Member Info for Helpful

Hey Boring Boy, obviously you are 100% correct as always...🤣

https://www.footboom1.com/en/news/football/2134106-drc-felix-tshisekedi-participates-in-peace-match-with-displaced-children-from-goma

DYOR

Well the President is back in town, which should mean that the CoS is also back in town!!!

Who knows?

DYOR

Some interesting trades!!

DYOR

Not interesting in enticing any mugs. I already have you, Dukey and the others as mugs: why would I need anyone else?

As I keep explaining to you but it doesn't penetrate. You have it wrong.

I might start using that one, "bigger picture".

zz

Boring Boy, this is about your judgement: lunch money here but "serious money for me" at Zephyr. BOD having a rollicking good time at SH's expense, losses and sp heading south; yet you spend all your time posting here. Maybe you are posting on the wrong board? The most you can lose here is your "lunch money" but over there you can lose serious money (in your own words).

Another example of poor judgement?

zz

I know you are sensitive about non-performing BODs stiffing companies for lots of money. What do you reckon to this?

"According to the company's annual report to December 2023 Chris Harrington's remuneration for the whole year was £500,000 which is identical to his remuneration for 2022. So he didn't even get a pay rise."

SP heading south, losses of £3m for the last half year. Are you sure you are spending all your time worrying about the right company?

There is a lot more potential downside at Zephyr compared to RRR: after all, it can only go to zero.

zz

Boring Boy, why do you make stuff up?

1. Not looked at it and not relevant to me. I am more interested in the asset side of the balance sheet but not hugely so. The assets are undervalued given the rise in gold and copper prices.

2. Where and when did I say I was advising on the Elephant IPO?

3. I am sure that RRR will release an RNS when one is required: no doubt you read all the stuff to do with MAR and now realise that an RNS is not a discretionary thing.

My view was and is that RRR is in a good place. It doesn't mean that there aren't issues to navigate.

DYOR

More good news for Namibia:

https://finance.yahoo.com/news/pel-83-second-campaign-2-120000113.html

Sintana has an interest in the onshore block to the South West of Elephant Oil's block.

DYOR

H50, Boring Boy says that you, "shows his complete and utter ignorance." Now that is something you must take seriously, after all it is something he has considerable expertise in.

DYOR

$2,647

The resistance still seems to be $2,650.

DYOR

Nike, no company extends the life of warrants without a reason. I have actually been in the same situation with another company. It didn't do it as a favour, it had a reason.

To give you a little insight that the Geniuses on here won't know: warrants can be extended for regulatory reasons. It is normally in the Warrant Deed (also something new for the Geniuses TM Boring Boy).

Here the warrants were extended outside the deed.

I won't amplify, more fun to watch the Trolls ventilate.

DYOR

Boring, you again miss the point. If you don't know what words mean, it is no wonder you don't understand stuff.

So a Mr Super Accountant but you don't know about charges and Companies House and you don't know about escrow. Only someone who doesn't know about and understand what escrow is would mix up "escrow" for "eschew"..

Difficult I know, but I would struggle to argue with someone who knows what they are talking about in a foreign language.

DYOR

Boring Boy, you are so unintentionally funny. You have me LMAO. You are a modern Mrs Malaprop.

*Escrow not Eschew.

This is part of your problem, you don't know what words mean.

Eschew: deliberately avoid using; abstain from.

"he appealed to the crowd to eschew violence"

Escrow: a deed, a bond, money, or a piece of property held in trust by a third party to be turned over to the grantee only upon fulfilment of a condition. 2. : a fund or deposit designed to serve as an escrow.

Funny!

Did you not do English at school?

DYOR

Https://apnews.com/article/china-us-tech-semiconductor-chip-gallium-6b4216551e200fb719caa6a6cc67e2a4

DYOR

Boring Boy, whether Zephyr should have extended the life of the warrants has nothing to do with RRR. Go back to the start and ask, why is the BOD is handing out favours when it had no need to?

Anyway, as they say Russia, Moscow: Just been made inside on something and have read the deal terms....

Missing you already.

zz

Again, Boring you miss the point. The company should not have extended the warrants, it had no need to do so. 89,566,666 at 7.5p. Lets suppose that they can sell at 9p down the road. That is a riskless profit of £1,343,499 to the holders. That is money that would otherwise belong to the shareholders. If they can sell at 10.5p it is double and so on.

If the holders can sell at 9p then likely Zephyr could raise on similar terms if the news is good. Why let someone have a free profit? They should have at least charged them a fee.

One of my mates has some of the warrants BTW! Thought you would like that. He thinks it is a good game.

Anyway, I really must do something useful.

DYOR

Why not read what I wrote and then consider it? You will find it is exactly on the money.

Boring Boy, this really does show your limited understanding.

Regardless of the price it is still dilution. The warrants will only get exercised if the share price is at a significant premium over the warrant exercise price. It is 18 months extra life.

If the share price is much higher than the warrant exercise price, why would it be at that level. Well I would suggest that it can only be off the back of serious good news. What good news? Well the lateral has been successfully completed, the flows are good, the EUR is good on the well and a new CPR can be produced for the field giving a decent NPV. So lets suppose that is the story: well, a competent BOD would not issue equity, they would take out RBL (look it up).

So if things work out, no need for equity funding. If it doesn't work out, who cares? The extension gives a free ride to the holders at nil cost to them now. So why would the company do it? Well it can only be that in some way or other they are a favoured group. Now it could be that they are people who would do RBL or BIAPO but nonetheless why have they been given a sweetener now? Would they give better terms in 18/24 months time because they had a sweetener now? I don't know.

You need to learn how to think like a corporate finance guy if you want to understand these things.

Anyway back to doing something useful: again, look it up.

DYOR

Https://x.com/sharedycat1/status/1863868835763269887

DYOR

Mr Super Accountant, as usual you either deliberately or unknowingly miss the point.

I said nothing about risk reward. The question is this, to be more explicit: the company has said that it will not take on more dilutive funding and that it is close to an asset level funding deal (we won't go into how asset level funding affects the SP), that its cashflow covers overhead and yet it has extended some out of the money warrants for 18 months. So you are a Mr Super Accountant and you are very big on Corporate Governance: in what world does a company with cashflow and asset level financing decide for nothing in return to extend warrants?

Two possible reasons IMHO: the holders are people that the company might want to keep sweet so they can tap into them at a later date or secondly, the company foresees a need for further capital (dilution) and this is less embarrassing way of addressing it. Less embarrassing in that PIs won't pick up on it and berate the BOD.

So it strikes me that dilution is coming regardless of what Z says. I do notice that they have done well on the hedging.

DYOR