Roundtable Discussion; The Future of Mineral Sands. Watch the video here.
It is my understanding that in order for Matad to book reserves as assets they would have to be certified as such by a QP acceptable to the regulatory agency and more importantly the international financial market.Matad as I understand the process has filed the necessary documentation pursuant to getting that very necessary certification of reserves which will be the key to determine the initial value of the company as an oil producer with proven reserves.
Matad is asset rich and cash poor.It is a classic liquidity problem that can and does occur when an enterprise experiences cash flow problems not because of profligacy,corruption,etc.but because of
circumstances beyond the reasonable control of management.This clearly the case here.MB and his group have managed the affairs of Matad with a high level of competence.One the EL and associated establishment of reserves is approved the company will have no problem raising
sufficient capital to proceed to ultimate production of oil.IMHO this can be done without share
dilution via a loan advanced on the basis that the company has liquid (excuse the unintended pun)
assets that can be readily converted to cash under conditions of insolvency. On the other hand I could be completely OTL.
It is a little difficult to comprehend but if Matad has actual reserves certified as such
in the range of 1B-2B in Heron the impact of stock price would be immediate and substantial.
Add in the other highly prospective drilling targets and we are talking about an interesting
development to say the least.Anyone out there have any thoughts on what a reserve estimate of
1B barrels,(even 500M) would mean in appreciation in value.
Having studied the latest update and listened to the interview it is clear that MB has done an excellent job in advancing the EL and associated requirements.It did not happen as quickly as he would have liked but there is no indication that there are any serious impediments to a
successful conclusion in the very new future.Note his comment,"we are working closely" with
govt.officials.Very telling comment. Also his comment on 5,000-10,000 bpd.Does anyone have any thoughts on value and booked reserves?
in
Reality is tough and many don't handle it well.The fact is that the company has no information
in its possession that would effect stock value.If it did and was sitting on same that would be illegal.There is no 'plenty.' There is a 'paucity.' Frustrating no dout but them's the facts.
MB is the public relations officer.When there is material news he will communicate it to all
via an RNS.In the absence of same there is nothing to communicate hence no RNS.
I admire your sang-froid.I agree that the fundamentals are promising.I have great confidence in
MB's competency and capacity.Hopefully the long awaited RNS will arrive soon and start the
process of MATAD's ascendency as an oil company of note. Good luck to all share holders.
It was contained in an RNS issued by Matad at the time.Check the RNS record.
Wrong.Land issue arose because of a dispute between central and local govt over jurisdictional issues.The record shows that it was resolved and the company stated at the time that the delay
was not a factor in El application process.It was not something that the company overlooked.It was ex post facto.
Has no factual basis for his comments.This is certainly taking longer than MB expected but that is not a process he has any control over.Assuming he did what would have been done differently.
Oil has been found in commercial quantities.Exacly how much is being determined via the EL.
The company has other drillable prospects based on good data.A refinery is under construction.
It is not unreasonable to assume that Matad is placed to be the national oil company for the
Mongolian govt.All of which could be wrong.If anyone thinks so they should sell. Otherwise we have to wait it out.At this since 2010.The best to all.
If better oil plays are available why are you wasting your obviously valuable time here among us illiterate,unsophisticated peons.Cast your pearls of wisdom elsewhere where you may be invested.
Here you are a nuisance among those of us trying to engage in an honest exchange of info.
Missed this for some reason but a very valuable summation of what we r dealing with here.
Excellent summation by MB,measured and informative.While the process is certainly taken longer
than expected there is little doubt about the commercial viability of Heron.And there is no doubt that there are some big discoveries likely in the west of the country.This was determined by
Soviet geologists in the '40s but not pursued because of preoccupation with Soviet production.
Interesting times ahead methinks. A big thank you to Jimithe brushnfor his timely post.
My understanding of what MB said re:placing was that is would not result in a significant stock dilution? Also the refinlery will not be ready for at least two yrs? Any one know different.
I took the trouble to review the 2019 Annual Report. At page 19/20 it clearly states that the land question involved a dispute between local and central govt and would be resolved as part of the approval process currently under way.If there had been negative material changes re:the dispute MB would have informed shareholders. He has not.And with respect to the application generally
the same standard of disclosure applies. There are no material changes in the application process that the company is aware of and therefore there is nothing to communicate to shareholder by way of a RNS.Unless of course MB is dishonest and if you believe that get out yesterday.The process is certainly taking longer than expected but I am not sure how MB can be held accountable for that.
In all matters since become President of Matad he has demonstrated competence and professional
judgement of the highest standards and all RNSs have been informative, measured and directed towards given as accurate a position of the company's circumstance as possible. Unless of course
you believe that there is incompetence or worse.In that case sell today.There are no crystal balls
currently available.
As I recall the land use issue was resolved.PM got caught in a jurisdictional dispute between central
and local govt. which was resolved with no detriment to its position as we were told.Remember there is a refinery under construction.The vehicle of choice for the provision of feedstock is PM.There is no other 'game in town' for said provision.It is taking much longer than expected but I am unsure how MB can be held accountable based on RSN content. On the issue of the two
wildcat drills,MB was quite clear in his RNS these were 'high risk-high reward drills.'Anyone holding at the time could have sold if they found the rick unacceptable. I did not as I was clear what the risk-reward was and thus cannot fault MB given that he made it quite clear.Never blame others for your own decisions.Blame others if you detrimentally relied on info.that was false,misleading. Such was not the case here.And who knows it might be 'top-up time' again. Of course I could be wrong but there is nothing in the RNS record that appears misleading et al.
Unlike CS both these comments show considerable knowledge of the process.Informative and not at all unrealistic
That is the most important and only relevant fact ins latest post.
Yes it has been resolved.
yes
I would think yes.That would be a most important approval key to funding issue.