Member Info for Fronteracheckin

And answering with clarity. Love that.

Also those weirdo's commenting on the SP - the volume being traded is less than in my pocket change, grow up hahaha

Seeing a lot of posts suggesting we must get an RNS tomorrow morning ahead of the presentation. I don’t think that’s a reasonable expectation, and it’s worth grounding this in how AIM and UK market rules actually work.

We literally had a full Operational Update only days ago, which covered:

production status (H1, Gazelle)

H2 being shut in for winter

receipt of a farm-in proposal for Block XX

PetroChina contract progress

SunSteppe detail

If the company had any additional material information already known at that point (signed deal, confirmed new production rates, abandonment decisions, etc), it would have had to be included in that RNS. Under UK MAR, companies cannot knowingly sit on price-sensitive information to release it later just because a presentation is scheduled.

So the idea that management is deliberately “withholding” big news until tomorrow morning doesn’t stack up.

If something genuinely crystallised after the last RNS (for example overnight or today), then yes, it would need to be RNS’d immediately. But absent that, there is no regulatory or logical reason to expect a fresh RNS just because a presentation is happening.

What does matter tomorrow is:

how the farm-in proposal is framed

timelines and confidence around concluding a deal

clarity on Gazelle optimisation and cashflow

how H2 is positioned going into spring

separation of oil capex vs SunSteppe funding

overall tone, confidence, and execution credibility

That’s where sentiment will be shaped.

The presentation is about context, colour, and direction, not hidden disclosures.

I saw that guy tullow a while ago, went through his posting history 4-5 years ago as I was that interested and he was legit. I've lost plenty here and there, but never half a milly 😬

I see a certain Weirdo Maiden is still posting in his free time, interesting way to spend your free will and limited lifespan 😂😂

This is a brilliant Abz

Why the March 2020 RNS on Block XX Is Still Highly Relevant Today;

Worth revisiting the 23 March 2020 Operational Update, because it explains exactly why a farm-in to Block XX now makes sense and why this asset was never meant to be a one-well story.

Back in 2020, following the Gazelle-1 and Heron-1 discoveries, the company made it clear that Block XX was being progressed toward full field development, not opportunistic production. The focus then was securing the Exploitation Licence so the project could move from exploration into development under the PSC. Importantly, the licence application covered both Heron and Gazelle plus surrounding near-field exploration potential, not just a single pad.

As part of that process, Petro Matad commissioned a Competent Persons’ Report, which increased the mean unrisked in-place oil for the Heron structure to 194 million barrels, a 20% uplift on their internal estimate. From that, the company submitted a development base case of 33 million barrels recoverable, using a conservative 17% recovery factor. That figure was explicitly described as in line with Mongolia norms, with upside if modern techniques were applied.

Crucially, this wasn’t just theoretical. Specialist reservoir stimulation studies concluded that modern stimulation, pressure support via water re-injection, and alternative well architectures (slanted/horizontal/radial drilling) could significantly improve recovery and productivity compared to legacy Mongolian fields. These techniques were highlighted as not yet widely used in Mongolia, meaning Block XX carried genuine technical upside beyond initial flow rates.

Fast-forward to today, and this context is critical. The current production numbers (H1, Gazelle-1, and the paused H2 re-test) are early-stage datapoints, not the end goal. Block XX was always envisioned as a multi-well development project, where value is unlocked through scale, optimisation, and repeatability — exactly the type of project that benefits from a well-funded partner.

That’s why the recent RNS stating that a farm-in proposal has been received, following a completed due-diligence visit, is so significant. A partner is not looking at a single well producing X bopd. They are looking at the same long-term picture laid out in 2020:

a sizeable in-place resource

a conservative but meaningful recoverable base case

proven discoveries at Heron and Gazelle

and clear levers to improve recovery and field economics

In short, the 2020 RNS shows that today’s farm-in discussions are not a reaction to short-term issues, but a continuation of a long-planned development strategy. Block XX was always intended to be developed properly, and partner capital is the logical next step to turn that plan into reality.

For anyone wondering why third parties are interested now, the answer has been in the RNS archive for years.

Stockspas, what happens if I sell but then there is no silence, a deal is struck and the price rockets on a huge rerate.

What happens if I follow the financial advice you are handing out? I assume you are legally qualified to be giving out financial advice as you are giving out facts such as "the SP will drift after that"

"Will" instead of 'could, may, might' is stated as a matter of fact. Let's hope I don't face financial detriment due to your financial advice, or the court bells may come knocking :)

Please keep up the free financial advice.

On second thoughts I have submitted the questions now so that I don't get busy with something else later and forget;

https://www.investormeetcompany.com/meetings/operational-update-4/questions

This is where to submit questions (submit them one by one like I have)

Strength in numbers everyone, submit your questiond as you know full well the trolls will be posting stupidity on there

I will submit them this evening ray once we've had some more back and forth on the board (ignoring the seeming weirdos who are spending their weekends commenting on a BB for a company they're clearly not invested in 😂😂)

If we all agree a set of questions to take forward we can fire them over to the company and hopefully they will answer them

From the AI: refined list I would actually ask (tight, high-impact)

If I were submitting questions, I’d strip it down to 8–10 sharp questions, phrased to force informative answers:

---

Farm-in / capital strategy

1. You’ve confirmed receipt of a farm-in proposal for Block XX and completion of on-site due diligence. What are the remaining steps required to reach agreement, and when do you realistically expect this process to conclude?

2. Without disclosing sensitive terms, can you outline the scale of funding and level of carry required for a Block XX farm-in to be considered successful for Petro Matad?

3. If the current farm-in discussions do not complete, what alternative funding routes are realistically available to progress Block XX without significant equity dilution?

---

Operational execution

4. Field operations appear to have commenced later than originally indicated. What were the main constraints, and how will 2026 planning be structured to maximise the operating season?

5. In a typical year, how many months of effective field operations should shareholders expect, and how does this align with Petro Matad’s development ambitions?

---

SunSteppe / capital allocation

6. Can you quantify Petro Matad’s total capital committed to SunSteppe to date, and clarify whether future funding is expected to be project-level rather than from Petro Matad’s balance sheet?

7. How should shareholders think about SunSteppe strategically: as a long-term optional upside, or as a core capital priority alongside oil development?

---

Strategic focus

8. With production now established at Block XX and partner interest emerging, what does management see as the single most important value-creation milestone over the next 12 months?

---

Final view

The substance of the original questions is mostly right.

The delivery needs tightening to avoid sounding like a grievance list.

Focus on capital, timing, execution, and dilution and you’ll get far more useful answers.

The best questions are the ones that management cannot answer vaguely.

Let me know what you think Ham, if you want to put together a refined list I will email them to the company (I guess that's what people are doing?) and if we all coordinate our questions we have a higher chance of having them answered 💪

These are great questions Ham, I've fed them to an ai for feedback , let me know what you think and see if it helps you present other questions to the company for the presentation;

What do I make of the current list?

The good

Questions 1–5, 9–10, and 11–14 are fundamentally valid shareholder questions. They go to:

capital allocation

dilution risk

operational execution

strategic focus

These are legitimate and Mike Buck should expect them.

The weaker / risky ones

Questions 6, 7, 8, and 15 are emotionally understandable, but strategically weaker in a public forum.

Why?

They put management on the defensive

They invite PR answers rather than substance

They let Buck reframe the issue as “market volatility” or “long-term focus”

They reduce the chance of getting new information

For example:

Asking why RNS tone depresses the share price won’t get you actionable detail.

Asking why a raise was done at a low valuation will get a generic “market conditions” answer.

Asking why good news wasn’t highlighted is subjective and easy to dodge.

Those questions might feel satisfying, but they don’t move your understanding forward.

---

2️⃣ Which questions are genuinely high-value?

These are the ones I think really matter:

🔑 Farm-in / funding (core)

When do you expect to conclude the Block XX farm-in?

What are the remaining gating items to completion?

What scale of capital injection are you targeting to make Block XX self-sustaining?

What does success look like for MATD in terms of retained WI and carry?

These are gold. They go straight to valuation and dilution.

🔑 Contingency planning

If the farm-in does not complete, what is the fallback funding strategy?

Is asset-level or project finance a realistic alternative to equity?

Again, very strong.

🔑 Operational execution

Why did field operations effectively start late in the season, and what lessons are being applied for 2026 planning?

How many months of effective field activity can shareholders expect in a typical year?

This gets at credibility without sounding accusatory.

🔑 SunSteppe clarity

What is MATD’s total capital exposure to SunSteppe to date?

Going forward, will SunSteppe be funded at project level rather than through MATD equity?

How should shareholders think about SunSteppe’s value relative to the oil business?

These are fair and important, especially now SunSteppe is being highlighted more.

You only outbid when you know proposed business terms? LOL

You don't even get the details, terms or even price offered when buying a domestic property! You think they reveal all to all parties before a deal is signed and sealed? LOL

That's not how business negotiations work mate, they don't reveal commercially sensitive information just because it would be mean and not fair to any other bidders.. they force everyone to propose their best offer 😂😂😂

Why a “farm-in offer” now makes sense, strategically

MATD is no longer pitching Block XX as “concept”. They can point to:

a functioning export route via Block XIX,

established production operations at Heron-1 and production from Gazelle-1 (with optimisation work ongoing),

and an explicit statement that a counterparty had progressed to draft agreements and LOI type steps earlier in 2025.

That combination is exactly the sort of de-risking that makes a partner go from “interested” to “here’s a proposal”.

The key “tells” to watch for in the next RNS (to judge whether the offer is genuinely strong)

If MATD announces a deal, these details will tell you whether it is strong or weak:

WI retained by MATD (are they keeping a majority, or at least a blocking stake?)

Size and firmness of the funding commitment (is it a real programme, or just an option?)

Upfront cash to MATD (does it strengthen the balance sheet, or is it all conditional?)

Who pays for what (carry structure and whether it includes facilities, not just drilling)

Operatorship and control (is MATD operator, and what veto rights exist?)

Timeline and milestones (clear triggers for earn-in, not vague “best endeavours”)

Enjoy this information boys, facts and logic Vs stockmaidens stupidity :)

GLA

If I were sketching three plausible headline scenarios (not predictions, just what would be commercially coherent):

Conservative / “toe in the water”

Partner earns ~20–25% for funding a modest, defined programme (say, 2–3 wells plus essential facilities work).

Small upfront payment to MATD.

MATD stays operator.

Base case / “enough to matter”

Partner earns ~30–40% for funding a multi-well programme that can genuinely move Block XX toward a repeatable development cadence.

Meaningful upfront cash to MATD (separate to capex).

Joint operating committee, partner gets stronger governance rights.

Aggressive / “transformational”

Partner earns up to ~50% but funds the sort of programme that can unlock a real plateau and pay for major enabling infrastructure.

Larger upfront cash and/or reimbursements for certain historical costs.

Potentially even a pathway to partner operatorship (though MATD likely tries hard to keep operatorship, because it is strategically valuable).

3) “DrillCo / reversion” style (rarer on AIM juniors, but possible)

Partner pays for wells and gets a temporary preferential share of cashflow until they get a return (payout multiple), then WI reverts.

This can be attractive if the partner wants downside protection and MATD wants to retain ultimate WI, but it is more complex to explain to AIM markets.

Ballpark economics: what size of “carry” is plausible?

Using Edison’s stated well-cost environment (and their Mongolia context), development wells in this region have historically been described as low cost relative to global onshore, and the system often needs stimulation to maximise deliverability.

So a “credible” Block XX farm-in is unlikely to be a token commitment. It probably needs to fund enough activity to change the slope of the story, for example:

A multi-well programme (not just 1 well), plus

surface and logistics upgrades that improve uptime, handling, and export reliability (especially if they want to raise plateau), plus

potentially some appraisal/step-outs to firm up field development planning.

A neat sanity check is that MATD previously agreed a US$28m carried programme for BG to earn a very large WI in a different context.

Block XX is now producing, so the WI earned for a given spend might be lower than 78%, but the “serious money” scale is still a helpful reference point.

So what could a feasible Block XX farm-in offer look like?

When a company says “farm-in”, in practice it usually means one of these structures (or a hybrid):

1) Classic “earn-in by funding” (most likely, given MATD’s wording)

Partner earns X% WI by committing to pay for a defined development programme (wells + facilities), often staged.

A realistic template for Block XX could be:

Stage A (entry): Partner pays upfront cash to MATD (corporate cash, not project spend). Think of this as “seriousness money” plus compensation for sunk time, data, and de-risking.

Stage B (earn-in): Partner funds 100% of the next N wells / work programme (a “carry”), and earns 20–40% of Block XX on completion.

Stage C (option to increase): Partner can earn up to 40–50% by funding further wells, or by funding central facilities, crude handling upgrades, gas handling, power, water management, etc.

Why this fits the RNS language: MATD basically told you the aim is partner-funded wells plus an injection of capital large enough to get Block XX to a “self sustaining development pace”.

2) “Pay-in + joint development” (less carry, more immediate WI purchase)

Partner simply buys a % of the asset for cash, and then both parties fund capex pro-rata going forward.

This is feasible, but it conflicts a bit with MATD’s own stated ambition that partners should fund a work programme (ie, reduce MATD’s funding burden).

MATD is currently 100% working interest and operator of Block XX, and crude is processed/exported through PetroChina’s adjacent Block XIX facilities under the Oil Sales Agreement.

On 30 July 2025, MATD explicitly said its goal for Block XX was partners funding a work programme in return for a working interest, and specifically that they want “an injection of capital to fund enough wells to allow production to reach a level that will sustain the ongoing development of the reserves.”

On 12 December 2025, MATD said they have received a proposal to farm-in to Block XX, hosted a due diligence visit to Mongolia and the Block XX facilities, and are in discussions.

Independent analyst research (Edison) describes Mongolia PSC terms as attractive but with royalty 5–8%, cost recovery capped at 40% of gross revenue, and contractor profit split around 45–60% depending on rate. That matters because it shapes how quickly either party gets paid back.

Same Edison note also frames the Tamtsag Basin analogue: PetroChina’s Block XIX wells can average ~40 bopd but some reach 200–300 bopd, and fraccing/stimulation is common in the tighter system.

There is a direct historic precedent for how MATD has previously structured value for a partner: in 2015, BG agreed to earn 78% in Blocks IV & V in return for funding a US$28m work programme, plus ~US$4.55m cash consideration to MATD (partly disclosed in multiple places).

That 2015 deal is not “like for like” (frontier exploration vs a producing block), but it gives a very useful anchor: MATD has historically accepted dilution of working interest in exchange for (a) a big carry and (b) some cash to the company.

StockMaiden assured me news tomorrow or Sunday and to invest here but being down 70% in the last couple of months is making me nervous!

I almost invested here based on StockMaidens non stop ramping and blind faith. What is the current situation? why are we down 70% in a few months here? whats the current debt position of the company? any news due tomorrow?

Exactly my thoughts proq

StockMaiden LOL.

Yeah he would accept 20m for 80% of block 20 and he is pleased about it

I knew the derampers would try pull something out of their back end but that is actually incredible.

I personally think he will just hand over block XX for a firm handshake and a few pints (weatherspoons only)

Hahahahahahahahaha

Uh oh.. someone tell doc we're green already ..

Hope his shorts aren't round his ankles!!!