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^ will need to be patient to wait and see. However upon completion this deal transforms kistos from cash shell to profitable producer (able to leverage existing production and profit against future deals). That is exactly why I invested

Huge deal. It is clearly going to be funded by new equity / investors rather than cash in bank. Existing shares in issue will therefore only be small part (25%) of new market capitalisation and should do well assuming deal completes.

^ yip : in ideal world I would be invested in both (as many are)!
longer term I still think both will come good.

Afraid that I sold out at a loss...

Moved over to kistos at 137p - mainly on basis it will be easier to raise finance for an energy transition company than an oil play. I have been lucky to recoup losses with 25% paper rise in Kistos (though I think their share price is currently overcooked based purely on positive sentiment for Andrew Austin).

Might return to LBE if other funds free up in future - I hope the company / investors will do well in future and will certainly keep an eye. The key is a good first deal and raising finance to make it happen. They were certainly close to that in June... However with rising oil prices the opportunity might be reduced.

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@Whirlaw Stones.
The share price is certainly a little "peaky / over-cooked" for a pure cash shell.
Though I guess that demonstrates the reputation of AA after Rock Rose.
Looking forward I would guess there will be two natural entry points...

1) After first deal. Kistos will then have fundamentals.
2) End of February. Market clearly expecting a deal soon. If it doesn't happen then price will probably drift ?

My *guess* is that value will be added by purchasing producing gas fields which can repurposed for carbon capture in the future ?

> drive sp down/dilute PI. then a private sale to a big fish. shares get suspended and PI get a pittance.

This... My *guess* is kerogen are the bond holder?
If they take over HUR on cheap I smell a giant RAT...

Not complaining about share price rise (having bought in late at 137). However it does add pressure to seal a quality first deal quickly. Ultimately this is a cash shell trading at remarkable 50% premium

Dooooood.... When the RNS cane out you thought it was a good one! Don't say you weren't warned. There might be life in Lancaster : however anyone buying in before dilution is burning their money

> but if they don’t sanction it then its curtains anyway.

That depends on the terms of the bond (which we dont know).
Perhaps Kerogen take control of the assets ?

^ good post : basically Kerogen have the company by the balls.

We all know Phil reads the message board ;-)
Investors deserve to know the answer to two questions :

Q1) Are Kerogen a bond holder?
Q2) If the bond is not repaid could Kerogen take control of the assets in "debt for equity swap"?

This information obviously not in public domain. However we all know Dr Parsley was obviously appointed to the board by Kerogen. He then quit the board shortly after the infamous "kitchen-sinking" episode without explanation to share-holders. Presumably to avoid a future potential conflict of interest?

Hurricane obviously now in a very difficult position. Back in September the board clearly told investors during technical review Q&A that dilution wasn't an option. Now we discover (... yet again) that circumstances have changed.

The "new-board" have successfully trashed share price to such a point that even 50% dilution may no longer be a credible option. This obviously makes funding the future work program very challenging.

Hurricane may no longer have future value for share holders - however it is clear the assets are likely worth something for someone...

Investors now need to ask the reasonable question if the board is working in the interest of themselves or Kerogen?
There is a clear issue of corporate governance. Investor relations haven't answered my emails...

The new board have dropped ball. Kitchen sinking trashed price to such a low level that even 50% dilution would be pointless.

What I want to know is who owns the bonds? Will Kerogen fund the future work programme in return for a controlling interest in the company? If that happens then I smell a giant RAT....

Does anyone know who the bond holders are? Their view point crucial to what happens next. If Kerogen subsequently take ownership of company on cheap (having commissioned the infamous kitchen sinking and appointing Dr Parsley to board) then I smell a giant RAT.

Lancaster may have value to someone. However with share price trashed the option of raising capital via dilution looking unlikely....

Agree.... If you believe in reservoir then wait until after dilution to invest.

One thought though : if Kerogen are the bond holders and subsequently take control of company on the cheap (after commissioning the kitchen sinking and appointing Dr Parsley to board) then I smell a giant RAT.

Either way there is no reason to be invested here :-(

@gino. Best case scenario is your shares are diluted to fund future work programme (as predicted in October). Don't say you weren't warned. It is there in black and white. I won't post again

> Least this BoD are honest and transparent

New board no better than the last one....
Told share holders at the infamous kitchen sinking presentation there were "no plans for dilution".

The new board have trashed the share price to point where dilution makes sense for nobody.
No there is no chance of funding the forward work plan...
Even if bond holders sanction future work the existing share holders will get diluted to oblivion.
Don't be naive and kid yourself the new board has the interest of share holders as priority!

@Gino - you have no idea how much I might have made buying this at 10p in 2016 for the ride upto 60p.
Gloating that several long-term holders have lost money make *you* look like a right ****.
Not least when its clear you dont understand todays RNS or problems company face.

@Gino : remember when you mocked my "d is for dilution" post. Perhaps some humble pie is now required? As things stand all share holders (old and new) at equal risk of complete wipe out.

Gloat about the "new-guard" all you like. So far Marris/Smith and co have done nothing to add shareholder value. As I see it the company has tricky catch 22 situation. Basically they desperately need share price to be higher to raise equity to fund the remedial works. Problem is the kitchen sinking has trashed share price...

The problems company face are spelt out in black and white in latest RNS. I wish all share holders well as I have soft spot for HUR. However don't blind yourself to reality of situation. Buying at 3 or 4p doesn't guarantee profit here