Member Info for ManxKippers

We all know that there has been a huge drive to invite investment from the west.

This includes high level visits to Mongolia, trips to Canada and the UK amongst others and involvement from Macron in France.

For the west, Mongolia is strategic for natural resources as China and Russia are not safe or viable.

The glaring area of concern is that Mongolia is sandwiched between China and Russia! If Mongolia become too successful at supplying the West, then as a country it would be an easy one to swallow up with a population of just 3 million and huge resources. Alternatively, as happened during COVID, the country could effectively be cut off by shutting the borders. This makes Mongolia very vulnerable to geopolitical events, as we are seeing the worlds balance of power firmly shift and divide. Lets hope not in the long run.

For the short term, I think it is reasonably safe. But there is a real risk of this happening if Mongolia became too successful at realising the value from their resources and do all of the hard work in opening them up and starting to extract them.

Good morning, Hamm.

I don't share your view of MB. I feel he is hugely disappointed himself, but this is virgin territory for the MG and there is a degree of making it up as they go along.

MB has to keep himself and our company clean and ingratiate with all parties that are brought to the table as the MG muddle through this process.

MB has met many people, invested a lot of time in learning the corridors of power, how it works, who to talk to and how, in a very under developed and slightly simple land. This intellectual property and built up trust can not be under valued when all are so nervous and new.

A hard approach would most likely have closed many doors and our company would have failed easily. However, we seem to be the trusted western company that helps and that they wish to give preferential access to. This, though, can not be seen to be illegal or benefit PM over others during any issuance of LP or newly tendered blocks.

I see this all as hugely valuable and time will tell if our closeness will deliver the prizes we are wanting. I believe the LP is only weeks away with due process.

The rest smells good and is worth a punt.

Indeed.

There also may be a coincidence of timing between the MG visit to the IOM and the opening of Petro Matad Energy Ltd, without any link. MB may have used the visit to also set up a new subsidiary whilst on island and there may be no jv with this new company in regards to ownership of shares in this Ltd company.

It could have been good strategic planning only.

We will wait and see.

My handle is Manx Kippers. I live on the IOM and I like Kippers. Nothing fishy about that....!

I am not worried at all about the update today. It is quite promising on consideration.

As follows

1: I can see in a relatively new and undeveloped land of opportunities, that if the MMHI were to issue the tenders for the prospecting blocs and then take control of the Special Licence Permits, railroading the thing through, then this may be seen as a conflict of interest. I would rather PM got the licence correctly from their revised ministry and without later challenge, so when the wells start pumping oil, it is cast iron and safe income.

2. A new block is on the way, and potentially more than just one. The visit to the IOM was key and having done this, the inference in the update is that we are very close to this being announced. The Mongolian government would have wanted to properly audit and check the safety of our company and the set up and understand that the IOM is not a threat or a tax dodging domaine. They will be happy now having had the red carpet rolled out and had access to the heighest powers in government.

3. The update did not mention the new subsiduary, Petro Matad Energy Ltd, registered last week on the IOM. I am interested to see exactly what that is about, and whether this is about renewables. But regardless, it is all extra and can only mean greater returns for the share holders.

4. Velociraptor, whilst not proven, is a strong hunch with a proven oil find there. Fingers crossed, but this is worth a punt.

The maths is quite stunning. Heron would be 12 or 15 wells, which hopefully would pump about 700 barrels on average per day per well. This is for a 60 million barrel extraction potential. That is $500,000 + per day once all up and running with a barrel price of over $70 per barrel and a cost of $10 per barrel deducted. An Annual earning of $180 million plus for 20 years.

Then IF Velociraptor strikes black gold, that is hoped to be the same and potentially three fold.

Plus all of the other sides. This should be looking at an annual income of $500 million + ultimately. That is a $5 billion company - or £4 per share.

We have all invested in a wild west prospecting opportunity, that MB is having to work with and around to bring something large to the table and he is doing it really well. It is close. We will see how big the turkey is in the next few months.

For me, this is a strong and exciting hold as an investor. The traders will see this differently. But this is a strong HOLD and a gentle BUY stock for me.