Member Info for Madpunter

Posted Moleinahole on the 10th August :-

Part 2
The best chance of getting money out here is for Zaza to finish what he has started but as I say I'm not impressed with what they have done.

Posted Coggy on the 10th August :-

Do I detect a modicum of change in Mole's position regarding the future of FRR? A little soupson of positivity creeping through per chance?

Lol

Posted Moleinahole on the 10th August :-

Looked in again here for first time since last week.

So Zaza in one of the media items floats the prospect that they did breach the contract BUT as I've posted many times as a caveat there is a cure period to resolve - in this case probably paying the small mineral license and returning the disputed land. In which case matters would move on to settling the balances due as a result of the arbitration costs and things like the wages, unfreezing bank accounts etc and sorting out the transfer. That all requires access to funds else they block it.

If the remnant is safe for the moment because they have cured the breach then the politics makes more sense as they don't need to do anything till election - but the issues with FTI and Outrider on the title to the block and the maturing loan notes have to be sorted in parallel.

On the question of reserves - not all reserves are equal. The 2 CPR produced are not sufficient to enable booking of reserves. GG are correct no proven reserves and Zaza is correct we have 2 cpr with unproven reserves. However, the reserves are not in a form that will enable resource based lending or booking in the accounts based on international accounting standards. If the reports were proper reserve reports we would have reserves in the accounts years ago. Could someone come in and do their own analysis and something happen without an FRR CPR? Yes that is possible but less common and only likely if you had a serious player behind something like the Green transaction willing to spend the time and resources doing it from bottom up.

There is a narrow path through this mess - but I'll stand by my view the company need to find a way to regularise the running of the company sooner rather than later.

On litigation - the nomad I suspect is not straight forward. I have looked a few times at the whole question of these loan note terms. The terms were changed 3 times so its hard to be sure who knew/saw what/when but I would have seen the auditors as more on the line in the 2017 audit. Interestingly they got themselves added as an interested party in the New York litigation. Would be interesting to know if they have still been engaged as auditors or whether they have gone same way as the registrars and we have no auditor appointed at all at the moment. The 2017 accounts issued in Mid 2018 would be the final audited accounts - the H1 2018 interims were unaudited and were the accounts I was interested in the treatment of the note interest and unexplained increase in liabilities at the time and wanted to speak to Zaza post the Oct 2018 meeting but he left early that day. In terms of the accounts Hope was on the board at that point - so must have known the terms per accounts were wrong. We may get to see some more of this in the California case if it ever gets to court.

Posted Blownitalready on the 10th August :-

Shavleg Mishveladze - In order to ensure a healthy environment, it is necessary to permanently monitor the daily cycle of the operation of gas stations and oil depots

In order to ensure a healthy environment, it is necessary to permanently monitor the daily cycle of operations at gas stations and oil depots , - said Shavleg Mishveladze, head of the Oil, Oil and Gas Committee of the Georgian Business Association.

The Georgian Business Association welcomed the decision of the Parliament to tighten sanctions for non-compliance with fuel quality parameters. As they point out, it is necessary to implement the changes in the legislation as effectively as possible by the relevant state structures.

"The public understands well that the health of our citizens and the ecological environment of the country is the primary concern of each of us. The purpose of these important legislative changes adopted by the Parliament is to put an end to the import, production and sale of substandard fuel in the country and thus - to ensure the health of future generations and a healthy ecological environment in the country. However, in parallel with such decisions, it is necessary to intensify the monitoring of oil depots and gas stations in relation to the daily cycle of their operation. In this regard, as a sign of environmental impact, it is important to ensure the presence of breathing valves in all reservoirs for oil products. The problem is that, unlike gas stations, Most of the oil depots were built in the last century and therefore their technological structure really leaves a desire for better. Respiratory valves are the only inhibitors of gases in the atmosphere during the fuel intake and release cycle. Unfortunately, at present, the existence of valves and their compliance are not fully monitored and only the goodwill of entrepreneurs is entrusted with the provision and operation of gas stations with breathing valves. Consequently, the picture is adequate to the existing approaches: part of the oil companies adhere to the conditions of technological support, technical, labor and fire safety, while the other part completely ignores it - which is easily visible even to the naked eye. If we understand,
As explained in the association, they, together with the relevant agencies, plan to discuss the problem and further monitor it, informing the public about the result.

The information is spread by the Georgian Business Association.

https://www.interpressnews.ge/ka/article/613107-shavleg-mishvelaze-jansagi-garemos-uzrunvelsaqopad-aucilebelia-gasamarti-sadgurebisa-da-navtobbazebis-sakmianobis-qoveldgiuri-ciklis-permanentuli-monitoringi

Posted Blownitalready on the 10th August :-

Part 2

According to the party, "Lelo for Georgia" unequivocally welcomes the construction of roads to all villages throughout Georgia and their rehabilitation, although it is doubtful that large-scale road expansion works, which is in no way a necessity for the local population. According to them, it is especially worrying that the Russian Federation is openly interested in the construction of the road.

"Lelo" calls on the public and the local population to be vigilant and, at the same time, we demand from the government and relevant bodies to answer the questions of the society:

Is the project accompanied by a conclusion on security issues?

Has the relevant parliamentary committee considered the project with the involvement of the civil and non-governmental sector?

What are the necessary circumstances for the accelerated implementation of this high-budget project and what economic benefits can the construction of roads connecting the north of Georgia with occupying Russia and Chechnya bring?

Is the project accompanied by a report prepared to prevent damage / destruction of cultural heritage sites / objects, as well as relevant expert opinions prepared to prevent damage to the environment?

Do the project and ongoing works pose a threat to the region's authenticity and tourism development, which is one of the main sources of revenue growth for the local population?

The mentioned information is spread by "Lelo".
(transation google)
https://www.interpressnews.ge/ka/article/613116-lelos-cevrebis-gancxadebit-sakartvelos-xelisupleba-okupant-rusettan-dachkarebuli-cesit-gaumchvirvaled-ashenebs-gzebs

Posted Blownitalready on the 10th August :-

Interesting
part 1
Leaders Dea Metreveli and Saba Buadze held a briefing on the large-scale works on the Zhinvali-Datvisjvari Pass-Shatili-Mutso section .

According to Lelo, according to the decision of the Georgian government, tens of millions of GEL have been allocated from the state budget. Rapid construction of roads in the northern direction is also planned on the sections of Kvesheti-Kobi, Arkhoti, Avaret-Kakheti roads, which are being protested by the leaders of Lelo.

According to Dea Metreveli, one of the leaders of "Lelo", Georgia is in the interest of the occupier country by building a road in the direction of Shatili.

"The Georgian government is building roads opaque with occupier Russia in an accelerated manner. This is happening against the background of deliberately stopping the western corridor in the form of the deep-water port of Anaklia, which was crucial for the economy of our country. "The government has broken its promise to investors under this project and started large-scale construction in the northern direction, while the government stops the Anaklia project and does not build the 18-kilometer road from Zugdidi to Anaklia, which was envisaged under the project," said Dea Metreveli.

According to Saba Buadze, one of the leaders of Lelo, it is unclear why the accelerated construction of the road was necessary and the allocation of 30 million from the budget. According to Buadze, the construction, which is being carried out by the donor company of the Georgian Dream, has no economic benefits.

The government of the Georgian Dream turned into a kind of destruction of cultural heritage, it started with the explosion of Sakdrisi and continued in the Khada gorge, with the construction of a completely unnecessary multimillion-dollar highway. The process continues today in the territory of Pshav-Khevsureti National Park, where there is a unique landscape. They fill the riverbed and take the road that has no economic justification. This is the way in which Kadyrov expressed his interest. We appealed to the Agency of Protected Areas to provide information on the ongoing work, where we were told the lie that no work was underway at this site. It is the government that is trying to hide the fact that highways are being built to the north, which once again exposes the geopolitical interests of the government. We request that all questions be answered immediately! Which sheds light on the ongoing work. "It is especially alarming that this construction, which is being carried out with significant violations, is destroying the territory of Pshav-Khevsureti National Park, the Arghuni and Mutso river valleys and endangering the unique cultural heritage," said Sabu.

Posted Madpunter on the 10th August :-

EkXoc - Observers were not invited to Belarus, but will be present in Georgia.

Belarus election: Clashes after poll predicts Lukashenko re-election
There were already concerns over a lack of scrutiny because observers were not invited to monitor the election and more than 40% of votes were cast ahead of election day.
https://www.bbc.com/news/world-europe-53717834

Ruling party MP: int’l observers will be able to come to Georgia for elections, despite travel limitations
https://agenda.ge/en/news/2020/2138

Posted EkXoc on the 10th August :-

Belarus election was a joke
I hope we don't see similar in Georgia, dirt tricks to watch out for on Oct 31, mass detainments and taking the internet down prob assisted by Russia

Posted OneDayRodney1 on the 10th August :-

final bit:

For information, on August 6, the Minister of Economy and Sustainable Development, Natia Turnava, said that the government had decided to provide a one-time assistance of 1200 GEL to the former employees of Frontera. The Minister of Economy called on Frontera to pay the wage arrears to the former employees.

Posted OneDayRodney1 on the 10th August :-

contd:

We felt a great obligation towards Georgia and we believed then and still believe that as a loyal corporate citizen we will play our role in the country's economy even during the great national hardship. After the end of the war, we happily participated in the IDP and Rehabilitation Assistance Philanthropy. We are proud of this story. Then, we could not even imagine that in the 12 years since the Russian invasion we would have seen the government, Which drove the country away from a very strong pro-American and pro-democratic policy. Instead, unfortunately, the government evolved disguised into the current kleptocratic oligarchy. International observers know that our similar business experience is a real-time indicator of what is actually happening in a country’s geopolitical and economic landscape. In this context, it is clear from our experience that while the Georgian government is constantly seeking Western attention and foreign aid due to Russia's occupation of its territories, it is silently embracing the values ??that the 2008 Russian invasion should have inherited. This is a very dangerous masquerade. The goal of the 2008 Russian invasion was largely achieved. As we see today, the Georgian government is succeeding in To significantly destroy the free enterprises of the Western private sector. For example, our business and the prospect of Georgia's energy independence related to it have been damaged and halted by the government, which was prevented by the Russian military invasion 12 years ago. We could not have imagined that after this horrific war, we would find ourselves in an environment where democratic reforms are opposed, and Russian, Iranian, and Chinese private sector investments are more welcomed by the government than by the Americans. As the largest US private sector investor in Georgia, we have met with the Prime Minister and his government many times over the past year to try to restore the positive spirit of the US / Georgia partnership. Unfortunately, all these appeals were ignored or we were rejected in response. However, as we saw in the last week of July, the pro-American masquerade continues, with other priorities. The president, prime minister and his government found more time to meet with Iranian officials to discuss normalization of relations and economic development issues. We once again appeal to the Prime Minister and his government to stop this deliberate, deceptive, damaging and insincere propaganda campaign. Instead, we encourage you to reach out to people sincerely and work directly and in good faith with our company to pave the way for a true partnership. We believe that we can set a positive example for American private sector investment in Georgia. We respectfully urge the Government to remain committed to the decision of the Arbitral Tribunal, to respect the terms of the contract,

Posted OneDayRodney1 on the 10th August :-

Thanks DomFok. Here you go:

The Government of Georgia has continued the disinformation campaign against our company, - the company "Frontera" said in a statement . The company is responding to the government providing one-time assistance to former Frontera employees.

"Last week, on August 6, the Georgian government continued its disinformation campaign against our company. Suddenly announcing through the media that it had decided to provide a small amount of one-time assistance to people it referred to as "former employees" instead of having a direct connection to the company as a constructive partnership, members of the government again chose to make a public statement on a fictitious issue. The public should be aware that the government has not even attempted to work with our company to find out or verify the facts about our employees, in return for making another false public statement about the so-called August 6th. If the government was really interested in the well-being of our employees and the business that ensures the well-being of our employees, At that time, they did not spend 40 million GEL on legal services in order to terminate our contract through international arbitration against us in 2018, which ended in the failure of the government. The question arises, why did they decide to spend this huge amount of money to kill private American investment, when they knew that their success would create massive unemployment and economic downturn in Tbilisi and Kakheti? While the government is digging up the issue of workers with empty generous public statements, we should know that the government has been deliberately using the international court as a weapon for the last two years. The only reason for this is to damage our business and our employees, forcing us to leave Georgia. Eventually, their corrupt attempt failed. However, I wonder who is responsible for the misuse of such valuable state funding in the conditions of Georgia's ruined economy? Just a two-year expensive legal dispute did not turn out to be enough for those who ordered it. At the same time, the government has created regulatory resistance to increase pressure, blocking crude oil exports and hindering the sale of extracted natural gas. In addition, we do not repay VAT debt, which exceeds 20 million GEL. Is this the action of a government that is interested in encouraging private American investment and long-term employment of the people? Last week marked the 12th anniversary of Russia's invasion of Georgia. On August 8, 2008, when Russia was invading Georgia, Frontera began investing $ 20 million in the Sagarejo district. In the drilling of new wells and the construction of natural gas infrastructure. Despite the terrible situation, we continued our work with local and foreign staff. The area around our operations was even bombed in Kakheti, however, we did not stop working amid great support from the government.

Posted DomFok on the 10th August :-

Looed - There is more detail in this article if someone could translate. Thanks

https://www.interpressnews.ge/ka/article/613089-prontera-mtavrobam-chveni-kompaniis-cinaagmdeg-dezinpormaciis-kampania-gaagrzela/

Posted Looed on the 10th August :-

This article / clip (but no Zaza) has, like article Blownitalready posted shows the FRR press statement and you can read it if you pause the videos - but I can't find any copy of the actual press release. IF anyone can find that would be great.
https://mtavari.tv/news/12962-mtavroba-kvlav-shetitkhnili-braldebebis-gzas

Posted Looed on the 10th August :-

Translation #28, short phone interview with Zaza, 1m24s, 10/10
J1 - “Frontera” accuses the Georgian government of misinformation and anti-American behaviour. The letter from the American company says that the Georgian government announced in the media about providing one-time financial aid to the "former employees" of the company, which, according to "Frontera", serves to write pre-election points. "Frontera" states that the government prefers communication with the media instead of direct cooperation with the American company. The letter also talks about the August 2008 war and the investments made during that period. The company says Frontera made the statement in response to a statement made by the economy minister on August 6, in which Natia Turnava said the government would help unemployed citizens. As the president of "Frontera" explains, this statement also meant the employees of the American company.

Zaza - We made this statement because it is just a continuation of the misinformation and false information that the Gakharia's government has been carrying out against our company for a long time. If the government really cared about the fate of the employees and the jobs, then the government would not have spent 42 million GEL to make every effort to terminate the contract with us and leave the people unemployed.

https://formulanews.ge/News/34932

Posted Blownitalready on the 10th August :-

politics / election point scoring
Frontera accuses the Georgian government of misinformation and anti-American behavior.

The American company said in a statement that the Georgian government had announced in the media that it was providing one-time financial assistance to the company's "former employees", which, according to Frontera , was intended to record pre-election points.

Frontera explains that the government prefers communication with the media instead of direct cooperation with the American company. The letter also mentions the August 2008 war and the investments made during that period .

This statement was made by " Frontera" in response to the Minister of Economy on August 6. Natia Turnava said that she would help the unemployed citizens. According to Frontera itself, this statement also referred to the employees of the American company.

Following the announcement of the harshest criticism and sanctions from Washington, the Georgian government has extended the license of the American " Frontera" until 2027. The contract expired on July 27.

On July 23, it became known that the government will not cancel the contract of the American fuel company "Frontera Resources Georgia Corporation " . The Ministry of Economy noted that the decision was made to maintain the international reputation of the investment environment for the country.

https://formulanews.ge/News/34932

Posted Looed on the 10th August :-

Ambassador: "US ready to invest more in Georgia"
The US looks forward to further expansion of cooperation to attract more US investments in Georgia, US Ambassador to Georgia Kelly Degnan said, Trend reports referring to Georgian Ministry of Economy and Sustainable Development.

She made the remark following a meeting with Minister of Economy and Sustainable Development Natia Turnava.

"I had an important meeting with the minister. Our cooperation covers many areas, which already contributes to the development of the Georgian economy. Our goal is to help Georgia ensure prosperity in all regions of the country," Degnan said.

According to her, both countries have quite extensive and large-scale programs in the field of energy, small and medium production, agriculture and the maritime sector.

"We work closely with the ministry, and we look forward to further expansion of our cooperation to attract more US investments in Georgia," Degnan added.

https://menafn.com/1100610013/Ambassador-US-ready-to-invest-more-in-Georgia

Posted Looed on the 10th August :-

Keysersoze - there is a small but important error in the quote you posted - it should read "...written by US congressmen to Mike Pompeo" - the article missed the "to" out.

A media-watch site describes geworld as "Along with anti-Western attitudes, the publication is notorious for its Turko-phobic, racist and homophobic content." and no surprise its Kremlin supported - https://www.mythdetector.ge/en/profile/geworldge

The site does include at least one mention of FRR - in a desperate hit-job on the Ambassador. All "may" have done this, that or the other. The article is supposed to be about the Ambassador but she only gets a passing mention, as does FRR, in the nonsensical final paragraph -

"The question now is who and when will conduct a similar investigation by the Brazilians in Georgia to find out exactly why Kelly Degnan forced the Dream government to pass constitutional amendments and release Ugulava and Okruashvili from prison, why our government changed its position with 180 degrees towards “Frontera”, and in fact, what did Mike Pompeo mean when he told to Gakharia that he expects transparent and competitive elections in Georgia."

http://geworld.ge/en/to-better-understand-the-approaches-of-mrs-degnan-the-us-ambassador-to-georgia/

Posted keysersoze on the 10th August :-

Article from 8th August - pompeo speaking to Ghakaria
"The current Georgian Dream government, manipulated by Russian oligarch Bidzina Ivanishvili, is trying to expel American businessmen from the country. This is done to increase investment from Russia, China and Iran. “Activities in Georgia’s Black Sea ports threaten the US national interest, namely American companies seeking to protect Georgia from Russian and Chinese influence,” the letter was written by US Congressman Mike Pompeo, after which Pompeo spoke by telephone with George Gakharia."
http://geworld.ge/en/trump-there-his-ambassador-degnan-here/

Posted Looed on the 9th August :-

Anaklia Port - "Unprecedented dispute in the history of Georgia"
Long article on Anaklia Port, arbitration and lots on the geo-political implications for Georgia. FRR gets a brief mention.

A few snippets -

"Therefore, the potential investor will definitely take into account the high-profile disputes of large investors against Georgia. The arbitration dispute of the Anaklia Development Consortium may cause financial and serious damage to the country."

"I think it was the task of the Georgian government to thwart this project. Of course, the Georgian government never acknowledges this, but they say one thing and prove another. It is quite clever to put the idea into practice - deliver the prospects of the port and show people that you are eager to implement it, but in fact work behind the scenes so that this project does not stand a chance."

"The agreement between the consortium and the government was then amended from time to time. If these agreements were not acceptable to both parties, naturally, they would not have been signed. If so, what do we say to either international arbitration or our foreign investors? Was this investor good before and now it is no longer good? We wanted to cooperate with him yesterday, we also made concessions and negotiated, but today we will not make concessions?"

"By burying the port of Anaklia, Georgia's sovereign right was violated. In addition, the dynamics of foreign direct investment shows that international investors no longer trust Georgian money and no longer consider our country as a democratic environment."

https://www.kvirispalitra.ge/economic/67549-uprecedento-dava-saqarthvelos-istoriashi.html

Posted Madpunter on the 8th August :-

FRR state the same Oil and Gas verified by both NSA and RS, the two biggest Petroleum Consultants in the World. The World's Oil and Gas businesses trade on the basis of the CPR's by both these companies, yet the GOGC and the GD don't believe them
'State officials were skeptical of these numbers from the beginning. In May 2020, we were told that the numbers were "quite far" from reality, although the number of stocks / reserves in block XII was not named.'
If the GD don't think that there's much Oil and Gas why did they spend millions trying to get Block 12 back from FRR. Also, IMHO it's ludicrous to suggest that both NSA and RS are wrong with their CPR's, which provide the figures for finance and trade in the World's Oil and Gas assets.

Posted Madpunter on the 8th August :-

Three months allowed for rectification of a material breach and three months notice of termination of the contract. Seems pretty obvious why the two timescales are the same and IMHO Zaza is right to state there's nothing allowing the GOGC to terminate the contract.
As previously posted, IMHO the GD refer to the area of 99%, whereas Zaza NEVER MENTIONS AREA when talking about the 99% remaining with FRR, as it is the portion with 99% of the VALUE.