Member Info for Interestking

Hi Groover.

Is that “Little Italy?”
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You’ve got to feel for the folks who left an order to sell > 1.5 mio @2.6p this a.m.

P_I
Well said mon ami - we have a great team!
Enjoy your cuppa!
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Star
I quoted Kipling yesterday and he does make “exceedingly good cakes!”
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Keith
Wearing my “multi- clouded coat!”
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Yonny - thanks for your kind words Sir.
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Hi Folks

Yesterday as has been proved so far today was one for cool heads.

The combination of CLN not telling us anything we really wanted to hear and subsequent overdrive of “what if” thinking and INDICES/POO shenanigans caused many to disappear up their own backsides, which with a loo paper shortage is not where you want to be!!

To repeat that mentioned yesterday The CLN RNS was simply about telling us the state of play on a piece of the puzzle that was expiring and needed extending. That is what we got and NOTHING more.

Folks were hoping for bells and whistles to be rung and blown and disappointment ensued resulting in over zealous re analysing of all criteria.

N.B. Any piece of the puzzle could be RNSd on any day now so expectations should be as high as previously in fact.

RIG confirmation
Insurance confirmation
BG Fees negotiated (which I think some believe is a negative but indeed will be a positive result in cash flow for us.)
Drill date - April Fools DayJ
Long form contracts signing
Loo roll increased production @ manufacturing level.
Bonum releasing a new suntan lotion called “Blue Skies.”
CLN conditional fulfilment achieved by all of the above.

AND ultimately a Farmin partner @50/50 with all expenses to date reimbursed!- That bit good enough Bonum?

GL
IK
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Harry well said mate.
A good well balanced Team.
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Harry re license fees - the issue is whether we pay any at all or indeed a rebate
The negotiations are related to the stonewalling by BG for many years re REGS thereby preventing progress by BPC.
The BG in fairness agree that some compensatory deal needs to be applied to license fees paid during that time vis a vis futures fees.
In other words this is a potential positive to CAPEX and not a negative and certainly not relevant to preventing the drill as the amounts are relatively small. The Company obviously want a positive outcome but it ain’t a game stopper.
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Hi Harry

When you play poker do you show the other players and spectators your cards mon ami?
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Folks

I have found it very useful to read the RNS several times bearing in mind that it had to be issued as today was the expiry of the extension.

IMHO it is simply reporting facts of the new arrangement that has changed the dynamic of the funding arrangement somewhat.

That is all it does.

The fact that folks were expecting some sort of all encompassing final bit of news is clouding the content.
E.G. "Entry into a definitive contract for provision of a drilling rig."
This does no mean there is no rig.
The holdup could mean that they do not know for how long the rig is needed. The Farminee may agree the rig identified BUT the % of partnership is yet to be agreed as discussed.
Or indeed any number of other permutations.

People are looking for the bad news in these turbulent times and as usual seeing the worst case scenario.
There is nothing in that RNS that implies delay of drilling etc. but folks think the worst.

All IMHO of course but panic, uncertainty and high expectations are a powerful hallucinogenic.

Rudyard Kipling:
If you can keep your head when all about you are losing theirs etc......

GL
IK
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Hi Folks.

Its important to remember that the CLN is still available i.e. $13.3 mio .
However we now have the option to reduce by 50% if we wish.
The obvious conclusion is that there are other funds potentially available from a 3rd party on better terms. Possibly another Family Office? The issue now with oil price drop is would that 3rd party now turn and run.
If a Farminee is in the frame then the 50% CLN may be part of negotiations i.e. BPC has X amount of cash to obtain Y % of share.
Remember also that S&E are trying to be thrifty and do not want to draw down funds until the last minute to reduce funding costs which explains the 15 May 2020 extension option.
The Insurance issue is straight forward -you cannot insure an unspecific item. Farmin negotiations going on preclude a specific item as Major may have their own kit.
Rig contract again is not fully contractable due to the same reasons i.e. Farminee may have own kit. Therefore CLN conditions cannot be met until Major decision is made.
Major negotiations explains the discussed issue of the last few days of:- which rig?
27th April becomes a date to watch re EA vis a vis licence fees issue i.e. needs to be agreed by then. This may also contribute to the 15th May date rationale.
The £1.5 mio commitment to subscribe by 15 April probably makes us good for the cash required to go it alone. It leaves the residual £8.75 available if required but relinquishable on Farmin.

In summary I think this is just a way of giving majors a little more time to finalise a deal.
Something had to be agreed and RNSd by today and this still keeps the CLN on the table but also keeps open alternative cheaper funding options. (I guess if they could have the time over again an extra week or two on the original CLN extension might have made a big difference.)
We have obviously been hit badly by timing issues AGAIN and to be honest any Major’s hand is somewhat strengthened with POO crashing. Keep in mind however that the minimum criteria for viability from the company’s perspective is 200 mio BOO @ min POO of $30 (and that was when a Drill cost was priced circa $100mio - years ago. Plus obviously POO WILL go up again.IMHO
This is all about minimising costs and dilution and juggling farmin negotiations.

SP is and will continue to be suppressed in the short term until Macro issues - INDICES and POO are stabilised.
We just have to wait for final details in what I am still confident will result in us drilling relatively soon.

GL
IK
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Jim

Nice post mate on all levels.
Cheers.
IK
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Prosp

Moi aussi mon ami - just poured second glass of Sancerre and enjoying it a bit too much and quickly.
However think we will need some form of tranquilizer to get through next few days!

Bon Chance to all LTHS and come on England and Eddie!
IK
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Oust
You are quite right :
I bgt 20000 @3.8495 @ 15.43hrs.
No sign of it anywhere.
Oh funnily enough the big “sells” turn up around that time!

Some one on here said that MMS can’t manipulate. I worked with them - oh yes they can.
All part of the game folks.

“Rumours “ mentioned. Again part of the game.

GL
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Star.
Thks for that.
For folks info:
Re Alan Burns BPC founder.
Mr Burns is perhaps best remembered in Perth business circles in recent years as the founder and long-term chairman of Hardman Resources, which struck oil in Mauritania and Uganda.

Together with Ted Ellyard, Mr Burns helped develop Hardman into one of WA’s biggest companies before it was taken over in 2006 by Ireland’s Tullow Oil for $1.5 billion.
GL
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Spirit - spot on. It’s mandatory so defo news early next week one way or t’other.
GL
IK
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ANOTHER SLEEPLESS W/E!
GL
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FINGERS
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