The next focusIR Investor Webinar takes places on 14th May with guest speakers from Blue Whale Growth Fund, Taseko Mines, Kavango Resources and CQS Natural Resources fund. Please register here.
London South East prides itself on its community spirit, and in order to keep the chat section problem free, we ask all members to follow these simple rules. In these rules, we refer to ourselves as "we", "us", "our". The user of the website is referred to as "you" and "your".
By posting on our share chat boards you are agreeing to the following:
The IP address of all posts is recorded to aid in enforcing these conditions. As a user you agree to any information you have entered being stored in a database. You agree that we have the right to remove, edit, move or close any topic or board at any time should we see fit. You agree that we have the right to remove any post without notice. You agree that we have the right to suspend your account without notice.
Please note some users may not behave properly and may post content that is misleading, untrue or offensive.
It is not possible for us to fully monitor all content all of the time but where we have actually received notice of any content that is potentially misleading, untrue, offensive, unlawful, infringes third party rights or is potentially in breach of these terms and conditions, then we will review such content, decide whether to remove it from this website and act accordingly.
Premium Members are members that have a premium subscription with London South East. You can subscribe here.
London South East does not endorse such members, and posts should not be construed as advice and represent the opinions of the authors, not those of London South East Ltd, or its affiliates.
£15k buy... that explains it... hmmmm... might change my mind!
The wait continues.
Best of All
advertised ask keeps rising but ACTUAL has stuck at 5.5?
hmmm... sell the asset and become cash shell? How much will they be able to sell it for?
So basically cash here is now same as mcap... was undervalued this morning at 3.5p... some got a "bargain"
years to conclusion but this bit was interesting:
" PY-3 - The arbitration tribunal, overseeing the arbitration between HEPI and the other uJV partners, is expected to issue a decision prior to end 2018. "
OUTLOOK
· CY-OS/2 - The UOI appeal of the CY-OS/2 arbitration Award is expected to commence shortly in the Delhi HC. Based on past performance of the India Judiciary, the appeal process is expected to take three to five years to conclude. A hearing for the UOI's set-aside application against a UK enforcement order is due to be heard in the first quarter of FY20.
· PY-3 - The UOI's protracted review of the uJV's unanimously agreed revised full field development plan (RFFDP) and extension application has compromised the likelihood that production can recommence prior to the expiry of the PY-3 PSC.
· PY-3 - The arbitration tribunal, overseeing the arbitration between HEPI and the other uJV partners, is expected to issue a decision prior to end 2018.
· GS-01 - It is expected that GS-01 will continue to be mired in a pending dispute over unfinished minimum work programme between the UOI and the Operator (Reliance).
Alasdair Locke, Chairman of Hardy, commented: "Our considerable efforts to enforce the CY-OS/2 Arbitration Award, handed down in 2013, have not produced a meaningful outcome. The UOI has consistently been allowed to adopt strategies to frustrate the enforcement process by the judicial institutions in India, UK and US. Consequently, we are now curtailing funding to the wholly owned Indian subsidiary HEPI and reviewing our strategic objectives for the Group which could include one or more of individual asset sales, a sale of HEPI and a sale of the ongoing CY-OS/2 litigation. I will report back the conclusions of this review to shareholders in due course."
SUMMARY
CY-OS/2
· The Supreme Court of India (SC), after 48 listings over 24 months, overruled a previous Delhi High Court (HC) order and deemed that India Courts did have jurisdiction to hear the Government of India's (UOI) appeal of the CY-OS/2 international arbitration award (Award).
· In June 2018 the Washington District Court declined to Confirm the CY-OS/2 award reasoning that the restoration of the block was against US public policy and given the two parties did not agree on the methodology of computing the compensation portion of the award it could not be confirmed. Hardy Exploration & Production (India) Inc. (HEPI) had been seeking a lower figure than the UOI had represented. HEPI has not appealed the order.
· HEPI had secured an interim third-party debt order (TPDO) against a $9.0 million guarantee fee due from India Infrastructure Finance Company (UK) Limited (IIFC) to the UOI. Upon appeal, the Court concluded that the debt did not reside in the UK and dismissed the TPDO and awarded costs. IIFC is a UK registered company, borrowing and lending funds within the UK, maintains a business premise in London, and the payment transaction was contracted to be from IIFC's UK bank accounts. HEPI did not appeal the order.
PY-3
· The UOI review, of PY-3 unincorporated joint venture's (uJV) unanimously recommended Revised Full Field Development Plan (RFFDP) and application for an extension of the Production Sharing Contract (PSC), has been ongoing for more than nine months which is beyond the time prescribed within the of UOI's own PSC extension policy.
· An arbitration between HEPI and the PY-3 uJV partners continued through the period. Final written arguments have been submitted and the matter is reserved for judgment.
Financial
· Having considered India's SC ruling, to allow an appeal of the CY-OS/2 award in India courts, the Board has decided to write-down $51.1 million of Intangible Assets associated with CY-OS/2 exploration expenditures. This resulted in a significantly higher total comprehensive loss of $54.1 million for the first half of FY19 compared to a loss of $2.0 million for first half of FY18. General and administrative expenditure included legal expense of $2.1 million compared with $0.8 million in the comparable period in FY18.
· Cash and short-term investments at 30 September 2018 amounted to $5.3 million; Hardy has no debt.
OUTLOOK
· CY-OS/2 - The UOI appeal of the CY-OS/2 arbitration Award is expected to commence shortly in the Delhi HC. Based on past performance of the India Judiciary, the appeal process is expected to take three to five years to conclude. A hearing for the UOI's set-aside application against a UK enforcement order is due to be heard in the first quarter of FY20.
· PY-3 - The UOI's protracted review of the uJV's unanimously agreed revised full field development plan (RFFDP) and extension application has compromised the likelihood that produ
However $78m would be nice for a £4m mcap lmao. Tempted to put 500 quid in for a bet.
yes - BUT it's like getting blood out of a stone, a cogent answer out of Trump or a Plan B out of May ... impossible!
SO - still in court.
Hardy may be able to "sell" the litigation and go back to producing oil ...
Here's hoping!
-- BB --
I thought it might be a leak... however the volume is minimal and no really big trades to indicate as such? Spread as usual is huge too... unsure.
so has Hardy won the legal award below?????
CY-OS/2 exploration licence background - Hardy is the operator of the CY-OS/2 exploration block and holds a 75 per cent participating interest. The block is in the northern part of the Cauvery Basin immediately offshore from Pondicherry, India and covers approximately 859 km2. The Ganesha-1 discovery well was drilled to a depth of 4,089 m and on testing the well flowed natural gas at a peak rate of 10.7 mmscfd.
Â
Award summary - relinquishment by the Ministry of Petroleum and Natural Gas (MOPNG) of the GOI was illegal; the unincorporated Joint Venture (uJV) shall be entitled to a period of three years from the date on which the block is restored to it, to carry out further appraisal; the uJV shall be paid compensation calculated at the simple rate of 9 per cent per annum on the amount of Rs. 5.0 billion from the date of relinquishment till the date of the award; interest will then accrue at a rate of 18 per cent per annum on the amount of Rs. 5.0 billion until the block is restored to the uJV. As published in Hardy's Annual Report for the year ended 31 March 2018, HEPI's compensation entitlement amounted to US$78.2 million.
Hi Madchatter, I think I will answer your point with a question, does anyone know the real value here, if there is a deal selling the litigation this becomes a cash rich shell, if the litigation goes Hardy's way then this is even more valuable, if it all goes wrong question is, is there actually any value. Im just happy to be in profit for a change.
I hope something is brewing ... as I am at 7pps ... albeit only a couple of crates of Spam-worth.
every few days this share goes "crazy" with a HUGE spread as any buy/sell moves it wildly ...
hey ho!
-- bb --
Someone knew something to pay well over the odds this morning
I think the relatively low number of shares in circulation and the fact that there are some major holders who are not selling means the free float is pretty limited meaning any jump in volume or sentiment will make the prices jump quickly. anyway just my opinion gla.
I think the relatively low number of shares in circulation and the fact that there are some major holders who are not selling means the free float is pretty limited meaning any jump in volume or sentiment will make the prices jump quickly. anyway just my opinion gla.
Bid and Offer both at 6? Somthing brewing?
a fair bit as there won't be a drain on company resources ...
SP is now taking a bash and spread is ... spreading again ...
grrr.
-- BB --
What impact do you believe that would have?
Last update from Alasdair was they were considering selling the litigation. Maybe there is progress on this.
You think an rns is on its way? Or just hot air, pump and dump
Really BJPenn ? Looks like hot air
Is going on here?? It’s a rocket!
Its 6.3 to buy!