Member Info for lsetown

Thanks Yanbu-arabia - so it persists.

If the vendors are getting a 'guarantee fee' of $636 million from RKH and PMO over 5 years. Surely this is to repay their 'vendor finance' - is that right?

Thanks for the feedback.

I've emailed Rockhopper in the past about something else but sadly didn't get a reply.

It is such a large number that knowing what is due is very important. Anyone know how we can get clarification from them about this?

Assuming we get to first oil I was surprised to read on page 9 in the 2016 presentation:

•Rockhopper to pay a Guarantee Fee to Premier for the provision of required guarantees to contractors
•Guarantee Fee of $15.9 million per quarter for 5 years from first oil
•Parties may agree to adjust the Guarantee Fee at project sanction if it results in value split that is significantly different from 50/50

https://rockhopperexploration.co.uk/wp-content/uploads/2016/05/Corporate-Update-February-2016.pdf

That is US$ 63.6 million per year for 5 years = US$ 318 million

A significant part of the first 5 years revenue for Rockhopper.

Why isn't it a 60/40 PMO/RKH split anyway?

Also there's the CGT to FIG due of around US$80 million and the possible 15% ! interest on the Standby Loan of US$110+ million.

Premier don't expect this as cash before revenue from sales do they?!

I can imagine another Royalty deal like they had with Edison and Noble would be likely, only this time with PMO.

A great result.

If Rockhopper and Premier get to FID then Argos's area is definitely worth exploring for them.

You won't be a fool if this comes off Godders99 and it still may.

Good post Elcapitano66.

Personally I ignore a few 'errant posts' but if the poster continues I normally filter them. This discussion is much quieter to read then.

(I think it best to make sure that you don't filter solely because the poster has a different view to you).

Also thanks to Cyan for this video link:

"A nice little video to watch while we wait;
The FALKLANDS, how is it getting RICH?

hTTps://www.youtube.com/watch?v=Ve4HkqtRqmk

I see this as the 'Margin of Safety' for this share. I think it should/could be a large award.

I can imagine it may take some time to recover though.

Thanks Mogger.

Reading that, I wonder if there is a chance that with the goal of settling the arbitration, Italy will offer to allow Ombrina Mare development and production?

Lol. Fair enough I suppose.

To break even without averaging down you would need a near £1 billion market cap. and I think that unlikely anytime soon sadly.

Is that 15,000 shares at £2 = £30k?

I think there is still hope here. A good arbitration result could pay over the current market cap. Also Sea Lion has its funding application to the UK government ongoing.

If you think holding here is still worthwhile then I would consider averaging down a bit as £2 a share is a distant target from here.

Mandatory bid

A bid required to be made under Rule 9 of the City Code on Takeovers and Mergers, broadly where: the bidder and any persons acting in concert acquire shares carrying 30% or more of the voting rights of a target; or if a bidder, together with any concert parties, holding not less than 30% but not more than 50% of the voting rights increases its holding. Rule 9 requires a mandatory offer to be made in cash (or be accompanied by a cash alternative) and at the highest price paid by the bidder or any concert party for any interest in shares of the relevant class during the 12 months prior to the announcement of the offer.

https://uk.practicallaw.thomsonreuters.com/7-107-6806?transitionType=Default&contextData=(sc.Default)&firstPage=true&bhcp=1

I think it would be the opposite.

If shale declines and the oil demand continues to rise (as predicted) then conventional oil shares may well recover considerably.

Glass Lewis specialise in offering their institutional clients corporate governance advise by the look of it.

The recent fund raise really hurt the existing shareholders so I assume that is what Glass Lewis are talking about and want the board to know it at the AGM?

Muchaboumoney. I totally agree with your comment "Sell into a rise at the end of the year at your peril."

Holding on until true value is reached from a share is a very hard-won skill though.

The only thing I thought was that the $1.8 billion CAPEX is higher than they had said before.

I suppose as long as the nominee account company correctly passes your details on.

Posts here are chaotic and I keep reading that oil is dead and plastics are dead.

Hold-on!

Great post Muchaboutmoney.

I definitely won't sell any of mine now and am actually tempted to but a few more at these prices.

So much money, time and effort has been spent to get us here so I am going to stick with it!