focusIR May 2024 Investor Webinar: Blue Whale, Kavango, Taseko Mines & CQS Natural Resources. Catch up with the webinar here.
i agree with that, Ollie239.
I imagine these are delicate negotiations all the way round - alternative fund source(s), public markets or farm in. The RNS would indicate that it is hard to go the public route right now. Obviously harder to get to a drill when one of your options is effectively shut down for a period of time but let's see what the other options (including the preferred one) throw up. Not saying they are definitely going to get a deal but I am hopeful.
Best of luck to people on either side of the punt.
I guess based on these rumours we now have competitive tension between a capital raise on the public markets, the other fundraising alternatives and a farm-in. Let's see how it plays out.
Is the oil capital conference streamed live? If so, would someone mind posting a link please? Absent all that, a summary version of events from someone who attends would be much appreciated. Thank you
Indirect in nature but possibly better news than the exclusivity announcement from last year!
It is great fun owning this share. Sometimes.
Not off the top of my head. I'll have a look through over the next day or so.
Thanks for the response, tdante. Your reference to other commercial arrangement is in the exclusivity agreement RNS - exclusivity falls away if another commercial arrangement is reached. As far as I can see in the various RNS related to Potter and his contract the shares are conditional on a farm out. There must be some other form of incentivisation in place to get him to write off amounts due if it is he case that a takeover is under consideration. is there some old compensation / incentivisation structure that kicks in at elevated levels and might come into play in the event of a takeover?
The reason I ask is this: All existing share entitlements (totalling 63,567,276 ordinary shares) and options are retained whilst continuing to be conditional on successful conclusion of funding arrangements for an exploration well. How does takeover fit into the funding arrangements? All sensible views welcome.
If it is to be a takeover rather than a farm in, how are Potter's 63m shares treated? Clearly this assumes a no deal scenario doesn't materialise...
I do wonder if the EA will come after any farm out. That way local politicians can maximise exposure and get praise for something they didn't do (same the world over). For this to happen clearly the farm out and funds would need to be contingent on gov't approval. Just a thought...
The reference in the recent fund raise RNS to 'more flexibility in ANY negotiations' is interesting. Clearly having more cash will help in the event that the current exclusivity does not result in a deal being agreed. Separately, I wonder if the exclusivity that exists can be circumvented in the event that the company is sold? The major can retain its exclusivity it is just that there would be a different owner of BPC (who won't do a deal with them). That could create some sort of competitive tension even under the current framework. Just guessing but regardless of whether or not that is the case i'm feeling pretty good about this one these days and am hopeful of making a decent return. Best of luck, folks.
DD77 - difficult to argue with that assessment.