Member Info for jimtheknow

Also.... directly linking any potential reserves to any offer is unfortunately the stuff of dreams. This is business and business is shrewd. The offer that will be made will be based on a closing share price on a day nominated. However, and this is probably through hard negotiation from BPC, the SP has been allowed to find its natural price in these 3 months whilst still protecting the Majors interests. The potential reserves do give the SP the headroom to move in to. The potential reserves, based on the Majors due diligence of the assets, will allow them to justify paying any premium. All this means is that anyone investing now will not lose out, they will make a profit on any investment but it’s highly highly unlikely we will ever see returns on what would be a 20 or 30+p SP, as with many AIM stock the PI will never realise the full potential of the asset. The only way we will see returns like that is if the market wakes up to this realisation there is a highly likeky profit taking situation here and this drives it. Post deal it is highly likely BPC will exist no more and we will all go looking for the next multibagger (unicorn) - again.

This confidentiality agreement in many ways is to protect the interests of Oil major. A deal in principle has almost certainly been done and that deal is likely to conclude based on a share price on ‘X’ date. If the Majors identity were known and they were considered to be competent, with deep pockets, this would undoubtably drive the SP higher. This money upfront is effectively pocket change to the Major to suppress SP and save them money on the final transaction. Insisting on gagging BPC (and BG) saves the Major many many millions.