focusIR May 2024 Investor Webinar: Blue Whale, Kavango, Taseko Mines & CQS Natural Resources. Catch up with the webinar here.
While everyone on here seems to be blaming Avanio, it looks like they've been stuffed along with everyone else. They put in £3.5M at 4p a share just a few months ago (Sept). and now they are having to stump up another £2M at 26.66 times less.
The real problem here has always been the bloody wells that have never flowed increased production rates no matter how much money AM and co. have chucked at them. They have just defied logic and reason.
10 billion shares at 0.15p = a m/cap of £15M - back to where it was a week or so ago, when there were 950 million shares at 1.5p.
Mind you what has happened does reflect the total incompetence of the management, which is actually the one and only issue that I've always had with this share anyway.
Maybe it's time some of the idiots on here looked at the bright side of life. Who knows, oil may suddenly hit $200 a barrel next week and even COPL might just mange to stay ahead of their debt. Look at what happened at Hurricane. They were just about to hand the assets over to the bondholders when oil hit $20/$30/$40 barrel but then the price of oil suddenly recovered and the bondholders were all paid off in cash. Anything can happen.
Maybe you should just trust, or at least bother to read the posts from the so-called derampers, who have been predicting problems here all the way down from the relisting after the suspension at 60p. Instead of filtering them, or letting the mad rampers lead you astray.
You can't include the Bond conversion shares, unless they all get converted on Tuesday, which is probably unlikely. Besides it will be worse than that because "the Company will grant the Purchaser warrants equal to at least 100% of the number of New Shares, with each warrant entitling the holder to purchase a Common Share at the Subscription Price, expiring 26 August 2028" so that will be another 1312M shares as well.
This was the trading halt announcement:
Canadian Investment Regulatory Organization Trading Halt - XOP
December 29, 2023 at 09:03 pm
Share
VANCOUVER, BC, Dec. 29, 2023 /CNW/ - The following issues have been halted by CIRO:
Company: Canadian Overseas Petroleum Limited
CSE Symbol: XOP
All Issues: Yes
Reason: Pending News
Halt Time (ET): 3:45 PM
CIRO can make a decision to impose a temporary suspension (halt) of trading in a security of a publicly-listed company. Trading halts are implemented to ensure a fair and orderly market. CIRO is the national self-regulatory organization which oversees all investment dealers and trading activity on debt and equity marketplaces in Canada.
SOURCE Canadian Investment Regulatory Organization (CIRO) – Halts/Resumptions
© Canada Newswire, source Canada Newswire English
This was only a temporary suspension.
And Canada did not say that the share was being suspended due to any financial matters, simply that it was being suspended pending an announcement. Also the RNS did not state that the share was going to remain suspended pending the outcome of the restructuring, etc. But then again it did not say that trading would resume but I think that it will.
There are 1 billion shares in issue and the placing is for another 1 billion so there will be roughly 2 billion shares in issue and at 0.15p the m/cap will be about £3M. Believe me the share price will never fall to zero.
Well it won't hit zero will it. The placing is at 0.15p which is only slightly lower than the closing price on Friday. Also I remember a share from a few years ago that reached this same position and all they did was add another 0. So down from 0.15p will be 0.095p etc, etc.
Nobody answered my questions from earlier. Maybe I am still on everyone's filter list. And all I did was very occasionally post that it all looked a bit fishy. Not to worry.
Can some one please confirm that COPL is still trading, albeit probably at a lower share price to reflect the new placing shares to be issued. I know that the Canadian listing was suspended prior to the announcement but I can't see anything saying that trading would resume after the placing, etc RNS. Cheers
Sorry, to continue.....Friday's announcement in Canada please.
COPL have done a placing for USD2.5M - about £1.95M. With that completing around mid-January 2024 is it business as usual till then and after? ie is COPL still trading or is the London listing going to be suspended.
Does that just satisfy the Senior Lenders conditions or did COPL need the extras funding for working purposes - or both??
What is the reason/purpose of the Chief Restructuring Officer and what is he likely to do.
Cheers
From RNS dated 4th December 2023:
Tom Evans, Pennpetro Energy's CEO said:
"These are brilliant results for our first full month of oil production from our CT1H well in Texas, and pleasingly exceeds our original estimates of circa 20 barrels per day. We have seen some days reach oil production rates up to 410 bopd, and we are still waiting for the well to settle into stable production. We are still seeing a generally increasing trend in our daily oil production, which is certainly highly encouraging, and it may take us another month or so to see the well finally settle down to a steady state flow rate."
Target = 20 bopd
Actual = 161 bopd - that is a great result.
They haven't even established flow rates yet so it is a bit early to worry about declining. So far the results are very good, especially considering they went ahead with the first workover with an expectation of as little as 10 to 20 bopd.
Even without Horse Hill this sounds a pretty good prospect. $255,000 revenue for 1 well all paid up by the 20th of the following month is a great start. I seem to remember a podcast saying that they had another 10 wells to work over.
The results are not so important as the Post Period news:
Post Period:
· Pennpetro embarked on a workover of its Chalk Talk #1H ("CT1H") well in October and commenced an extended well test on 1 November.
· November oil production from CT1H was 4,827 barrels at an average of 161 Barrels of oil per day ("bopd").
· Oil sales for the month of November totalled 4,599.08 barrels.
· Pennpetro put in place an oil sales agreement that sees the oil it sells for the month paid to Nobel Petroleum, its 100% Texas subsidiary, on the 20th day of the following month.
· Net cash received for November's oil production (after tax) was US$329,658.09 which equates to US$255,032.62 net revenue interest (after taxes and royalties).
· Extended well testing of CT1H continues.
· The workover of Chalk Talk 4H well commenced on 8 December and is ongoing.
So net cash for November was $255,000, all paid up. That was for production from the first workover, Chalk Talk #1H. They have now worked over a second well, CT#4H, and another 2 workovers are planned to start soon. With 4 completed that could be $1M per month net revenue after taxes and royalties. All for a m/cap of just over £2M. Sounds good to me.
Well Noble Helium are pretty confident they have already hit Helium in their 2 drills and are soon going to be flow testing and are already making plans for early monetarisation. At their recent placing price the NHE m/cap was equivalent to £32.5M (though it is trading at a bit less than that currently). That is nearly 4 times the m/cap of HE1 which is a big reversal as for so long HE1 had by far the bigger m/cap of the 2 companies.
From Noble Helium's recent presentation:
Mbelele: The story so far
What we’ve found at Mbelele
• Probable 10-15m free gas column at crest containing N2 and high He.
• Better-than-expected, thick, high quality stacked reservoirs with excellent flow potential.
• Estimated air-corrected 2-3% helium exsolved from downhole fluid samples, now enroute for lab analysis.
• A prolific helium system / potential new helium province with enormous upside across basin.
What’s next
• Mbelele-2 now cased and suspended ready for flow test.
• Confirm helium content from lab analyses.
• Drill and test probable gas column at crest.
• Flow test Mbelele-2 in Middle and Lower Lake Beds.
• Continue negotiations for early monetisation strategy.
This all goes to show that the current m/cap here and that is including the placing shares - 3402 million - at £8.5 M is stupidly low.