Member Info for highlandsbull

And of course as is often proven the case incompetents are not generally known for recruiting replacement subordinates that are going to show them up. Hence XEL shareholders were gifted with AF, who despite his brilliant track record self promoted on Whalsay, brought absolutely nothing of competence imo to XEL in terms of funding success, as evidenced by the collapse of the company of which by then he was cfo.

Imo he was the perfect gullible dream stooge for them, track record of multiple failures, working way above his pay grade. Apart from the cr*p decisions RC and the XEL BoD consistently made re execution and funding from 2009 on, the new Bondholders (or old lenders in another guise) surely could not have believed their luck when they were able to get Cole as ceo by then to put pen to paper to an agreement that after the company spending $450m+ on a huge proven oilfield, gave them the opportunity to acquire it all for $150m on a default after two years.

Since then it's cost Whalsay a mite more, but if they are back to the old plan A then lower development costs should make prospective partners and funding easier to find, even dare one say it, another float off a proven base.. What a crock this has proven to be for shareholders in XEL.

Quite agree. Most likely of course they were shorting/selling stock acquired as soon as the XEL cash demands went in. But as major shareholders or nominees of same as they had to have become at some point, there was never any public concern expressed by them as the company headed for the bricks. Nor any apparent attempt even being made by management to rescue the sp and in turn utilise the balance of funds still available from that source as part of any rescue package. Just a total silence.

Still beyond me how back in 2011 Smith and Kew failed to get the FSP/SSP approved by DECC after the 6 well in advance of contracting the RN, totally irresponsible, then being held to ransom over a perfectly viable conservative phased plan for a non HPHT field, same broad plan now approved by OGA, necessitating then a $250m EWT. Alternatively why once the RN was in place and EWT concluded they did not proceed on forthwith to FSP, instead packed up and left. Followed up of course by the new CEO cancelling the RBL in place at the time with nothing to support this unfunded big boy plan B other than signing off on a bond agreement that risked, as happened, lock stock and barrel the total demise of the company. This is year 1 BA accounts fail.

over 8 years on and essentially back to the plan that DECC did not then accept..

Have to wonder from the disclosed now list of investors just when did they front up for their stakes, were any one or all part of the original bondholders group, or was Nordic and the Norwegian connection just a front for US investors via their local lawyers through which to run their investment. One or two of these mentioned characters makes one reflect on the Socius/Esousa experience and any possible links to same.. jmo.

The impression is given however that in the absence as yet of any reported industry partner, Warwick has hardly surprisingly, managed to twist his shareholders arms to release the $5m loan balance to maintain Whalsay as a going concern past the audit mentioned concerns to that effect of end 2018.

Would you believe it, the plan being pushed out now appears to be back to the old FSP, of 112 MMstb P50 projection at $33/bbl cost over 23 year lifecycle. Fairclough self promotion as CFO concerning his success in managing the restructuring of the unmentioned XER and securing additional investment from new owners to support the future strategy of the company, No mention of his abject failure to effect this for his self same previous employers.

Some more clarity forced out also re the investors in Whalsay said to include BlackRock, QVT, Warwick CP, and Whitebox out of the US SEC as investment manager for it's own shares in Whalsay.

http://whalsayenergy.com/operations/

Be cautious as to just which Christmas you had in mind, considering we are already into year 3 of the demise of XEL. I have one stock that is now after ten years finally with ICSID!

Wonder by now, as they have to replenish the Whalsay funding tank, if the bondholders are looking askance at the individuals who sold them on the action plan crock to shaft XEL. Of course OGA's 'reputation' and blind faith in the bs it's clear now they were fed, that persuaded them to extend the Bentley lease by further four years to new XER and it's power management, is looking more tarnished as well.

Not hugely relevant probably, but any residual reference to Guildford and RC palace now gone, the Alternative Register Inspection address has been changed wef 2/12/18 to a salubrious block opposite the back end of Waterloo station.

Of possible greater interest perhaps is that with still no announcement of future partners and/or development of Bentley,
they may have to go cap in hand to their backer for a further loan to remain afloat after end 2018 as per their auditor's material uncertainty qualification in their 2017 accounts.

I wonder how Brent at the current $56/bbl range is focusing investors minds..

https://beta.companieshouse.gov.uk/company/04560068/filing-history

In the meantime of course the staff that jumped ship on XEL/XER and defected to Whalsay have at least had their employment extended thereby by an additional two years.

I thought Bentley, including peripherals at the time, in fact might have had a life expectancy of 30 plus years.

No news from Whalsay as yet re their 3Q '18 forecast date for partner(s) selection to develop Bentley. In the meantime as per their 2017 accounts, and the Auditors highlight of Note 1 to the accounts re material uncertainty, guess they are going to have to go to their vaunted institutional investors to prolong their life beyond the critical end point for funding noted then to enable them to continue to trade and meet their obligations after what was projected to be December 2018.

Wonder how comfortable OGA are feeling about the Quad 9 commitments made by Whalsay at the time OGA awarded them the four year lease extension. Jmo..

http://whalsayenergy.com/

Not sure how relevant but XEL accounts indicate payment to XER in 2015 was $10.26m. XER in turn show in their 2015 accounts Directors and staff salaries total approx $8.9m. So the OGA costs as such probably more related to staff time than anything else in terms of resources. One might assume in February 2016 when the six month lease extension to Bentley was given it related more to XEL's concept of the time it would yet take to tie up this phantom partner, and/or new funding or renegotiating with the Bondholders.

Looks like Warwick managed to locate the turbines, as per most else including the forgiven debt of XER to XEL of $330m. The item is recorded in the 2016 accounts at a value of $8.48m, reportedly disposed of for $2.37m.. Wonder if Equinor/Statoil also are being harassed by the 'cfo' for the overdue $1m from the data sale. Cole turned out to be a real philanthropist to all except his shareholders in the end, sure the denizens of the corporate world and headhunters are beating a path to his door, desperate to book him for his consultancy expertise and services.

Yes , forgot to mention as a result of his intelligence and heroic efforts he left XEL bankrupt.

Fairclough's linked one equally self promoting of his sterling efforts to preserve the Xcite operating company and release $150m debt, plus his job of course. No mention naturally of the parent company he assisted in liquidating plus the 309m in shareholding attached to that.

https://uk.linkedin.com/in/andrew-fairclough-17812311b

Yep, the institutional investors are those people unless they sold the debt on. This fellow Mattoni a curious addition, kind of reminds one of the old US Esousa association days.

And how was OGA so persuaded about the 4 year lease extension by people and company such as this, the old XEL/XER hands had to have had much input, clearly more than they ever gave to their former employers and shareholders. Whalsay even forewarning in 2017 accounts of it's imminent demise end 2018 if they do not receive further funding from one source or another.

So as per OGA's advice in the final para of their response, we know RC remained as director in XER until he resigned on 22/3/17. Fairclough, Brennan, Dale and Bower remained as directors until 30/6/17. OGA state the COO and the CFO
were in post at time of the negotiations. Brennan and Dale don't seem to figure to them.

As the aforementioned RC and AF were either past directors of XEL at time of it's liquidation, and all were directors of XER before, during and since that time, it has to be assumed they had after many years in the company, discussions and awards from DECC/OGA, no concept of, or were completely incapable then of considering or negotiating any, never mind four years, Bentley lease extension prior to the expiry of XEL.

Yet miraculously, except for the former ceo who had just departed, they were on the spot to inject their abilities in winning this four year OGA award as continuing key directors in XER under new ownership, and just prior to their resignations as directors from Whalsay Energy Ltd. Amazing co-incidence of happy events, except of course for the shareholders in XEL. Good to know as part of their benefits perks the company provides personal liability indemnities. Jmo..

and in the final para final line character cut off, shd read 'the shareholders in XEL. Jmo.'

correction para 3 last post, 6/17 changes to XER/Whalsay registered names..

June 2017 seems to have been a magic month, near six months after the expiry of the XER lease for Bentley field.

Executives from XEL, and XER renamed Whalsay Energy plc on the 13/6/17, then Whalsay Energy Ltd on the same day, had to have been in discussions with OGA since well prior to the liquidation of XEL on 5/12/16. If not, why not has to be asked of the XEL/XER BoDs at the time. Was the question of a 4 year lease extension never raised by them, or proposed by OGA during that time to support XEL's, reported by the BoDs, attempts to find partner(s) or further funders in the months in 2016 prior to having to succumb to liquidation? Or did this suddenly become someone's bright idea after the liquidation of XEL had been pushed through, the $330m debt of XER to XEL been forgiven, plus the $215m tax credit in XER being retained at no cost other than the $1 paid for the company by the Bondholders appointed liquidator, to the same Bondholders.

OGA themselves note they were aware of the same individuals, most remained directors of XER through the liquidation and supposed XEL asset sale attempt by the 'independent' BVI liquidator, right until after the 6/16 changes to XER/Whalsay registered names. All this during the time of the XER in name application for lease extension, reported by OGA to have been on 16/5/17, and the subsequent award by OGA of the extended 4 year lease on the 23/6/17. These individuals only resigned from the Board of what was by now Whalsay Energy Ltd after everything had been concluded on the 30/6/17. Some still remain as employees of Whalsay.

Why did OGA allow a time lapse to occur between the expiry of the Bentley lease 31/12/16 held by the subsidiary of XEL, a company known by OGA to be liquidated prior to the end term of the XER lease. The XER company name was not changed to Whalsay until 13/6/17, and then OGA award near six months later an extension of the same lease via same directors who were present during all previous negotiations, to this company that changed name just prior to said award.

And how did OGA consider newco XER/Whalsay had any better capability than XEL/XER before, other than by the huge value of a four year lease extension they would not award to XER at the time it was an XEL subsidiary. As Whalsay state in their 2017 accounts they will be INSOLVENT themselves by end of 2018 if a partner or funder for Bentley is not found before that date.

Whalsay as has been demonstrated had effectively no ability to develop Bentley other than the setup they engineered for their acquisition of XER and it's asset, plus a $15m loan injection from the new owners. With no partner they accepted the commercial risk/option of trying to find new partners or funders from the proprietary and staff information they had of the XEL experience, but with the key added advantage of a four year lease extension awarded by OGA against an expired lease, for which payment to FDP state had been made by others, the shareholders i

Perhaps imo in the case of XEL it may be hard to differentiate outright stupidity from implication of any fraud.

Fraud could arise offshore through the myriad of BVI, Cayman Islands, Panama and the other anonymous boltholes, with respect to the hard to understand offshore finance options taken up, any asset acquisitions, operations costs and the rest. Or even payments made to do little or nothing. There are cases of funders paying commissions, in fact was there not on one occasion a disgruntled broker for an XEL loan suing the funder in connection with a dispute over the amount of a finders fee? Perhaps useful to kiv successors to Panama papers and the like showing up of more disclosures from the swamp.

Of course there's also the interpretation of various 'incentives' paid out for assistance in the hanging of XEL, the survival of XER, and questions over fiduciary duties and conflicts of interest one might take a view on, taking an opinion on considering what borders on improper behaviour. Jmo.