RE: RNSToday 16:07
UKOG has never learnt to live within their means - lead by an overpaid unsuccessful CEO who has a record, for whatever reason, of persevering with lost causes - out of the three wells SS has drilled the testing of both BB and Pinarova should have been abandoned long before it was, even with HH-2z pi were strung along until it was impossible to hide the failure (HH-1 was drilled by the Angus team I believe).
Now, and for years, instead of sorting out HH, getting HH-2z converted to an injector (although this may not be the certain win UKOG suggest) and drilling HH-3 they've wasted millions in Turkey and now more millions on the Portland port gas storage vanity project.
It hasn't even been bad luck - the Kimmeridge was a long shot out of structural closure, and AME were clearly farming out their dross it Turkey - and for BB failing to shoot seismic before drilling in the wrong place is unforgiveable - and then admitting the wells in the Resan section of the structure had issues with water - that was either known about but not mentioned or they're due diligence was lacking. Pinarova was a ridiculous but at least cheap well.
Unless there's a dramatic improvement in the SP nearly 4 billion shares won't even fund salaries for much more than 6 months, and they obviously won't, by 29 May, have cleared the loan notes so maybe a billion of the 3.8 billion will have to be set aside for that.
The current plan seems to be let's hope some mug comes along and funds Loxley 100% (and perhaps making the same mistake of not shooting seismic first) while hopefully some international investment company joins the Portland Port project in some unspecified way.
Maybe either happening will improve the SP but then there's the threat of issuing billions more shares the moment the SP improves - and with a guaranteed 10% of the shares voting in favour UKOG could call a GM at any time to get the confetti factory up and running when the 3.8 billion run out.
I had hoped that the AGM notice would have a plan that wasn't just more of the same but perhaps a plan that accepted cash was constrained so maybe somethng along the lines, for instance, that unless participation is assured in the near future the Portland Port gas storage project would be put on hold for a later round, as they already accept they may not get an allocation in the 2024 round and would then apply in the next.