Question for CC8 Jul 2019 13:39
Could you explain please how in the 28TH June RNS you say you are in negotiations to sell the 65% stake in Brockham.
Why would you give the prospective purchaser information such as -
These negotiations are at a very early stage and there can be no certainty as to the outcome including the terms on which any such sale can be made. In the light of this, the Company will be considering whether any IMPAIRMENT will be required in the CARRYING COST of the Brockham licence, currently representing 26% of the Company's gross asset value as at 31 March 2019. The Company will update Shareholders as soon as any material development takes place.
Are what you actually telling PI's that you are going to have to pay another company to take Brockam on, a similar scenario to the Gas acquisition. If not this would be seen to be the worst negotiating strategy imaginable!
DHC lookup... impairment and carrying cost and it may put your maths out a bit!