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.
I don’t blame Graham for being downbeat, this is a joke , but not a funny one , be interesting q& a , hopefully some kind of reassurance that we haven’t been done like a kipper . Gla
Sound will not be the only ones suffering dont forget there will be other eyes watching that will be just as frustrated with the Moroccan Tax authority decision whether right or mistaken its now final unless GL appeals
ONYM has a lot of skin in this company as well as Italia Fluid and of course, the various banks that GL has mentioned.
No one wants Sound to hit a wall here as to start again with someone else would take years and years they havent got
What a nightmare this has become.
Difficult to understand how they can interpret the same set of rules so differently. Not a good sign really.
Looking forward to the Q&A…..
......could be interesting.....we are on the cusp. Was that the reason for the event?
I suppose if you contest again you put it back into the long grass.
I think there will be a different tone now. GL was very downbeat at the end, was that necessary??
At the end of the day....the tax has got to be paid......but where's the money coming from?
I hope you’re right. Can’t help thinking the Moroccans would have forced the issue if they felt the company couldn’t swallow it. They wouldn’t shoot themselves in the foot would they? Or would they???
Good post Ps 2025 will be a good year so its not the end of the world or somewhere worse, we could say we are just in somewhere miserable, liken it to being told you have won 2 weeks holiday in Clacton, you know its not nice but at least your not dead ,you just feel like it
Lets be positive here ,we get some great company as a farm in , frack the he55 out of the drills we are going to stimulate and increase the daily scuff rate by 90% ,the tax bill will be a distant memory ----------- hopefully
At least it`s out in the open and the reaction is over played looking at the numbers. Whether it`s contested or not, they still desperately need the gas, so still all to play for. GLA
Last buy was 6/3/20 @ 1.3p looks like a tiny partial buy cheaper today but blocked on ( D )
Two placings 29/7/20 @ 2.215p and 8/6/22 @ 2p .
Can see a first buy on ( D ) 31/7/17 @ 42p
Chart shows 90p 21/9/16... Can not see a CA.
Btw, I presume the tax bill is in Moroccan dirhams (MAD). Graham calculates it's about 10% less in dollars due to exchange rate fluctuations. That doesn't help SOU, though, because GBP has fallen about the same amount as MAD vs. USD. On the up side, iirc, the gas is priced in USD so a net benefit to SOU should rates stay similar.
It will be interesting to see if Sound decide to take it up with the Moroccan courts. Legal fees would be high though and I wouldn't be confident of a fair outcome.
Just to clarify though the RNS reads as if the $19.7m is in addition to the $2.6m to $22.3m total. Correct?
Ditto mebo2. That's what I've been wondering about for a long time.
ktf: "Morocco needs the gas, they're not going to shoot the golden goose."
The gas *IS* the golden goose. SOU is just its current minder. The ruling seems pretty grotesque but it is what it is. It seems a whole lot less likely now that SOU can wangle their way out of it. It's basically the worst case scenario.
Obviously it's completely manageable if SOU can spread the payments out AND defer the first one to 2025. That's the first year that SOU's net income turns positive according to the SP Angel valuation, assuming all other things go according to plan.
Yes he did say it wouldn`t be the end of Sound that`s why I don`t understand the wording of the RNS
He did say at the Agm if it went against us in the long term it’s not the end of the world.
I wouldn’t be surprised of a placing but I’m a tad worried that the big fish in the background want a hurry up on this & wish it was in bigger hands??
I would have liked to think Graham would have been wise enough to prepare for all scenarios. This was always an option so shouldn't come as a surprise. As always this share never fails to disappoint.
unless they have again gambled more than they can lose.
assuming the worst and sound have to pay the tax bill as it stands it will NOT finish the company.
a long payment plan will likely be agreed. Morocco needs the gas, they're not going to shoot the golden goose.
Hi Kirk,
You were lucky to start selling so early. I kept selling into the drops and had sold all my 100k shares well before they hit 50p. Parsons putting his shares jn the blind trust and Marco divvying up shares to all his partners was a sure sign that things weren’t going well. Brian was also very equivocal, like after the deep dive. Parsons kept telling him to be more upbeat. What stuck in my throat was “nobody is going to lose money investing at these levels” when the sp was 80p. I have that on video. There was a guy on PANR ADVFN first time round in Texas. He bought in the teens and sold at 80p. Made no secret of it. People cursed him, called him an idiot. He said he had enough to buy a holiday flat in Spain and build an extension on his house and he was happy with that. Price went to £1.82 before it fell to earth again. I made some money there too, sold on the drop well over a quid. But in both cases a small fraction of what the company had been pumping. Which hurts.
Ha ha parsons bit !
You may be right about RNS, who knows, well GL does obvs
do you think maybe the intended audience for the rns is not just sound shareholders?
I do.
btw, I stubbed my toe earlier walkimg the dog, I blame parsons!
There is nothing positive in the announcement. They seem to be giving up.
Can`t understand why it was worded like that, it was obviously going to trash the price
f***
they can't keep arguing it, gonna have to face the music at some point, f'ing parsons still screwing us over from his actions, guy's a crook.
placing to cover the cost ?
Well, that RNS was suboptimal :(
you seem to be a bit of a panicker!
tax ruling against SOU.. its now insolvent