Member Info for Looed

Scripts - You proposed that "everything the GOGC say is true" but now say any release which would support that position will instead prove them false? I am not sure I am understanding what you are saying.

And I don't quite get the second para - you mean you are not talking about the Award now but a separate NDA? Or the NDA is part of the Award (in which case my previous answer applies)

I think saying that " Zaza has now set out to discredit the GD and ruin their chances of re-election by spreading false news and having America turn against them." sounds pretty crooked. You are promoting our company actively take part in deception and more on a grand scale.

In reply to your "only valid question" well this is what the Arbitration Board itself says - "a breach of confidentiality undertaking (if the parties are bound by any such provision) would not have an effect on the enforceability of the arbitral award." If you accept the GOGC are being truthful then you must surely accept the truthfulness in their statements regarding release. Ultimately. If their very existence relies on the suppression of the Award, they can publish it at any time they choose.

It is suspect to claim your CEO is no better than a crook but then hedge your bets with a reassuring "he's a gentleman" closer.

Anyway, as your valid question no longer has validity then presumably this unravels the rest of your claims.

Aurora1 - imposer also works.

Last week people where why-oh-whying about lack of positivity toward Zaza. Now they seem happy to accept that GOGC where right all along, Zaza hasn't just been lying to SH, but to anyone and everyone. Having utterly failed, Zaza has two last chance strategies in play. Really - A blatant fake news propaganda war targeting American institutes of power to redefine geopolitical relations (for a second step and think what that would actually entail).

All to deflect from the potential positives that can be gleamed from the recent actual statements from both sides. No doubt we will be attacked for once again not being positive about Zaza's duplicity and desperation!

Something just occurred to me. Earlier I wrote - "If the interpretation of the Georgian version is correct and the termination is still proceeding, why if the land has been returned? The termination is for the remaining 1%?"

A different way - The 99% must be returned by 27th July - or at any time within the 90 termination period. FRR have chosen to return within the 90 day window and have therefore complied with the cancelation of the PSA.

Also - no mention of the status of the asset move from GOGC.

One thing that can't be blamed on Google Translate is this -

GOGC - the Arbitration was initiated and took place at The Hague
FRR - the Arbitration took place in Stockholm

The last word was missing - should read "is that all thats left?

The Georgian link didn't work so it would be great if anyone can try their translation tool to see if we get a different result. Its the last 5 lines of the second paragraph

https://www.gogc.ge/ka/article/ramdenime-sachiro-ganmarteba-fronterastan-saarbitrajo-davis-shedegis-irgvliv/485

A few more articles around but they are just repeating the GOGC line, none so far have the FRR viewpoint. One lists the GOGC line and lists things like "Georgia 7th Best for doing business". Ease of opening a business has no relevance to this situation.

There are additional comments in the Zaza interview that support what StarRage suggests regarding SH. Early in the interview he states "...was such a great success not only for the company, but also for the country, we thought our partner in Georgia was more positive....and we talked about it all on the London Stock Exchange" Combined with the later comments from Zaza that StarRage refers to he does seem to be saying he was extremely selective with the information he decided to share with shareholders.

The date the land was handed back aligns with the date the GOGC issued the termination letter. According to GOGC the land needed to be "as new" but if the land was undeveloped maybe there hasn't been much restorative work to do.

There are usually some subtle differences between the English and Georgian versions of GOGC statements. It could be on purpose and could equally be down to translation issues (hopefully the more likely reason). The english version gave us pause as it seemed to indicate the termination had been halted, or at least it wasn't specifically referenced - "Arbitral Tribunal ruled that FRGC committed material breach of the PSC, which is a ground for terminating the contract." The Georgian version reads in a different way - "In particular, the Arbitration Court found that the Frontera had substantially violated the contract (PTG), which in turn was the basis for terminating the contract." I have run this through a few translation sites can others try to see if you get a different result that aligns with the english version - this is the specific part which I hope can be copied

??????, ??????????? ??????????? ????????, ??? ????????? ????????? ???????? ????????? (????), ???, ????? ?????, ?????????? ????????? ??????????. ???????????????? ???????????, “????????” ??????????, ??????????? ??????????? ??? ??????? ????????? ????????? ?????????? ??????????? ??????????? ????? ?? ??????????, ??????????? ???????? ???????????? ??????? ?????? ??????? ??????, ????? 6 ??????? ??? ??????? ????????.

If the interpretation of the Georgian version is correct and the termination is still proceeding, why if the land has been returned? The termination is for the remaining 1%?

The "99%" is mentioned again at the end of the GOGC statement. In fact, - and I hope I am reading it in the right way - I take the last sentence to be the most important part of the whole statement - "The allegations as if SAOG and GOGC were eager to take control of these exploration territories are thus nonsensical."

When GOGC state "..FRGC must reimburse GOGC with approximately 6 million USD for mineral resources usage tax and for legal expenses resulting from the arbitration proceedings." is that all that's l

The press are picking up on it - its late night for me so hope I wake up to more developments in the morning

https://agenda.ge/en/news/2020/1677 (in English and a rehash of the GOGC statement)

And while I don't like it, I also don't discount that GOGC are right in the absence of evidence from our side. Hopefully this latest move (I wonder if in retaliation to the youtube video?) moves the pieces a bit more and we get see more of the story.

MadP - back and have now had chance to slowly read the new statement. I always thought the Arbitration was in Stockholm but this mentions Hague!

I would say though scathing in tone, it is a return to the original position and you absolutely can say it could be read as a talkback of the more recent position. It doesn't mention the asset move issue.

It could also be read as at the end of the day -FRR pay USD6m.

But the material breach is mentioned multiple times so we cannot forget that fact.

You could say - GOGC issued original statement, then issued the termination, then said they wouldn't comment anymore, and now release more comments that seems to bring us back to where it all began.

MadP Please take a look at the GOGC website and the statement dated (I think) 29/4 - that states the breach and the breach is the reason for contract termination. The termination has already been applied. Cant copy as just heading out.

This dispute resolution mechanism is a fundamental tenant of the rule of law.

On April 17, 2020, the Arbitration Tribunal rendered its final award. It ruled unanimously that Frontera had committed a material breach of the PSC and ordered FRGC and Frontera Resources US LLC (a codefendant in the proceedings) to pay to the claimants the amount of mineral usage tax and vast majority of the costs incurred by the claimants in connection with the arbitration, which equals to approximately US $6 million in total.

From the beginning of the proceeding, GOGC committed to honor and respect any award rendered by the Arbitral Tribunal, and to refrain from unilaterally exercising rights under the PSC pending the final arbitration award. Moreover, the original PSC had a 10-year exploration period that was extended twice to a total of 20 years, which expired in November 2017, thus triggering FRGC’s obligations to relinquish the exploration territories located outside the existing Exploitation/Development Area. The allegations as if SAOG and GOGC were eager to take control of these exploration territories are thus nonsensical.

https://www.gogc.ge/en/article/a-few-necessary-explanations-for-the-outcome-of-the-arbitration-dispute-with-frontera-/485

Georgian Oil and Gas Corporation (GOGC) and the Georgian State Agency of Oil and Gas (SAOG) call on Frontera Resources Georgia Corporation (FRGC) to refrain from unscrupulous actions, disseminating misinformation around the actual outcomes of the arbitration proceedings, and hence politicizing the legal dispute. In addition, Frontera must respect the award of the Arbitral Tribunal—the dispute resolution institute agreed by the parties—and ensure its enforcement. In order to protect society and interested parties from misunderstandings, or misleading information, we call on Frontera to consent to the revocation of the status of confidential document for the arbitral award and consequently to its disclosure.

As a consequence of the fact that Frontera refuses to disclose the arbitral award so far, and since Georgian side refrains from unilateral action, we will limit ourselves with just brief information around the main postulates of the award in order to protect the state’s investment image and to satisfy the interested parties: The Arbitral Tribunal supported legal position of the Georgian side and satisfied a vast majority of the claims made by GOGC and SAOG. Particularly, the Arbitral Tribunal ruled that FRGC committed material breach of the PSC, which is a ground for terminating the contract. As a result, FRGC must reimburse GOGC with approximately 6 million USD for mineral resources usage tax and for legal expenses resulting from the arbitration proceedings.

It is essential and regrettable, that instead of immediate award enforcement, Frontera launched a misleading and State image damaging information campaign that involved basically misinforming US Congress members, friends of Georgia, who relied on the information provided by the company, and were fairly outraged by the actions of an ally like Georgia infringing on the interests of an American company. This reaction would have been understandable if the information provided by Frontera had not been false.

It is unfortunate that Frontera acts as an unscrupulous business entity. However, it is doubly unfortunate and extremely harmful that its dishonesty damages the partnership between Georgia and the United States, as well as hinders Georgia’s vital process of rapprochement with European Union and NATO and sabotages the State’s foreign policy. The Georgian side once again calls on Frontera to respect the April 17, 2020 award of the United Nations-backed Hague Permanent Arbitration Court and consent to its disclosure.

Information Regarding Frontera
FRGC is a Cayman Islands shell company, contractor that committed material breach of PSC thereof, refusing to pay its Georgians workers. The company is facing a number of lawsuits in the US and Cayman Islands. FRGC withholds its consent to disclosure of the April 17, 2020 arbitral award rendered by the arbitration tribunal in the dispute initiated in Hague Permanent Court of Arbitration based on the UN-sponsored arbitration rules

Thanks Johnathansxx - that's an interesting site and thanks for sharing. Looks like its updated on a fairly regular basis. Hope the grade awarded to B2 (opposition growing power / winning) is an accurate one.

Hi Phil - A while back I found a research paper ( It was a few years old, I think it was from some sort of democracy watch group in Denmark) and it had analysed how associates and family members of GD had infiltrated many of the public institutions. It did mention GOGC and gave a couple of names but when I tired to link them to GOGC today nothing came up. The article I posted a bit earlier talks about how GD have misread the room when it comes to its actions.

I also sense more legal action but am not sure in what way. Seems nigh on impossible to challenge an arbitration award. There isn't much out there on what happens when sides fail to follow through. Both sides are duty bound to accept the Award - and they do. GOGC claim victory and FRR say all good here. It would be great if at least one side has gone back to Stockholm and asked for clarification or a review of things not already decided on. We will only know if that happens if one or both sides reveal it.

If we accept the GD control the judiciary as well then as you say, it makes sense to string things along as much as possible. We have an end date of 27th July. It might explain Zaza's somewhat leisurely approach to communication and why he says we won but doesn't seem to be taking steps yet to show the proof. I don't know how long any delay tactics would be tolerated for or what steps might be taken in invalidate such actions.

The GOGC later statements do seem more absolutist in terms of things - There is none of the reaching out that Zaza has mentioned a few times. No more 99% etc. If its true and GD really is finished then they could just be creating an atmosphere in which no one would want to work in the territory. If you where an American company seeing whats going on might give you pause - but GD might think their position is bolstered by Russian backed players saying - "it's OK, we can help instead, you cant trust those Western corrupt companies - even international arbitration agrees"

We have the US politicians. The letter sent to Pompeo etc ruffled a lot of feathers and got a lot of attention. We didn't get a reply from Pompeo though I am not sure how these things work. Is the letter in itself enough to make the point, or these things are handled behind yet more closed doors.

Both these articles are in English. Neither mentions Georgia specifically.

"How Russia is losing its oil and gas influence across Eastern Europe"
- https://www.offshore-technology.com/features/russia-gas-oil-influence-eastern-europe-pipeline/

This one talks about the Russian strategy of using debt as political leverage.

"Russia’s loan to Moldova (and its geopolitical strings)"
https://www.ridl.io/en/russia-s-loan-to-moldova-and-its-geopolitical-strings/

Pt.2
The Georgian Dream failed to properly assess the situation, and the West's harsh response came as a complete surprise to them. Strict assessments by European politicians and US congressmen followed. They have made it clear that the March 8 agreement is bipartisan and that in addition to the reform of the electoral system (120 proportional and 30 majoritarian seats in today's 77/73), imprisoned opposition figures must be released. The term ‘political prisoners’ was first used with regard to them.

The Georgian Dream chose to retreat. In order to defuse the situation, President Salome Zurabishvili said on May 15th that Gigi Ugulava and Irakli Okruashvili had been pardoned and that they had been released immediately. In order to not lose face, the Georgian Dream initially stated that Zurabishvili made the decision to pardon the prisoners without their consent and did not agree to the release of ‘arrested criminals.’ This seems to have upset President Zurabishvili, who said his decision to pardon Ugulava and Okruashvili was not a surprise to the government and agreed with Ito Bidzina Ivanishvili, Giorgi Gakharia and Archil Talakvadze. This caused another inconvenience to the Georgian Dream, as they had previously claimed that they knew nothing about the president's decision. The release of two opposition politicians has raised hopes that the March 8th agreement will finally be implemented and that better conditions will be created in Georgia for democratic elections, although many issues remain unresolved and, as it turns out, new problems may arise.

The opposition negatively assessed the legislative initiative registered by the 6 pro-government parliamentarians on May 19th, which allows that without the consent of the parliament, the government will be able to take measures on transportation, economic activity, property, collection, labor and other rights. The initiators of the bill demand its immediate adoption, while the opposition considers the possibility of carrying out the restrictions characteristic of the state of emergency according to the will of the government as a step towards authoritarianism and unconstitutional. It becomes even more dangerous ahead of the upcoming parliamentary elections. This issue will probably be one of the main topics next week.

The government is feeling comfortable as the opposition’s activity was limited in the state of emergency, and on May 26th the state of emergency has ended. However, this year’s June 20th, marks a year since the event, which turned out to be a somewhat turning point for the Georgian political processes. "

Source - http://www.messenger.com.ge/issues/4648_may_27_2020/4648_edit.html

Pt.1

FRR gets a mention - this site was one of the first to point out the discrepancies between GOGC / FRR statements

"Demands from the West for the release of political prisoners and the full implementation of the March 8th agreement have put the Georgian Dream in a difficult position and changed its position. It was the Western pressure that proved to be an effective factor in boosting the democratization of elections in Georgia.

A few days ago, the agreement reached between the government and the opposition on March 8 seemed to be in a deadlock. Authorities categorically denied that on March 8, they had promised to release the opposition members I.Okruashvili, G. Ugulava and G. Rurua's, while the opposition claimed that it would not support the constitutional changes without the release of the prisoners. Archil Talakvadze, the Chairman of the Parliament, stated this position of the Georgian Dream on May 11th. On May 13th, the United Opposition reiterated that it would not support constitutional changes without the ‘release of political prisoners.’

The intervention of the Western mediators was still necessary, and the Georgian Dream itself provoked it when the mediating diplomats were asked to negotiate - saying that the March 8 agreement did not provide for the release of anyone. The facilitators of this agreement did not hesitate and in a joint statement issued on May 11, called on the parties to fulfill both parts of the agreement for ‘a successful implementation.’ In the May 12th statement, Senator Rish said on Twitter that he hoped Georgian political parties would fully comply with the March agreement, including the release of political prisoners and progress on the new electoral system.

The mention of ‘political prisoners’ has caused a great stir in Georgia, the opposition has been encouraged, and the government has put its desire to argue with its Western friends on the basis of misinformation. Meanwhile, on May 15th, it was announced that US Senators Ted Cruz and John Cornyn, as well as Congressmen Jody Arrington and Marquine Malin, had sent a letter to Secretary of State Mike Pompeo and Finance Minister Stephen Mnuchin. In the letter, concerns have been raised about the Georgian government's ties with US enemies. They also accused the Georgian government of expelling American businesses and cited companies such as Frontera Resources and Conti Group as examples. In the letter, US senators and congressmen noted that “Georgia's ties with America's hostile rivals and enemies, which run counter to our geostrategic and business interests” require a serious response from the federal government.

Ah OK - Cheers Mills240

R8pilot - I don't use VPN. Do you mean to access things like UK TV etc? We have a work-around and can access most TV shows about 30 mins after broadcast. Its just parts of a few sites that are blocked like ebook pricing in UK. But for time spent in UK I might take a look to see if that's an option. Thanks for the suggestion.