Roundtable Discussion; The Future of Mineral Sands. Watch the video here.
And once again the board descends into personal insults, vile comments and just utter drivel. I have only ever posted on here what I have been told, which I've taken the decision to share with others invested here. I've not made anything up and I don't need to apologise to anyone for anything. This is a public open forum and you either take it with a pinch of salt or consider its validity. Personally I don't give a **** either way. Certain individuals on this board can't seem to stand it when I post, well guess what, tough. I know myself the conversations and messages I have had with the CEO. This helps formulate my investing decision. If anyone on this board thinks my comments can have any baring on the price, you are a deluded clown and shouldn't be investing. The MM's control the price rhetoric, up or down. News flow has an impact but so does liquidity and volume. If you can't work that out when putting your money into AIM stocks then it shouldn't be for you. Go and put it on the horses instead. The next news flow will be JV announcement or CCS award or licences. How do we know that because the company have officially told us. Timeframe - I believe we are in the window for news soon.
Carry on with your insults, I am not remotely bothered. You just show yourself up for the ignorant vile individual that you are. I think the right words are "keyboard warrior."
Thank you Gordon. He also stated to me that he didn't think the JV would take 2-3 months to finalise, which is the numbers I suggested to him that it could take. He replied saying he "hoped it to be sooner." That message exchange was on the 27 Feb. Inside info....NO. Adding a bit of clarity and thought - YES.
So we are told in the RNS, dated 17 March, “Accelerating the potential for monetisation through a sales process in 2023”
I guess one factor may depend on the appetite from PG in terms of value return for himself and how that translates into timings etc. Yes I understand shareholder approval and it’s not just the PG show. But what’s the saying “every man has his price”
Turning to The OIL ….being totally overlooked? Or is it? Perhaps not for PRD in their tenure but for the next incumbent; multi billion barrels I suspect.
I thought this was very interesting……in fact I must have re-read it a dozen times. This statement intrigued me…….A DHM inventory of new prospects and leads has been identified in neighboring districts of Eastern Morocco and indeed within the “Greater Tendrara Gas Discovery District”. It is likely that progressive conventional exploration surveying by Sound and others will identify some of these but without “hydrocarbon-indicator” differentiation as to which may prove to be dry or at least of lower pre-drill ranking order than the best of the DHM features.
https://www.scotforth.com/index.php/scotforth/news/1-hydrocarbon-morocco
Isn’t that next to PRD’s acreage? Hmmmm..
I have to take my hat off to Paul and Lonny and their readjustment of the strategy in play. At the top of their game and will go down in history as two pivotal individuals within the industry.
Corporate transaction by the end of year? Certainly feels like whilst it may not be concluded, it’ll certainly be in play…..
If anyone has run their own business, I have, it becomes apparent that business strategy and decisions have to be fluid. Adopting flexible strategies based upon varying events is just a business fact of life. Paul & Lonny may well have decided a change in strategy to ‘fast track’ proving up the resource. If they have they will have weighed up all factors including and not limited to risk and costs. I like the fact they are thinking like this.
This is becoming a race to the end game……..New and increased CPR anyone? Mention by PG recently. Let the bidding commence very soon…….
Nigel....for the sake of absolute clarity I am merely stating what we have been told in an official company announcement. If you have such a big issue with it, why not write formally to the business and express your concern. Personally I think they'll just ignore you like the majority do on this board. It really begs some serious questions about your motives, which I am sure most on here have seen straight through you.
Key strategic player looking to boost oil and gas production in India.
https://www.moneycontrol.com/europe/?url=https://www.moneycontrol.com/news/business/cairn-oil-gas-plans-two-thirds-of-capital-spend-on-near-term-development-opportunities-ceo-nick-walker-10278821.html
I’ve a fair bit of exposure to buying and selling complex businesses and this includes contracts, disclaimers, warranties and indemnities. Everything comes down to legal negotiation and a willingness for each partner to compromise and weigh up overall risk vs reward, whilst considering the down and upsides.
SYN believe they have solved the condensate issue and ordered the best pump in their opinion to increase production. This discussion will have taken place with the potential partner. Known as a disclosure.
This disclosure will no doubt have a warranty attached to it which may have a financial penalty or consequence should it not resolve the issue. However I would think the data sharing and technical due diligence will have also been investigated thoroughly and this is then when commerciality decisions come into play. Maybe a ratchet deal on price or when certain production rates hit certain levels. Or deferred payments for consideration on hitting field development milestones.
What I’m trying to articulate is that the transaction will probably not just be as simple as everyone thinks. It could be complex in its commercial terms and it’ll certainly be complex legally spanning to hundreds of pages of contracts. I know this too well having spent hours signing legal docs when buying businesses.
Roland knows what he’s doing, he’s been on both sides of buying and selling oil and gas businesses. He’s no novice and will cut the best deal he can for shareholders.
The process of due diligence is still ongoing, that has been confirmed to me. And before anyone jumps down my throat, that’s not insider info, we’ve been told that in an RNS.
I’ve also been told we’ll get an RNS when the JV terms are signed and concluded. There will be no interim announcements in between.
So only question remains…. When?
Anyone a view on what the likely JV value will be when finalised? We know SYN want a free carry on the soon to be drilled two new wells, so let’s say that’s $20m ( $10m per well). What about the licence upside when full field development in play, yes risks attached to that in terms of what gas and condensate can be extracted over say a 10-15 year period.
We are told though by a certified CPR that NPV for full field development is $725m.
So is it unrealistic to expect a total JV value of $40-50m which includes the 2 free carry wells. Leaves plenty of upside on the table for the JV partner.
Thoughts ?
Top …. Give me one post where I’ve given “ idle speculation”
I think anyone with half a brain can read my posting history and see it’s pretty intellectually based, along with any other detail I’ve gleaned from other sources (yes their CEO).
I don’t pump and dump shares. My investing strategy is medium to long term, not 10mins!
Now is the time to take your positions. News flow due :
NSTA awards of CCS licences for UK - end March per half year RNS.
Pump for C77 and further drills - ordered per RNS.
JV news - due diligence and farm in discussions. Per RNS. Confirmed to many as still ongoing and hoping to achieve a conclusion in less than 2-3 months.
All the above are value drivers to both value, cash and ultimately share price.
Last RNS couldn’t have been more clearer with strategy and intention laid bare.
“Monetisation through a sales process in 2023”
The for sale sign as gone up and may even be in play with an interested party. We’ve been told previously NDA’s in place.
All sorts of games are now going to get played - FUD, MM games, broker games. You name it and it’ll get down and dirty.
LTH’s, the well researched and those seeking real value return will ignore the noise and wait for the end game to play out. And it will.
GRH comments about “biggest race to the finish” couldn’t be more in line with the direction of travel we are moving too.
Imo - Paul and Lonny want a deal done and quickly.
Get ready for the fireworks.