Member Info for mrc_mrc_mrc_mrd

Yes this is what happens when they sell off all the assets and dilute with a death spiral arrangement.

Living beyond their means essentially. Taking out Wonga loans to pay for day to day spending.

Lol SoTB, of course it is personal. For example,

“ Paying attentiion to your posts and follow ups does add suspicion of ulterior motives.”

This suggests that I am being deceptive or disingenuous. You can’t get much more of a personal attack than this!

Yes, worst case is about minus 3m on the deal (could mean liquidation).

This would happen if the loan element falls through and the sale takes too long to complete leaving SCIR to meet cash calls. In this case Gneiss may still be entitled to a large fee and this could finish off SCIR.

I think this is unlikely if TPDC really want it (I think the asset goes to the JV partners on event of default), but they could be colluding with ARA to let them take it for nothing. Wouldn’t be surprising in a country with corruption as rife as it is in Tanz.

I have even done the Google search for you

https://www.woodside.com.au/docs/default-source/asx-announcements/2020-asx/woodside-pre-empts-sangomar-transaction.pdf

AA - look at TLW and look at Woodside

44 - I am with Aimster on this one.

If TPDC don’t pay then SCIR would need to go to arbitration against the bilateral investment treaty between the U.K. and Tanz. This would take many years and cost tens of millions of dollars. SCIR can’t afford that.

Look at recent case with CNE - they got a finding in their favour and had to get seizures of GOv of India assets overseas before they came to the negotiating table and agreed to pay some of what was owed (no interest and no costs). Basically to the point where air India planes were going to be seized and sold off if they landed overseas.

Another example is AST who were ripped off by the Gov of Slovenia and are still trying to sort it out 10 years on and looking at going no win no fee legal route.

Basically governments can do what they like.

AA - this is everyday stuff in oil and gas JVs.

Will let you guys finish each other off with your shared delusion That this is anything other than a done deal.

Ah some personal abuse. Good one lads.

All I am doing is putting some information out there. Do with it what you like.

Aimster - it is all in the RNS.

The petroleum act can also be viewed online.

Steve - the difficulty now is that SCIR need that loan from WEN. If TPDC drag their feet, or if the lon facility is not part of the sales agreement (E.g. TPDC not obliged to provide similar) then SCIR have no way to meet the cash calls.

As you say, TPDC can sit on this up to the long stop date. Might be in their interests to do so as well.

It wouldn’t be your own research if I spoon feed it to you.

I am spelling the situation out to you as clearly as I can, but you need to take responsibility.

The deal is the deal.

Steve - no, look up in relation to sales of interest in oil and gas.

Steve - Yes signed with WEN but SCIR must accept an offer on the same terms from TPDC or ARA.

Go and do some research into other deals where pre emption rights have been taken up.

Yes Steve but the RNS for that deal specifically stated that there was a get out clause for the Buyer, including the penalty to be paid.

In any case pulling out of the deal would be equally disasterous. Probably a penalty to pay to WEN, **** off TPDC and ARA, fees due to Gneiss (deal was signed after all). On top of that SCIR would need to quickly find someone willing to pump in $6m!!!

Paul - they have been seeking partners for years. It’s going to be the same parties that could potentially be interested. Either these guys won’t answer TCs calls or they are not interested.

AA - no, the way this works is that once a deal is signed the partners have a chance to match it.

I know you don’t want to believe me AA, but a binding agreement has been signed. SCIR shareholders had the opportunity to get out of it but didn’t take it. Here it is from the BOD in black and white:

“RNS Number : 6068O
Scirocco Energy PLC
13 June 2022

13 June 2022

Scirocco Energy plc

("Scirocco Energy" or "the Company")

Ruvuma Divestment and announcement of General Meeting



Scirocco signs binding agreement to divest 25% interest in Ruvuma to Wentworth Resources for a total consideration of up to US$16 million.”

You are wrong AA. Deal signed.

They also arranged Wonga finance for SCIR which has obviously not helped.

As I say, if it’s just some body’s to put deal paperwork together then I don’t see a problem using them. Just watch out for Creepage, and don’t expect a good retained percentage.

SoTB - I urge you to look at SCIR. They are in the process of trying to remove Gneiss friendly BOD.

Gneiss director Jon Fitzpatrick bought his way onto the BOD, installed another consultant from Gneiss as an ops director, and handed his own company millions in other consultancy fees.

Essentially SCIR have been stripped of assets to pay for all of this - just my opinion.

You could argue they did the best they could with a crap company, but really if they are any good they should have been running it as a bare bones business and returning cash to shareholders. Or properly recapitalising the business to take forward a new Strategy.