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Thanks Welloilled for your reply at 21.29.
If the Farmout agreement was concluded and the $100 million drawn down on 15-4-20 that would have needed Hope's approval . He didn't leave the board until 3 weeks later.
That would suggest that Hope was in agreement with the farm out and an deal had been done with him /Outrider and FRR...
If that was the case though the court cases would have stopped pretty promptly you would have thought but they didn't. We did get an indication that the parties were talking a few months ago and that the cases had been halted .
Hope this link to the docs is helpful - https://we.tl/t-JxMtxBNjJF
Most of the docs is in English (from page 10) and it seems the rest are the Georgian translations.
Might be coincidence but the figure of USD100m figure has popped up a few times in relation to the Award -
"The vast majority of the state's demands have not been met by the international arbitration and it is unclear where the state's profits against the Frontera can be seen. Most importantly, none of the financial claims were met by the state court, a claim that has been challenged since 2013, as if we were misleading the distribution of oil and gas products to the state, as if we were not paying the state the money it deserved. The amount demanded by them exceeded 100 million dollars - they refused. In addition, they demanded the cancellation of the contract, which was not satisfied. Instead, the court granted the state a very trivial matter, which we did not even dispute. We pay the state the advance tax on the entrails every year, and this advance, which was not a large sum and is about $ 200,000, had to be paid to us. It's just that the state has our debt and we were telling it to reduce that debt in that amount. The arbitral tribunal granted this request to the State"
Around November '19, the amount was USD80m but it now is referred to as either $100m / more than $100m / 320 Crore
Looking back at the last RNS regarding Finance before delisting it looks like they had a Financier in the pipeline to lend them $60 million:
https://www.investegate.co.uk/frontera-resources--frr-/rns/financing-update/201812120700021694K/
Perhaps it went through? The way it is written makes it sound that they were quite firm on this. However, FRR apparently had trouble keeping the workers on, paying Lawyers, etc.
The RNS mentions that Zaza was looking to use this money to develop the field. So whether this means the field has been substantially developed already?
I'm personally annoyed the the GG are being such dicks on all of this I'm sure approx. 50 percent of the deal will be a good payer for them. All companies bare going to charge to develop the field so their going to be much the same. The sooner they let FRR get on with it the better off we'll all be.
I don't suppose, and its just a thought, that all this fighting between zaza and the Georgians is just for show.
The licence gets ripped up in july, frontera say they put up a fight to no avail but company goes pop
Then all of a sudden the licence turns up in a company not connected to all the old baggage , outrider , shareholders etc and zaza and the Georgians turn up hand in hand to reap the rewards
Would an SM want to be part of the bad press that will follow a scam like that?
Mole, when looking through the PWC Consolidated Financial Statements December 31, 2012 and 2011, I noticed this on page 7:
“Frontera Cayman simultaneously exchanged $121.6 million aggregate amount of the Company’s 10% convertible notes payable plus accrued interest, for (i) 1,593,853,570 Frontera Cayman Shares, and (ii) $18.2 million aggregate principal amount of new 10% convertible notes due 2016 issued by Frontera Resources Holdings, LLC, a Delaware limited liability company and a wholly owned subsidiary of Frontera Cayman. These convertible notes payable were exchanged for
shares of common stock at a price lower than the conversion price at inception of the notes. The difference in the value of the original conversion price to the actual conversion price was recorded as inducement expense in the statement of operations of approximately $99.4 million. Frontera Cayman also exchanged $9.2 million principal amount plus accrued interest of its related party notes payable for 141,515,879 newly issued Frontera Cayman Shares pursuant to note exchange
agreements”.
https://fronteraresources.com/wp-content/uploads/2017/08/Frontera-Resources-Corporation-and-Subsidiaries-2012.pdf
I also noticed the reference to Frontera Resources Holdings, LLC, a Delaware limited liability company and a wholly owned subsidiary of Frontera Cayman. I have managed to find only limited information on it and another Delaware company, Frontera Resources Corporation; unfortunately I am unable find out if the companies are still active or not.
Frontera Resources Corporation, No. 2714496, Formed 04/02/1997
Frontera Resources Holdings, LLC, No. 5015274, Formed 25/07/2011
Both addresses: 251 Little Falls Drive, Wilmington, New Castle, DE 19808. Phone: 302-636-5401
I notice that the Texas FRC was registered 3 months after FRC Delaware company on 08/05/1997 but the Texas FRH was registered only a week after FRH Delaware on 01/08/2011. A day after on 02/08/2011, FRC Texas completed a merger with and into a new Cayman Islands exempted company (“Frontera Cayman”), with Frontera Cayman being the surviving entity (page 6 of the PWC report). On page 7 it says:
“By operation of the Merger, each share of common stock of the Company (i.e. FRC) has been converted into and represents the right to receive either (i) one Frontera Cayman Share (the “Stock Consideration”) or (ii) £0.04 ($US0.065) (the “Cash Consideration”). As a result, all stockholders of the Company received the Stock Consideration, except for US stockholders who were not “accredited investors” as defined in Rule 501 under the US Securities Act of 1933, who received the Cash Consideration”.
I don’t know if this is valid but if 1,593,853,570 (Frontera Cayman Shares) is multiplied by $0.065 it comes to $103.6m. Could this link to the $100m FRGC’s outstanding debt owed to Frontera Resources Corporation or has lockdown finally got to me?