Member Info for Looed

I think the idea to keep things 'internal' at the outset is a valid one. Will message the lawyer as a first step, then widen the net to ZM & Co, then Senators and congressmen etc as others have suggested. Will let you know should I hear anything,

BryanW - sorry but can you clarify your point as I don't get your meaning, cheers.

I should have added that I thanked the reporter for the reply, would discuss next steps with the group and take it from there. I also asked if the reporter had any info to share on the company. No reply but will share anything I get.

Thanks BryanW and good luck at the hospital.

At least one of the reporters seems to have already had detailed conversations with some shareholders. I don't recall anyone sharing the details that info on here. I do remember someone saying a reporter had been upset by some of the contents on the BB, but I don't recall anything on the nature of discussions.

One reporter who wrote to me said "some of you had still been hoping to get in touch with the management of the company, - and hoping that they were acting on the shareholders' interest. Is that still the case?"

Well thats certainly gets a "yes" from me.

MP - so your 'translation smear' didn't work -so now we have another set of twists and turns to show that I must be dodgy and so therefore - your view must be right! Thats your logic?

Perhaps if you indulged in less of the flimsy character assassination diversion-type stuff and tried to go down the more productive and reasoned debate road then I might have paid more attention to you.

Having said that, there is one thing in your post that I am happy to consider.

Aurora1 - sorry - I was being a bit lazy and using my reply to you to also answer the one or two others who tried to invoke the 'legitimacy' question.

Aurora1 - I was 'validated' by FSHG when the translation system was set up. I asked the fund holders if they wanted to included in all the in / out with the translator but they preferred not to be involved. To ensure transparency, we have a 3rd party involved who is copied in on all the correspondance between me and the translator.

Its a bit rich to have my integrity questioned now - when the translation system was set I ask if anyone here wanted to be involved to ensure transparency / should I not be available - and not a single person offered to help.

How my not agreeing with MP means I am manipulating translations is as nonsensical as his earlier claim that our translator is a GD plant. He really doesn't like it when people don't agree with his POV. Like all trolls, all he can do is try to make it personal.

Bigun2 - I have the contact details for Cornerstone (lobby firm) and if someone can supply contact details for the US politicians I am happy to include.

I do think lobby firms represent their client rather than us, so not sure how effective that will be. Same with the US senators, they can only reply to people in their congressional district if I recall correctly, but worth a try. The Embassy / Ambassador might be more receptive to contact.

To clarify - the document wont be sent to a reporter. It will first be sent to Zaza / the company allowing for a reasonable time for some form of response.

Whamboy - if you have actually read the piece you will see the minority view is included in the document. I have suggested that group add their own section to ensure they get their point across in full. You can also arrange your own document. Perhaps you could try something constructive and contact Zaza yourself, alert him to what's incoming and the few simple steps he can take to avoid such an 'event'.

Toatie - haven't seen you online for a while. Welcome back. Yes my hope is FSHG help us get the document to as many Zaza / company address as possible in the hope we get some form of reply.

The link from Star works for me but it takes a while to load. Maybe click on the link and just leave to for a minute or two.

I am listening now and up to the 5.30 mark and Zaza is saying the arbitration won't affect the upcoming deal. Very interesting to hear this with the benefit of hindsight.

StarRage - thanks for that. I will check it out and incorporate. I will see if we get any more comments / edits and do a final document.

If you, Mole etc could help beef up the bit in Pt.2 about corporate responsibilities that would be a great help

Gipps51 - totally agree with you on the expectation, no one is asking for sensitive stuff here. If FSHG do decide to help get the message to Zaza / the company then we will have a clear timeline from when they send the messages and our next steps.

And 100% agree with you on B-2-0

Despite these promises the Award has not been released

One of our members recently discovered that Mr Mamulaishvili had a FaceBook page. This was not a prviate / personal type of page but was open to all. It was full of geo-political articles on the region and issues related to Frontera Resources. Some of us tried to ‘friend’ him. All attempts where rejected and the page made private. You can try to access it here LINK PROVIDED

For a long time we convinced ourselves that the silence from the company was for strategic reasons, almost a good thing. We assumed the silence was based on legal advice and that talking to shareholders would somehow damage the company. This argument now seems pretty weak. If Mr Mamulaishvili will freely talk to the all forms of media and even has a FaceBook page, we see no reason why he refuses to engage with his shareholders.

Some in our group worry that talking to the press so close to the election may somehow damage the position of the company. We have no idea what the current status of the company is, nor what effect, if any, the election will have on the company. So whilst we respect the viewpoint of those who prefer to wait out the elections, such viewpoint is based on conjecture and is not supported by facts.

As I said at the begininig, many people invested their pensions and significant amounts of money in the company based on the comments of Zaza Mamulaishvili. Shareholders have already paid a high price both financially and emotionally. Not knowing whether our money has been lost or not has significant consequences. The last two years may have caused significant and lasting distress and damage to many investors private lives, families, plans and aspirations. The continuing silence only adds to the pain and suffering

We are using the fund to employ a translator and we have been translating TV interviews given by Mr Mamulaishvili and other programs that discuss the company. Just think about that – we have been forced to employ someone to help us understand what is happening in the company in which we are invested.

One thing that is clear from the translations is that Mr Mamulaishvili seems to enjoy the spotlight and his reputation as a political commentator. He seems to have less regard for his responsibilities as a CEO.

It is obvious from the translations that the same talking points come up again and again. These points include the arbitration award and the use of lobbyists.

Mr Mamulaishvili repeatedly denies that the company is represented by lobby firms. For example, in a radio interview in early June 2020 he is asked the following question by the reporter –

“What company is “Cornerstone Government Affairs”, which is mentioned here and has a document which is dated as 2019. For example, for $ 50,000 and so on.”

And his reply -

“Yes, we had a relationship with „Cornerstone“, but in 2019 we no longer had a relationship. I.e. We had this relationship with „Cornerstone“ and they did some work for us and we ended the contract. So we don't even have a contract with them. So to argue that lobbyists work is not really correct at this moment.” LINK PROVIDED

The following documents are available in the public domain show that at least US$160,000 has been earned this year by Cornerstone representing Frontera Resources
Q1 -LINK PROVIDED
Q2 - LINK PROVIDED

Mr Mamulaishivil has made repeated promises to release the Arbitration Award to support his position. For example on 28/7/20 he said “As for the publicity of the arbitral decision, we certainly are not and have not been against this publicity. Even now I can call on the representatives of the state from this broadcast that if you want today, you want to meet tomorrow and publicly announce the decision of the arbitration, which is very clear and it is not necessary to be a lawyer to fully understand the content of this decision…..We legally agree with all stakeholders on this and probably this process will still take probably 10 days or 2 weeks. And, as soon as we get all the consent, then we will be able to officially, in writing, confirm to the state that we also agree to make it public. Before that, we are now saying that together we can do it today or tomorrow.” LINK PROVIDED

As a group, we initially would search the internet for any pieces of information we could find. We would have to use Google translate to help us understand what was being written and not always successfully. Some fellow investors who had enjoyed a personal relationship with ZM tried to open informal communications but where ignored.

In Febuary, 2019 we formed ‘Frontera Shareholders Group’ or FSHG. FSHG represents several hundred shareholders and a combined block of approx 4.5 billion shares, a significant percentage of the company stock. We thought the company would be sure to engage with FSHG who seeked to establish a basic level of communication with the company. Despite repeated attempts there has been no contact from the company to this FSHG. (FSHG CAN YOU CONFIRM MY NUMBERS ARE RIGHT?)

The company is based in the Caymen islands but seems to have failed to follow its own company rules in terms of AGM’s, publishing its accounts and even advising who the BOD are. (CAN MOLE, STAR ETC BEEF THIS BIT UP A BIT)

In April 2020 the Arbitration panel released its Award. The GOGC issued the following statement on 21/4/20 - LINK PROVIDED and terminated the PSA on 29/4/20 - LINK PROVIDED

Mr Mamulaishvili has repeatedly stated that Frontera ‘won’ the Arbitration, for example on 2/8/20 he said – “Of these 14 claims, the arbitral decision states the following: 12 were not satisfied, only 2 were satisfied. One of these 2 requirements is that we have to pay a subsoil use fee, which we have been paying for 23 years and have never refused or disputed. And secondly, by the decision of the arbitration, we are obliged to return the territories where we do not conduct oil and gas exploration and extraction works to the Ministry of Economy, and we have done so.” LINK PROVIDED

In June, an anonomous source shared what they alledged to be a copy of the Arbitration Award. Mr Mamulaishvili has often stated that the Award is a 152 page document. The document shared with us is also 152 pages. The conclusions do not match the conclusions ststed by Mr Mamulaishvili. The document can be accessed here and I repeat we do not know the source nor why this has been given to us.
LINK PROVIDED

The Engergy minister has recently announced that the termination of the PSA has been suspended, though Mr Mamulaishvili disputes the sincerity of this.

In June 2020, we became increasingly alarmed by the confusing and confilcting public statements being made by both sides. As a result, shareholders held a crowdfunding drive. Many shareholders contributed and the fund gathered approximately GBP2,500.

(Feel free to comment. I have tried to keep it factual and supported by links. Thanks to StarRage and Mole - you will find I have cut and pasted some of your comments directly into this Star at the beginning and Mole at the very end)

The shareholders of Frontera Resources invested not just in the company, but in the belief that the company would greatly benefit Georgia, an important ally of the West. Many have invested their pension and substantial sums of money in the company, in large part based on the words of Zara Mamulaishvili.

Mr Maulaishvili became CEO of Frontera Resources Corporation on the 11th July 2017. The company had a poor record of investor communications prior to the appointment of Zaza Mamulaishvili.

The change of directorship appeared to signal a change in communication style. Face to face investor/shareholder presentations were arranged. During this period, face to face shareholder presentations were made on 3rd August 2017, 25th January 2018, 9th May 2018 and the 4th October 2018. A shareholder visit was also arranged to the oilfields in Taribani on 31 August 2017 - 1 September 2017. At the same time, the frequency of market updates increased significantly as well as Mr Mamulaishvili making numerous investor broadcasts to the shareholder community.

These communications repeatedly claimed that work was progressing well, that the resources in Taribani were highly significant and that shareholder value would be increased considerably. Queries regarding issues such as the arbitration request by GOGC and other issues were classified as minor matters.

However in an interview Mr Mamulaisvili gave in early June 2020 he painted a less optomistic picutre of the iGeorgian nvestment enviorment than the one he sold to his investors –

“Therefore, it is very important for businesses to have a good image of the country, a good image of the project, so that shareholders, banks, funds, were interested in working in that country and investing in the country. If the country has a very bad name, a very bad authority, a very bad image abroad, it will lead to the fact that these investment banks, funds, shareholders, various companies will no longer be interested in coming to Georgia.”
LINK PROVIDED

The company was suspended from the London AIM market on 24th December 2018. On 24th January 2019 the company declared that it would remain a private company and issued the following statement -

‘The Company will continue to update its shareholders via its website: www.fronteraresources.com and via RNS Reach.'
LINK PROVIDED

To this date there has been no formal or informal communications from the company to its shareholders.

ODR - we have crossed wires - my 'you' wasn't aimed at 'you' specifically, more a general call to those who disagree and feel strongly about it to take action. Sorry for the confusion.

Other than having a feeling that we should wait, I don't see evidence to support such a stance. And how long after the election would we wait? days, months, longer ? This endless can-kicking needs to end.

ODR - thanks for your reply and I do take your points on board. I do have to say, its all conjecture, and maybe this maybe that. You might be right but you might be wrong.

The last we heard on talks was the Energy Minister saying talks had taken place, which was denied and claimed it was a lie, same as the cancelling of the PSA termination claim. Since then, nothing. It could mean talks. It could mean events have just moved on. Anaklia port is the new hot topic. FRR is more and more a footnote in discussions rather than the main event.

As I said, those that don't agree should get together and put up a paragraph that I will include. If you (ODR not you specifically, I meant generally) feel strongly enough then stop moaning and do something constructive. If I can grab a reporters attention then there is nothing stopping you. Make your own document justifying / supporting SH treatment and we can submit both.

FinnFCR / anyone - if you can point me in the direction of those comments I will take a look. StarRage has already highlighted that he downplayed the issues with GOGC.

I have included Zaza's comments from June this year where he admits painting a rosy picture for investors.

I have almost finished the document and will post it in sections so folks can easily edit / comment so we try to get a broadly representative piece.

B-2-0 was challenged in May to reveal his source and he did - its all based on a single newspaper article from 2019. That is this posters only source.