It is the same company - Power China - that is involved in both projects.
I agree, though, that the main stumbling block is the 'green' CEO but even she might be forced to change her stance or risk losing her job and any value to her large holding in ORCP shares.
Super RNS but it has just been mismanaged. Firstly this was clearly leaked last Friday when the SP rose by over 50% and then today the stupid MM's opened it right up at nearly 12p which was obviously too much of a jump-up even for this excellent news. It is quite possible this might re-rate over the next few days in a similar way to PHE which 3 bagged over a 5-day period after news that was less positive than the news here.
I see that GCM are finally making some progress with their coal-to-power project in Bangladesh. The 2 projects - ORCP and GCM - are pretty much the same so maybe this one will come back to life too. Imagine that. This would be an easy 10 or 20 bagger.
Jennings holds a lot of shares anyway, on top of the 100 million warrants they have just exercised. According to the holdings RNS of 6th March they have a Long Spreadbet for 16 million shares and they also hold 56.65 million in ordinary shares.
I'm not sure why I have posted this and what my ulterior motive might be if indeed I have one. Maybe it was just a fact of interest.
And nobody is arguing about the warrants. They were issued historically. They have been exercised. That is £210,000 net to Corcel. Excellent.
The only issue is why EXT should choose to get involved in the process and take out an option to buy these shares from Jennings. And even that isn't an issue unless they make a special point of unnecessarily mentioning that they are going to buy them for a bumped-up price and actually quote the price. It would have been enough for EXT to buy them at an undisclosed price.
I am also dubious of the figure of 12,500 bopd that was issued once as the previous peak flow rate of the TO-04 well which was the old production well on the site of the current TO-14 drill. It didn't seem to make any sense as the total peak production was only 17,500 bopd for the whole field and that was spread over a lot of wells (figures of 7 wells or 9 or 12 spring to mind though I have not been able to find a correct figure despite reading through a lot of RNS's).
17,500 bopd spread over 7 or 9 wells in only an average flow rate of around 2000 bopd and far, far short of 12,500 bopd. Maybe that figure was a mistake and it should have read 2,500 bopd.
Yes and I was being lured in by Mr Know-it-all - Edgein - and his lackeys on here to the point where I was beginning to think that maybe this well was going to flow at anything from 12,500 to 20,000 bopd and the share price was going to shoot up to 3p, 5p even 10p - who knows - but after that recent article, when typical flow rates of 2,500/3,000 bopd were mentioned, I have now come back down to earth with my expectation. With CRCL only holding an 18% working interest those sorts of flow rates will not equate to huge sums.
Not to worry though as the super-loaded Executive Chairman and his Italian mate will bump up the share price if it looks like falling short of shareholder's expectations. We are obviously in good hands.
I have not missed the point. The point is that Corcel has received £210,000 for issuing 100 million new shares. Whatever happens to those shares after they have been issued is of no concern to CRCL or to the existing shareholders.
I should have added 'As this announcement is by a company half-owned by the Executive Chairman who already owns nearly 25% of the existing shares of CRCL then this is not only insider trading but downright illegal.
The very fact that EXT has publically announced the figure that they are going to pay Jennings for these shares is in itself an attempt to influence/bump-up the share price. As this announcement is by a company half-owned by the Executive Chairman then this is not only insider trading but downright illegal. Shame on them!!
Actually for a company half-owned by the Executive Chairman to publically announce that they are going to purchase some outstanding very cheap warrants once exercised (as they are now) for a very bumped-up sum is about as dodgy as it gets. Shame on them!!
I'll repeat this post:
Yes and maybe the exact figure to be paid by EXT to Jennings for these shares should be kept private. Maybe they should leave it that they have taken ownership of the 100 million shares for an undisclosed sum.
That is because EXT has not as yet purchased these now-exercised warrants for a bumped-up sum. As of yesterday's RNS, Corcel has received £210,000 for 5.58% of the shares in issue, which actually represents a rather large dilution to existing shareholders, so yes, the share price should have gone down.
No doubt if it goes down too much then EXT will step in to bump it back up.
My point is that I would rather see the flow test results and the less dubious goings-on in the meantime the better.
Yes and maybe the exact figure to be paid by EXT to Jennings for these shares should be kept private. Maybe they should leave it that they have taken ownership of the 100 million shares for an undisclosed sum.
All EXT are doing is creating a 'false market' by bumping up the share price. CRCL or their shareholders are not directly benefitting from this 'dubious' announcement though no doubt EXT, as holders of 25% or whatever of the total shares in issue, will seem to benefit.
At the exercise price, which is all that CORCEL have received in monetary terms for these warrants, the m/cap was £3.93M. That was in fact rather harsh dilution, now being covered up by the 'dubious' goings-on of the Executive Chairman.
In fact it all seems to be aimed at protecting or bumping up the share price at a time when the flow test results should be doing just that.
The only figures that count are that Corcel got £210,000 for 100 million new shares.
The fact that Jennings is due to make between £1.2 and £1.5Million for this outlay of £210,000 is not of the slightest difference to CRCL or their shareholders nor is the information that EXT, who already own a huge part of CRCL, no doubt acquired equally cheaply, are going to acquire even more. EXT also have a very large Loan Note in operation, which would see them acquire even more of the company, possibly at the expense of shareholders and even Institutional Investors getting a 'fair' chunk.
In my opinion, there have been a lot of very poor posts on here recently regarding these cheap warrants that appear to be by posters who are getting a little too desperate to see the share price bumped up by whatever means possible.
Personally, I would hope/expect the share price to rise on good flow test results or other similar positive news and not because the management here has offered to buy some very, very cheap warrants for a bumped-up price.
As it said in the RNS's, these 100 million share warrants when exercised represented 5.58% of the total shares in issues and with an exercise price of 0.21p raised £210,000 for the company (at I might add a m/cap valuation of £3.75M, a figure that has been left behind and exceeded many times by the progress made in Angola).
A company half owned by the Executive Chairman, A. Karam, which already owns quite enough shares in CRCL, then publicly announces that it is going to buy these 100 million shares for a price of between 6 and 7.5 times the price they were exercised at. Apart from the very dubious timing when the management is obviously in a 'closed period', this doesn't make the slightest difference to CRCL or the amount CRCL received for these warrants or even the share price, which actually was badly diluted by the large, cheap exercise of the warrants.
Jennings stands to make a lot of money from this sell/purchase but then they would have been easily able to sell this amount on the open market, or even wait for the share price to rise further on progress in Angola.
Why exactly the management further increasing their already large holding or the high profit made by Jennings should make any difference to the share price or be good for the shareholders is quite beyond my comprehension. All CRCL have got from this exercise is £210,000 no matter who owns these 100 million shares and as this represents 5.58% of the total shares in issue the exercise can be seen in the real world to be little more than a rather harsh dilution to shareholders.
AJMHO
Yes, if this transaction goes through before the flow test results then it will be 'insider trading' without doubt.
For a start they will be creating a 'false market', as the purchase price at 1.2p is way over the current market price and a substantial quantity of shares changing hands will influence the share price. That cannot be allowed, especially when the transaction is involving the CRCL management and particularly when there is important news due imminently.
Plus, as Karam is both the Executive Chairman of CRCL and joint owner of EXT, there is no way this transaction can proceed without it being an insider deal full stop. As soon as the flow test results are out in the public domain then that is fine but any transaction before that will be an absolute and clear break of market rules. I'm surprised that the management here are potentially making such a mess of this and even arranging the option agreement during what can only be a 'closed period'.
Plus if the flow test results are not very good they will look big idiots anyway.
No accusations from me either - though I can guarantee that they will not get away with it.