Member Info for Phil164

I know there are plenty of sensible posters out there some of whom I hope may answer this. According to the RNS fogl are confident they have enough cash to pay their debts and keep going to end of next year. Would a small rights issue to raise say £10m and diluting the existing share capital by around 20% not also be an option. This would give fogl the operating cash to sit securely, for a couple of years if necessary until sentiment and the oil price picks up and we can get decent value for our discoveries or a more extensive rights issue becomes possible at a much higher sp.

Surely even at this price a 20% incresse in share capital to raise £10m would get fogl over its immediate difficulties and give it the capital to sit and wait for a year or two, surely existing shsreholders would stomach this instead of giving away the company.

From what I am reading and understanding here the options seem to be approve the merger or risk fogl going insolvent and losing everything. One thing puzzles me surely there has to be good faith between two parties entering into a contract and if Noble have contrived to run fogl out of money or withold information they have surely breached that.

At a valuation of just over £50m for the company does nobody seriously believe there will not be other interest ? surely this must have been just what someone like Noble or preferrably pmo would have been waiting for.

I wish you luck with your letter but wouldn't get your hopes up.

Can this merger be rushed through before the izzy redrill is completed and they then have a good idea what they have.

Remember in early 2014 one of their senior vps saying the falklands would be "humongous:" well this is their chance probably 400m at least confirmed barrels in nfb and all the licences for say £275m, got to be the bargain of the century.

Surely this would now be a no brainer for Noble, offer 50p a share which equates to about £275m, nothing for them.

Doubt rkh would have agreed to that., they wanted us on the cheap which is what they have got, long term though this does not change my view and may well work out to be much better for us as shareholders, its just the timing and the valuation I'm p*ssed off about.

Parsley, I understand your point but the costs of izzy redrill are already paid so to me it makes no sense to do this now, unless rkh have made a one time take it or leave it now offer in which case then fogl have been bounced into this and they clearly have not been honest about their cash position.

Parsley, I understand your point but the costs of izzy redrill are already paid so to me it makes no sense to do this now, unless rkh have made a one time take it or leave it now offer in which case then fogl have been bounced into this and they cleary have not been honest about their cash position.

Its been obvious for ages that this board"s stubborness would be their undoing.

Parsley, that observation is correct but far from the real point of my post, the board are clearly not in a position at present to properly value the company.

Yes, no arguments this is fantastic business for rkh, curious how this investment was announced yesterday don't you think ?

How can the board recommend anything in good faith at this point? We are in the middle of a drilling campaign for which we still do not know the results,, what if Isobel, of which we have 40% and rkh only 20, turns out to be huge, then the board will clearly have failed in their duty to shareholders, could be a D & O Claim? How can you endorse a merger when you have stil not clarified the asset value of discovered oil, remember Isobel redrill is free ride for fogl so why not wait till it is done and all the info is in, this makes mo sense.

Cannot see how in any good faith the fogl board can value company at 10.7p per share, looks like madness or the discoveries are not as positive as they have let on.

Meerkat48, eegbvi, pete308, thanks for posting your thoughts, by any measure this appears well undervalued.

Purely playing devils advocate here but all other things being equal, ie. assuming price of oil does not drop significantly further, what do people think is the worse case scenario in terms of confirmed oil for FOGL in the NFB in the (hopefully unlikely) event that the redrill is not a success, and, bearing in mind the market appears to be attaching little or no value to oil in the ground at present where would that likely leave the sp in terms of asset value on confirmed discoveries. I appreciate these may seem simplistic questions to some on here but I would be interested in people's thoughts.

Crikey it would be nice to see a blue day, have been through this race to the bottom with BOR and it is not fun, BOR crashed through 2p at one stage earlier this morning by the way, Would just be comforting at present to think this has bottomed out. Nice to see some more sanity on here from eegbvi, I am still fully committed to FOGL but weeks like this do test the constitution somewhat. GLA

Expecting the board to votes themselves out of existence is a bit like expecting turkeys to vote for christmas, there are only two hopes for this share in the next 24 months imho, a huge increase in poo back to $100 plus or early development of the northern basin, although a better president in Argentina which persuades one of the super majors to invest would also do nicely.