they surely would do if we were so poor we couldn’t pay them 70k. I’ve emailed Clive for some guidance and will post any replies.
There is no doubt that at current prices for oil then CASP is profitable. What we don't know until we see the accounts is any debts which might have accrued last year, although we do know that as they got licenced for export they switched from being paid in advance to being paid in arrears which . It was extremely bad luck that this more or less coincided with the pandemic price crash. They were paying back domestic traders in oil at one point.
They may still have some cashflow issues but going forward they do not have profitability issues
As you say, accounts will expose the facts. It’s odd that they’d issue shares at a strike price of 2.35p ,exercisable from 18/5, surely knowing that price would recede a little ? The amount is insignificant but why not disclose the creditor ? not doing so causes suspicion and all for a piddling £70k . The increase in domestic prices is putting £90k pm in the bank. Creditor probably has shares and sold them already and this was a little top up, doh.
KK - point is you wouldn't arrange a raise for £71k - too small for the broker to bother with, if it was to settle one bill that was outside of your cash flow abilities so they have printed shares.
That is the telling point for me, £71k sends you skint?
Its real AIM junior struggling miner behaviour.
I don’t agree. If they were to raise it would be another £1m, only reason for not doing that is they can’t or don’t need to. They’re managing the $1m or so quarterly charge from BNG and CE , continuing with operational tasks albeit at a slower pace ,without diluting further so I suspect they’re more than managing. If you do the sums v 2019, they’re generating or should be generating far more revenue as a result of prod licence which more than offsets the additional costs.
I don’t like the lack of transparency and by communicating without detail, it only raises suspicion. The accounts will tell a story and maybe they’ve had to pay oil trader debt but I don’t believe so but the change in payment terms has obviously hurt.
One thing is for sure, they need to get a positive resolution on appeal and convert a few more shallows. If CE is going to earn its keep, sell it and focus on what they can affect.
SY delay to September also points to the fact that regulatory issues are behind as why would you keep oil shut in and not earn tax ?
One thing is for sure, they can’t meet new licence commitments on deeps without additional revenue from somewhere and that has to be partnering if income not forthcoming from CE , BNG appeal or SY.
As always, time will tell.
Can we all agree that we have no idea why they have issued these shares and hope badgernator's email enquiry gets a reply. We can all speculate but none of us actually know. it would be polite of the board to inform us, but we know they're not very good at that. Unfortunately it just provides an opportunity for some people to generate rumours and shift the share price for personal gain
Uncertain,
Much that I still see this as a buy, I won’t be polite when criticism is due and I will tell the leadership team as I see it, we all should. That RNS was another own goal from a PR perspective and the selling has been insignificant at £10k but has damaged sentiment , they never learn !
The one thing that keeps me in here is the fact that KO won’t want to let this go without a fight, especially when his family and chums are all in the game. Not saying he can’t fail but it’s always good to have a leader with skin in the game and private or sale aren’t options.
Agreed KK. I always take your posts as an honest and frank expression of opinion.
Hopefully the raise is to cover court fees or other such admin costs to move things along with the appeal.......often how things are progressed satisfactorily ( a la Cameron )? Would be nice if third party could turn 70k to 140k in a few weeks.
Un...you seem a bit hard of understanding ... im not looking to add here ... have stock to sell as and when... posting opinion not some plot to take yr 200k stock off yr hands.
Well make your mind up CC. One minute you admit that some of your posts have been wind ups and the next you claim you are as pure as the driven snow -:))
CC - agree with you 100% here £71k is a good signal if you want people to believe things are really bad !
No reply as yet from Clive. Baffling way to conduct a business, i can’t get my head round the logic. If we’re in dire straits why didn’t they raise more? If we’re not in dire straits why not explain?
Badgernator,
Don’t know what’s wrong with them, just damaging sentiment. The share beneficiary has lost money if the intention was to sell stock ? or as stated, they may have sold stock pre this allocation ? Just poor management and I for one want to see management change but unfortunately we are but mere pawns in the game.
I still think there is a possibility they are preparing it all for a buyout on the cheap - a'la BCN...
What do you call cheap?? KO is in at 7.1 pence so I would imagine a buyout would be beyond that and I think most of us would be happy with that right now. I understand there are people in here with higher averages than that but can't keep everyone happy. Personally I would like to see a miracle and a deep flowing. We haven't got the Korean on board for nothing.
Interesting point and I had forgotten this TBA but I have some blocks that are well in profit at 7.1p but I really need more like 10p. As before, there was a time when 10p was the median price for this...