Member Info for CynderLad

Just saw this on Twitter, seems that SS and Lenigas cannot hide from their past history.

https://twitter.com/OutSanderson/status/1397564861266251778?s=20

Sageman,

To buy into a company where the CEO refuses to buy stock and refuses to do investor calls is the biggest RED light. Look at small honest companies on AIM, there are a few, and you'll see the CEO invested, and you'll see the CEO doing proper investor calls.

SS is the epitome of terribleness and the board are complicit in the wrangling's. All with their snout's in the same trough.

Trollhunter.

I think you need to do some proper analysis on HH before laying claim to increased output.

1) HH1 has seen a significant drop in oil production in the last 6 months, all eyes on the OGA stats next week to see what was being produced 3 months ago. Will it be as much as 90 bopd? I very much doubt it.
2) HH1 has seen an increase in water cut, water disposal is not free. UKOG will need £500k+ to convert HH2z into an injector. So that will be further cash calls for PI's to stump up and more dilution.
3) UKOG have never provided the asset level operating costs of HH as a site. There are fixed and variable costs. We know the rough order of costs on a per barrel basis, but we do not know the production levels at which HH remains commercially viable. 50 bopd would probably keep it trending water, but you would need a lot more than that to provide positive cash flow into the coffers. But unfortunately, with the rest of the UKOG operational overheads (e.g. BOD costs) the output at HH would probably need to be 200 bopd+
4) Mention of HH3 & HH4 in recent RNS's, that's all very well. But where's the £10m+ cash coming from? Oh yes, it's coming from placings. You can write Turkey off as a cashflow generator unless they pull off a miracle, and even then, they will need to plough any proceeds from Turkey back into Turkey. The issue with Turkey is that the potential cashflow/income is gobbled up by the next drill. ANd by the time they have drilled 5 wells (2027?) they may only be getting a trickle of oil from all the wells combined (go see the analysis by Penguins on the recovery of oil from the other nearby field for an example. It's not Iraq).

But, sure, you'll say I'm a troll. The reality is, I'm just smart enough to do some proper digging and analysis rather than praying at the altar of a deceitful CEO.

Ocelot,

When you state "it was the AGM of 12/05 which created uncertainty", I would disagree, it is more a case of "everything that SS has ever said has created the uncertainty, he has misled and deceived at every opportunity and avoided provided hard facts and bad news".

How anyone can support this CEO is beyond me.

I've said it for months. UKOG never had sufficient funds to complete the drill of the first well in Turkey. Nor did they have the funds to pay for the costs of putting it into production. AME will be laughing at UKOG right now. They probably have another partner lined up to buy in on the cheap as UKOG have stumped up £500k (in my opinion) of the costs already. But UKOG do not have the remaining £3.1m to complete their Turkey commitments, nor do they have £1.6m to cover their UK operating costs through to the end of 2021.

I think it is a well known fact that P W Well Services negotiated a deal for their equipment that was twice the fair market value. That gave PW the mitigation against losing out on when selling shares. The knew that UKOG would not be giving them cash, it was always going to be shares. As for SS, he would not be bothered giving them double fair market value in shares as it does not impact the UKOG bottom line. Giving all those shares away only hurts PI's.

PW Well Services probably made a nice profit on the shares, but they better act quickly with these ones at 0.21p as the SP is heading south of 0.13p very soon in my opinion. Their profit is shrinking each trading day.

p.s. given the history of UKOG over-paying for assets, then PW Well services probably negotiated double bubble on their kit to mitigate the risks of them not being able to sell their holdings for a decent sum. Sando probably agreed to double bubble as it doesn't hurt him or the bottom line. It only hurts the PI's.

PW Well services could not say no to the shares. It was already laid down in black and white. It was really just a question of timing and how much confetti they would get. That was their risk and something that they knew they were exposed to when they signed the agreement on the sale of the kit to UKOG.

UKOG were never going to give them cash. Sando needs cash to line his own pockets.

I feel sorry for the real UKOG employees who are doing the all the back office work, operations management on site, etc. But the board will get paid until UKOG run out of cash.

Ouch. SS buys equipment that they have used in recent months, but for how long will they use that equipment.

£550k in shares. Well that doesn't hit the bottom line for the business, but it stings every single PI. UKOG had no option but to pay in shares.

£550k is $775k USD (spot rate of 1 USD = 0.71 GBP)
That's a mere 11,671 barrels of oil in revenue, setting aside costs.
At 90 bopd, that'll take 130 days of production to cover.

All a bit pointless making those comparisons, as Sharecoin Sanderson will not give two hoots.

Ocelot, "no money, no honey". Turkish folks will not be giving license blocks to UK companies with no cash to develop them.

As I have said many times, UKOG don't have the cash for Turkey. I've been saying it for months. See my basic cash flow analysis for an example of where I believe them to be from a funding perspective.

And as I have said many times before. AME will not do the work without UKOG paying the cash up front. It is my expectation that UKOG will not raise the necessary cash, and thus Turkey is dead.

I'll say it again, and you can quote me on it in 2 months time. Turkey is dead.

And for what it is worth, HH is dead too.

0.03p if Turkey goes south.

Penguins, fair enough. I get your point.
Would be great to chat over a beer or two, maybe at some future point when this is all done and dusted ("dusted" chosen specifically in the context of UKOG).

Penguins,

Do you not think that UKOG could function without SS? They do have operational staff that could run HH without the board telling them what to do.

Do you think that PI's should instead raise a resolution that requires the board to provide full disclosure of all HH data, to provide full disclosure of the services provided by Apex Completions (including all document, invoices, e:Mails), to provide full disclosure of all expected costs for the Turkish dream?

Should SS be allowed to continue in his role given his abandon of responsibility to shareholders? To uphold the integrity of the board in providing full disclosure of all operational data and status to shareholders?

ZYX098. You are not understanding the process for removal of a director. The resolution would be to remove the CEO from his position. That resolution would need to be actively voted against by the nominee accounts, which they will fail to do. The board cannot word the resolution, it's out of their hands. Go look at the ANGUS example provided earlier.

I think the opposite is true. I dont think the campaign is being run by XR, I think it's being run to help PI's protect their investments. Replacement of the CEO with an alternative that is sincere, open, honest and acting in the interests of the shareholders seems to be the call to action. I don't see them looking at a resolution to prevent fund raising as that would be the killer of UKOG. So if XR were running a campaign, then it would certainly be based on cutting off the funding rather than replacing the CEO.

Come on then Sando, where are the Turkey updates? Surely there has been a wooden shed or such like delivered to site that you can photo and Tweet.

As per my earlier posts on LSE. AME do not do work for free and unless UKOG stump up the cash, then Turkey is dead.

As per my post yesterday, finances are in a terrible position:

2nd Oct bank balance : £3.8m (i.e. £1.6m cash in bank + £2.2m placing)
End of Oct bank balance : £3.534m (allowing £266k for wages and oil revenues for HH)
End of Nov bank balance : £3.268m (allowing £266k for wages and oil revenues for HH)
End of Dec bank balance : £3.002m (allowing £266k for wages and oil revenues for HH)
End of Jan bank balance : £2.736m (allowing £266k for wages and oil revenues for HH)
End of Feb bank balance : £2.47m (allowing £266k for wages and oil revenues for HH)
End of Mar bank balance : £2.204m (allowing £266k for wages and oil revenues for HH)
End of Apr bank balance : £1.304m (allowing £400k for wages NO oil revenues for HH and £500k payment to AME)
End of May bank balance : £0.404m (allowing £400k for wages NO oil revenues for HH and £500k payment to AME)
End of June bank balance : TBC - pending Sando's effort to get cash in.

Note, in the above. Only £1m of the £3.6m will have been paid to AME. So they will be short £2.6m

Then there are the UK costs to cover until the end of the year, that's a further £2.4m unless they can get HH producing something decent.

My call. £5m needed to stay afloat until the end of 2021, and they better pray that Turkey give them enough cash to cover the costs of going into production (i.e. EWT kit is not production kit and staff in Turkey do not work for free!).

The difference with the resolution at the EGM will be that PI's will be asked to vote for the removal of the CEO from his position. It is not a vote to support the re-appointment/retention in the role. So if the nominee accounts do not actively object to the resolution, then the CEO will be removed from his role.

This is very similar to the approach taken in 2019 to have Paul Vonk removed from his role on the board of Angus Energy.

An extract from the ANGS RNS (10th Jan 2019) for your perusal:
"The Requisitions each propose that shareholders be asked to consider ordinary resolutions (the
“Resolutions”) to appoint each of George Charles Bingham, the 8th Earl of Lucan, and Adam Salim
Habib to the Board as directors (“Proposed Directors”); and to remove Paul Abram Vonk, and any
director appointed between the date of the Requisitions and the date of the general meeting, from the
Board."

The ANGS GM was not needed as Paul Vonk resigned. See the RNS on 29th Jan 2019.

DYOR, it is not uncommon for shareholders to vote directors off the board, especially when those directors have failed to uphold the interests of shareholders.

I'm supporting the folks clubbing together to oust the CEO.

https://roddersjones.wixsite.com/sanderson-out

Penguins highlights the usual deceit of the CEO and his mates on the BOD. They mislead at every turn through not providing the full unabridged facts and truths.

Tick follows tock, UKOG is a crock!