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jono44, payments by BPC to Lombard Odier are nil. See the last RNS.

Garry Graham, And whom should you thank for acquiring the CERP assets that gives BPC plenty of upside so that it's not a one trick pony?? Any guesses?

Only a daft apeth would suggest Potter is going. He will have a farmout lined up from previous discussions, and will want to take credit for monetising the Bahamas, in particular Perseverance, and securing the next drill in 2022. No doubt the follow up discussions have already commenced and I expect regular updates after the well analysis and results of the data evaluation are announced.

United Oil & Gas FY 2020 Trading Update
FY 2020 Performance
· Group working interest production 2,195 boepd *
· FY 2020 Total Revenues of c. $9.0 to $9.2m**
· Realised Oil Price c. $37.7/bbl *
· Group Cash Balance of $2.1m
· Total Cash Collections of c. $9.8m *
· Cash Capital Expenditure c. $2.5m

* From completion of the Rockhopper Egypt acquisition to period end, 28th February 2020 to 31st December 2020
** 22% working interest net of Government Take

jono44, You have to factor in UOG only have a 22% interest in group production of 2200bopd. So approx 484bopd.
BPC on the other hand has a 100% interest in T&T and Suriname production.

I know of two majors who visited the rig. To say majors are not interested is pure speculation. Mr Potter has backed up the notion that majors have been involved with the volunteered comment that right up to drilling Perseverance, he has been in discussion with major partners. He didn't need to say this of course.

Hi fatalcharm, Yes, to carry out 2D and £D surveys and drill 6 wells to get the data, It will cost more than $500m. This is where any major would have to start if it wanted to take on the licences. Aimho.

Hi Garry Graham, The licences can't be applied for by anyone else while BPC have the exclusive rights. Any major would not be able to take on the licences without a competitive bidding round if ever the licences did became available should BPC not choose to apply for their 3 year extension, which they are entitled to do and which The Bahamas government are legally obliged to honour. The intellectual property for the 2D, 3D data, and the 5 previous wells, and the Perseverance well data, all belong to BPC and have a combined value of $500m+ should this data ever need to be replicated by a major. Thus, the only option to a major is to farm-in with BPC or takeover BPC, at which point full value would be triggered. As for the well result, if you read the RNS carefully, you will realise that more than just oil traces have been found. Full evaluation will take a number of weeks. The interest already generated is an indication of the significance of the well result, which has been to emphasise the nature of a new working petroleum system that has been proven to have sufficient charge, reservoirs, trapping and seal for commercial quantities of oil to be found on BPC's vast licence areas. When the 3D model has been recalibrated with the well result, a clearer picture of the full results will materialise. As for funding, there is enough cash to drill the Saffron 2 appraisal well and the Suriname appraisal well, with other non dilutive funding options available such as RBL, and any farmout of the Bahamas, which is the preferred option now parties are re-engaging in farmout discussions.

If they were near to a deal they would have waited and closed it out before announcing. I think todays RNS was really to announce that Fitzpatrick has gone and they had to say something about what they've been doing to steady the ship, otherwise it wouldn't have looked good.

I think you guys are forgetting, if Mr Potter hadn't diversified the business into Trinidad and Suriname, then what would you all be saying then?

Garry Graham, Are you ok? BPC was and is a highly risky share. Holding for the Perseverance well result had one of two outcomes, negative or positive. The risk profile of BPC, is lower post Perseverance, with the focus moving to production from the T&T assets and Suriname, but the rewards are still considerable, considering the low production base BPC are starting from. The oil price will greatly improve revenue figures if BPC can deliver on the 2500Bopd production. Yes there has been dilution with Perseverance, but only a fool would write off the well as dust. I'm not sure how close you are to the oil industry, or how much experience you have in oil companies, and the importance of technical well data and recalibrating a geological and geophysical model, but why do you think oil majors are showing an interest in BPC and the Perseverance well results? Is it just curiosity?, if so why waste time, or maybe they feel BPC really has something and will be more receptive to offers and that these majors have more confidence now they have data confirming oil? If BPC are keen for a lower asset interest, in return for higher monetisation, considering the expense to date of $130m+, would it not be wise to get some of that investment back if a farm-in was offered? especially now BPC has other valuable assets to work on?

Interesting update today. Saffron 2 and the Suriname appraisal well are all on track in Q1. Only using funds for what they need to limit dilution, rebased at 0.8p, which is a premium at least to the sp. Saffron 2 appraisal well is a big well, targeting thicker Lower Cruz formation, (Saffron 1, 300ft thick). If they drill the Lower Cruz and it confirms the 3D data, and produces, then I expect this to increase the 2p reserves significantly, which will open the door to a larger RBL base, (currently $10m) It's about time the board uses this and did some alternative financing that has non dilution. It is good to see a cash balance of $15m, and nil payments to Lombards. Even more interesting, unsolicited interest from industry counterparties, ie: more than one, so I wonder if together?, sounds like a consortium, less likely a coincidence, why all within a week of the Perseverance result? Couldn't they wait for the evaluation and results of the analysis? Gneiss Energy formally appointed to solicit broader interest and, management admit they were talking to majors right up to the spud of Perseverance and therefore, probably while drilling, to the extent that some heli visits were probably made in the final week of drilling while the logging was run, and the decision to TD at 3900m was possibly a joint decision after looking at what they have ie: a good working petroleum system, with saturated reservoirs and high oil values proven for the next drill. So all to play for, with Saffron 2, Suriname, farm-in process formally started with Gneiss Energy who will be keen to close a deal, and 2500bopd exit in 2021, which I think will be surpassed. Current revenues from production ahead with $60 a barrel oil, which will benefit operations in the work programme and negate any other dilution, potentially. Sp is where it is, but as things progress it will advance to give £100m Mcap or more, by the end of the year. imo.

Can't consolidate without shareholder approval, which is good.

Hi Yonny, It's not the Columbus Energy Merger document. It's the Notice of AGM document, page 21
https://d1ssu070pg2v9i.cloudfront.net/pex/bahamas/2020/08/27140719/Notice-of-AGM-24-7-20-Final.pdf

The Company is incorporated under the Isle of Man Companies Acts 1931 to 2004. It is a requirement
of these Acts that the Company has authorised a nominal share capital, putting a ceiling on the
maximum capital for which the Company may issue BPC shares. The current nominal share capital is
£100,000 divided into 5,000,000,000 shares of 0.002 pence each (£0.00002). To ensure that the
Company has sufficient nominal capital to issue the BPC shares required under the foregoing
Resolutions and to meet the obligation to issue BPC shares under the options and warrants in issue, if
exercised, your Board considers that it would be prudent to increase the nominal share capital to
£200,000 divided into 10,000,000,000 shares of 0.002 pence each (£0.00002). The Company’s Articles
of Association provide, in Article 43, that the Company may increase its nominal share capital by way
of an Ordinary Resolution.
Shareholders should note that the Directors have initiated with various advisers a process to evaluate
the merits of a share consolidation which, if appropriate, will be put to Shareholders at a future date.
Preliminary advice received is that a share consolidation may have certain advantages, although will
require a degree of preparation, as well as involve a Shareholder meeting and a Court approval process
in the Isle of Man, such that it would not be practical to address the matter at the current Annual General
Meeting.

Hello Yonny. I agree, consolidations are never good. It just gives the sp more room to fall, in my experience.
The reference to consolidation was in the Columbus Energy Merger document. It used to be in the Constitutional Documents section on the BPC website, but since the new BPC website, it's not there anymore. I can't find it by googling online either.

Yes placings are at 100x . The CLN is currently at a price of 2.5p. For funding to be agreed and kept the same in the case of a 1 for 100 consolidation, the CLN conversion price would be £2.50 if BPC still want to have the same amount of funding available. imo

Bespoke, yes the sp will increase by the the ratio of consolidation. But there are less shares in issue. The share capital also reduces, ie shares available for issue. As in the example below 1 for 100, shares are consolidated by 100 but the sp increases by 100. It means less shares in issue and less share capital available to issue. ie 47m shares in issue (current 4.7B) out of 100m share capital (currently 10B).

Hi Cookieptb, The current share allocation for BPC is 10B shares. Yes I have read the publication you mention. If there was a consolidation along the lines you are suggesting 1 for 100 or 1 for 10, then the allocation of shares available to the company would be 100m allocated shares with 47m in issue with a sp of 64p (1 for 100) or, 1B shares allocated with 470m in issue and a sp 6.4p (1 for 10). The reduction in shares will restrict the number of allocated shares available accordingly. ie BPC will not be able to issue the same number of shares for the CLN to raise funds, as there just wouldn't be enough shares available.

One has to remember if there was a consolidation, there will be less shares available for any funding. ie: for the LO 'call' or the Bizzel CLN. As an example, if they did a 2 for 1 share consolidation that doubles the sp and halves the number of shares in issue, so there are 2.3B shares in issue, there will also be only half the number of the 'call' shares and Bizzel CLN shares available, therefore half the amount of funding available, imo.

Poselenes, another naive post. It is fine if you are just giving an opinion, but it is not correct to state your opinion as a fact. It takes many wells to succeed in finding commercial oil in new basins. Perseverance is the nearest yet. It is my opinion that the basin is now set up for a major to enter and drill 2 or 3 wells and find commercial oil that so evidently exists. We can only go by the data and the evidence of a working petroleum system that has yielded high quality oil saturated reservoirs increasing with depth verifying a lower Aptian working petroleum system that warrants further exploration.