Member Info for Edgein

Leew,

Exactly, its complex for sure but the trail is all there to be followed. From the acquisitions of Atomic and Cuda, what they had what they paid for them under distressed circumstances. The debt method chosen, right before that they had an oversubscribed book build (easy to raise cash the normal way). The long wait from when the plumbing issue arose, their lack of using said infrastructure when upgraded to anywhere close to its full potential. It wasn't to inject a relatively small amount of NGLs.

Stas well look at it this way, for a company to make a discovery like this of around 40mmbbls and build a GGS from scratch it would cost a lot more than what's owed to the SL ($40-50m). All those 30 plus wells alone would cost around that or more. So someone is getting a gift right now for sure at out expense. There's little we can do to stop this now, just wait and see if another bidder emerges. Otherwise its over to the FCA, CAG et al.

Regards,

Ed.

Stas,

I'm still a holder and read this board most working days. Imo if the CAG make real progress and get a result there will be a flood of claims go in here. The way I still see it is the best way to get anything back from this is stay put and let things unfold. Art was always keen to explain how great he was, how experienced and sophisticated he was, how his use of seating wasn't the best it seems. But led him to dig a great big hole in July '23, likely argument from that will be it was shareholders fault, bond holders fault, anybody else's fault but his. He was just a large piece in what unfolded here as we all know.

Regards,

Ed.

Acquirer*

Regards,

Ed.

Stas,

It will be buried in a lot of those documents, likely the big long Sedar filings. For sure it was in an early presentation too, the infrastructure and injected gas at that time was apparently worth $100m. If I'm not mistaken they said it was something like 3Bcf of gas injected then. That of course didn't include the 2P reserves of 40mmbbls gross, that's what an acquiring would be buying, not the net reserves after state royalties etc. COPL paid around $2/boe for those, very small for US light oil reserves. That also doesn't get around to what they found in the CCU/BFFDU beyond that, certainly flowing oil was coming from the Frontier 2, falling off chairs etc. Those CCU workovers became pending the JV etc.

Those lawyers engaged by the CAG will have their work cut out with this one. But it looks like from the company statements and the facts from that Wyoming site they're in it up to their necks, be interesting what a high profile legal rep and class action specialiast will do here, he'll have field day imo.

Regards,

Ed.

Good morning Stas,

Well you did a lot of the ground work yourself by comparing the differences between the production peak in 2021 and how that differed to the injectant volumes from July 2023-December 2023. The most obvious difference from that official Wyoming site was the levels of gas injectant into the field. It was around 8mmcfd per month in mid-2021 and about 3-4mmcfd in 2023. This is a miscible flood/gas injection EOR, very peculiar I would say that they chose only NGLs during this time when it clearly wasn't just NGLs at the previous production peak it was a load of dry gas too. When gas injection rates in 2023 where much less why upgrade the plant to handle 10mmcfd? With further upgrades planned to 12mmcfd?

They didn't get anywhere close to that after the GGS upgrade around our best producing wells. The July ops update, the most damming of all RNS to date, suggested how the new upgraded system enabled them not only to get back to previous production peak, but BEYOND! Strange then they didn't follow a similar injection pattern with the new upgraded system and Art's plan from July. Its all there in black and white.

Regards,

Ed.

It looks like some people are still not getting it. To get the same response to the last oil production peak they had to replicate the same model or similar. That involved injecting around 7-5-8mmcfd of nat gas PLUS NGLs, it wasn't an either or they require both to work in a miscible flood. The NGLs mix with the oil and the gas pressure gives the drive. As it was clearly stated in July, oil production was a function of injectant volume. NGLs at this point are pretty much a distraction, the Wyoming figures show it pretty much just gas recycling from July to December. They need to increase nat gas injection as well as NGLs as laid out in July! There is no other way of getting back to 2700bopd without that, why do you think that the GGS was upgraded to handle 10mmcfd? That wasn't for the NGLs, that was for the returning or recycled gas a result of increase gas injection (which never happened).

Regards,

Ed.

Good morning Calder,

I reckon that spend so far from CRCL is around $3m, they may require one or more wells as per presentation. Spend for the EPS will depend on how many wells they need to hit their production target. We'll have a better idea of that once we see the test rates of these two wells, the presentation suggests expected times for both test periods to end. From my understanding most of the FFD will come from the EPS revenues. They may at some point get RBL once they get that CPR done. We'll know a lot more about their plans in the coming weeks, well results, EPS plan and the CPR. If they could complete the sale of the Ni assets during this time it sure would help for the Tobias appraisal costs, but they do have £9m of that convertible loan in place and are currently debt free so have options. Pretty much uniquely funded for a small cap, some might say almost like a unicorn.

Regards,

Ed.

Excuse me Art, When did I say the wells will flow 12,500-20,000bopd? Which post was that? In fact I have been stating all along that the 12500bopd flow rate was exceptional, world class, very unlike a shallow carbonate wells. Even 2500-3000bopd would be a very good result and a very economic well at $83/bbl. So less lies from you thanks. Just because I can refute all of your points today does that make me a know it all? Perhaps its just because I've been here for about 12 months I'm able to easily refute your points today. Seems like you're getting yourself all triggered over very little. But then it takes all sorts on these boards. Just relax wait for the flow rates and for that option to potentially trigger, that's what I'm doing.

Regards,

Ed.

Art,

Not to worry Mr Karam has stepped down from Extraction so he's not making the decision to do this deal. So you can relax now its all good. :) Their nomad and company lawyers seem to disagree with you. But perhaps you should vent your frustration about this deal towards the company rather than on a public BB. You're the only one that it seems to be upsetting. As a shareholder I'm quite happy that this option is in place, I'm sure Mr Jennings at the moment is even happier.

Regards,

Ed.

Art,

You're a little confused I'm afraid. The only way that Extraction benefit from this deal is if the share price is significantly above the price they're paying. i.e. above 1.2p. Mr Jennings does benefit quite a lot from the deal as his 0.21p warrants, now exercised to shares, are being bought at 1.2p, a great deal for him now. Perhaps a nightmare for him a year or two down the track, we'll see. But look a profit is a profit. If you don't think that Extraction will make a profit on these then that's your opinion. Imo they'll likely do quite well on those. I'm not complaining either as if I want to buy shares below 1.2p right now all I have to do is lift the phone.

Regards,

Ed.

Art,

They are not buying warrants, those are unlisted warrants. The option is to buy shares. Yes those warrants exist, the holders of those have every right to exercise those at the exercise price whenever they want. No surprise that a warrant holder will want to exercise their warrants when the share price has mulitbagged, easy money. Nothing dubious about exercising warrants. If Extraction would prefer to buy 99m shares in the market at 1.2p, I must stay I would prefer to see that rather than them convert 99m of their warrants and having Mr Jennings sell 99m shares at 1.2p in the market.

I'm also curious about what upside Extraction see on that 1.2p, clearly they must see good upside on these 99m share to agree to such a deal. Nothing dubious about that, in fact it shows that Extraction are aligned with current shareholders interests, make a refreshing change to the normal discount deals that happen on AIM. Those normally give shareholders something to complain about,

When the operator gives them the go ahead, then CRCL can announce flow rates, not before.

Regards,

Ed.

Art,

No they cannot do that. That release that the largest holder was willing to buy 99m shares at a 37% premium to the share price is price sensitive information, that release had to come to the market. Had they sat on that and not made it public then that would have been an insider deal, now its not its public domain. Noone can complain, should the share price pass 1.5p, that they didn't know about this deal in place. This company has also said since they drilled those two wells that they're planning an EPS etc, now describing themselves as an Angolan focused E&P; if/when these wells flow the result is likely to be as surprising as someone exercising well in the money warrants or options.

Regards,

Ed.

Art,

Perhaps you weren't in here at the time. When most of these warrants came into existence that was the share price at the time. Then Mr Zhou and Mr Karam came in as cornerstone investors and took shares and warrants at twice, yes twice the share price at the time, the 0.4p warrants. So yes that also was an excellent deal for those of us who had accumulated at 0.2p and below. The company needed the money at that time to clear historic debt and get the Angolan assets in. All Mr Karam and Co have done is create shareholder value since at a rapid pace, hence why its multibagged. Not sure what you are expecting. So these old warrants held by Mr Jennings, Mr Zhou and Extraction, I say well done to them, they greatly helped this little company at that time and Align are now cashing in. Very early imo, but heck a profit is a profit so Mr Jennings choice.

Regards,

Ed.

Art,

I guess you are probably aware that CRCL are an NOP, the timing of the flow test results will be set by the operator not CRCL. In the mean time if their largest shareholder wants to put in place an option to buy 99m shares from a seller in the market they can by all means do so. As a holder I'm not sure what you're making such a fuss about, the deal was done at a significant premium to the share price at the time, neither Extraction nor CRCL are in control of the news flow. So if the flow rates come out and confirm that CRCL are an E&P and the share price goes above 1.5p and that option auto triggers are you suggesting this is a bad thing for shareholders? We'll see if that happens how many will be complaining.

As for dilution, these warrants have been in existence for almost a year now, did you forget about those or just want to be dramatic now? These don't come as a surprise to anyone who has held for at least a few months and did at least the basic research. Most holders will be delighted that the warrants are being converted and being taken out of the market by the largest shareholder at a large premium to the share price. These boards are a strange place at times that's for sure. Shareholders complaining about deals at a premium, that's a first I have to say,

Regards,

Ed.

Confounded,

Exactly, back when all that was happening they just had a possibility of completing the Ni JV and that's about it. I remember days it dipped below 0.2p. Folks then were able to get large orders filled at or below that warrant exercise price. How things have moved on since then with the drilling results in Angola and now the company describing itself as an oil E&P company. Like you say, no wonder those warrants are now in the money. Mr Jennings like all other holders can buy or sell as he pleases. Some will get off at the start of the journey and some much later.

RL yeah that about sums it up, debt cleared and now possible overhang removed from 1.2p. Extraction cannot convert more after that option completes without going over 30%. They must see good upside from becoming a production company to offer such a premium. I guess the market will catch up eventually, perhaps even quite soon.

Regards,

Ed.

Looks like Mr Jennings/Align have exercised those 100m warrants ahead of filling that option.

I do like the sound of our new title:

"Corcel Plc (London AIM: CRCL), the Angolan focused exploration and production company"

Regards,

Ed.

Dafad,

Looks like Mr Jennings was diluted by the recent conversion of CRCL's debt into shares by Extraction SRL.

Regards,

Ed.

Hi Nige,

I sure did. A lot of the vimeo video was also directed at the battery metals side of things too. They're seeing at least another 15 years on the oil and gas assets and also want to run the battery metals alongside that too. So I reckon they'll still play an important role for the company for the foreseeable future. Those Ni assets are still Corcel's at the moment but they're listed in the presentation as divestment in progress so they'll likely still get a mention until the sale completes, but the in production assets being looked at in Angola and other African countries are likely to be oil and gas. Will they pick up more mining assets in the future beyond that, lets see.

Regards,

Ed.

Art,

Not really sure what you mean by complete silence as during that time there's been multiple RNS releases, articles, vimeo video and a presentation. That presentation showed that some wells on Tobias had outstanding production and some had more normal flow rates. The normal wells flowed between 2500-3000bopd according to that article, very commercial for a shallow well, the outstanding TO-4 flowed at 12,500bopd. I'm sure we'll find out in the near term what TO-14 and then TO-13 will do. But yes it looks like the flow rates from the past wells have been anything from very good for a shallow onshore well right up to world class Kurdistan type flow rates (TO-4). If you think you can find better out there for this cap, then go for it, there's a lot of listed O&G companies. I'm staying put though.

Regards,

Ed.

Art,

That is per well! Those would be the sort of rates that AXL get per well and many times what BCE has got. A few of those and they'll be up there at their gross production target. Personally I would count that as a very good start considering the company is current doing 0bopd.

Regards,

Ed.