Member Info for Phil_2018

Whatever the case it appears FRR according to the GG now have just 90 days (a few less since they gave notice) to get something sorted. Otherwise in July they apparently take the lot and it is game over for us. I personally see this as a greedy theft by the GG and corrupt officials, it's the way out there unfortunately. Zaza is Georgian so should know the game and what they are like. He now needs to deal with the situation if he and us shareholders are to hold onto anything. Whether that is by coming to a deal with the corrupt GG and/or officials, getting the US to wade in or bringing up legal action/another arbitration in advance to stop them. The last option may hold some water as although another court action is the last thing is shareholders want to hear about if it can put off the GG enforcing the action till after the August Parliamentary Elections in Georgia then there may be some hope. Unfortunately we would then also be running into the Hope case. To my mind unless he can get the US to wade in I think Zaza might be best off trying to come to terms with the GG and/or corrupt officials in order to get something out of this for us all by allowing something for them. End of the day Zaza knows the situation out there and what the best play to make may be, if he gets it wrong though and the GG take/steal the lot then he is likely to be much the poorer for it. For me it's a few grand unhappily down the toilet and a situation I wished could have worked out better. Zaza however who has invested hundreds of thousands/millions in FRR it will no doubt be an even heavier blow.

I along with the rest of us here don't know the precise situation as Zaza is keeping that pretty quiet. Personally myself though my feeling is more towards seeing if he can threaten court action/US involvement and then do any deal that seems reasonable with the GG/Georgian officials. Then he can sell the whole lot onto a Major and we can get a (hopefully decent) return on our money and be shot of the whole thing. My thoughts are that is how they seem to do business out there so it's a matter of playing that game in order to win. At the moment all it looks like we have at the moment is the three month/90day time period in which FRR has to successfully resolve this situation.

My guess why Zaza isn't allowing the publication of the Arb is that it isn't all that rosy. It is probably not as bad as the GG make out, however if he can get the US in and/or refuse to bend then the GG may end up coming to the negotiation table than they otherwise would. I could be wrong, he may still yet allow publication. If there is little more than we already know then he would have nothing to lose.

To my mind I think this shows that Zaza is very invested in this share. It looks like he has put a large amount of his family's money in, in buying many shares. If he wasn't so invested he wouldn't care that much if the situation was going against FRR from Georgian aggression.

Bedex, nothing has come of it because as soon as something did turn up, i.e the discovery everyone was all over it like a rash. Everyone is still fighting over that box that isn't empty anymore. To date the fighting continues. It probably will do until some lose out or agreements can be reached. I don't see agreements being reached easily, they would likely be the quickest way out but no side wants to look like it will fold easily over it. Best hope of anything happening for anyone soon is for agreements to be reached. I think some involved in all of this are still greedily eyeing the lot like the ring in Lord of the Rings. Logic and common sense need to prevail, for that I think FRR & the GG need to hammer out a long term solution that works well enough for both sides. I also think that unless FRR have some absolutely damning evidence we have yet not seen against Hope they need to pay him of either with replacement finance or a buyout. All this arguing is wasting good time and resources and effort that should go into the tapping into that oil & gas in the ground. There is more than enough for all to go around and for everyone to be satisfied.

I think FRR are going to have to get the US to come in hard on this one to get the Georgians to back off. The US would have to threaten to pull all their support for the region and any NATO protection. Looks to me that the GG and corrupt officials there are trying to make a play for all of the resources their. More greedy bastards that are trying to thieve from those that have made investment and hard work. They put nothing in yet want to steal it all for nothing.

Difficult to say I'm thinking. It could be the GG making noise to cover an Arb verdict that still left Frontera with ability to continue operations. I'm guessing the US could come in again to put pressure on the GG. Zaza at the moment seems confident that they have a green light to push on. I'm guessing we may get more info in coming days or weeks that will indicate what way things are moving.

tsbs, I think Zaza & SN are indeed truely aligned with us, that may not be how others feel on this board which I understand after all the goings on. However, they are both major shareholders and so like us are very much invested in FRR. If they make a success of FRR they get to walk of the more comfortably off as we all do, if they fail then they like the rest of us will end up living in relative poverty. They essentially can't afford to let FRR fail, only if it fails after every effort is made upon which they will have no other choice.

We believe that FRR still have the land and license rights to extract what they have found. I would find it perculiar for them not to have held onto this. That alone makes FRR a potential source of great wealth. FRR just need to either get finance in or a buyout to sort it out. Now we are out of arbitration I hope this will become more feasible. FRR may well also be negotiating with the GG so may be able to do deals there. While it would've nice to hear from FRR I don't expect to until this is all sorted out. I can see why Zaza & SN have not told us a thing since we delisted, telling us anything would also tell others as well, others who would seek to use that information to attack FRR. There are no doubt dangerous, unscrupulous and greedy people out there and if they get to find stuff out would seek to profit off it due to their pig headed unthinking selfishness. Like it or not there are some pretty unsavoury characters out there whose thinking begins and ends with themselves.

I doubt we will hear much on FRR for some weeks. When we do it will likely be a news report or similar. Odds are we are probably looking to August direction now or soon after. Either FRR will follow through with the Hope/Outrider case or they will come to terms and settle. I always saw it as a way to keep a vulture from the door but if they do have more than we have seen from court docs etc then maybe they might go for it. If it is as thought and a way to keep Hope away then I'm guessing some sort to agreement/settlement or notification of a buyout would occur by around August time. I would have thought that the more likely event in which case I guess we should all be looking at August (if not before) as the new wait date.

Mijas, they can't just transfer the asset/sell it onto the new company. Just transferring it within FRR caused issues enough. They would likely have to buyout FRR that means the Hope loan notes etc situation comes with it.

I don't see anything happening with all this talk of Zaza's son's company. Sounds to me it's a small fry operation if it is actually doing anything at all. I don't even know why someone brought it up again I guess it was a result of the arbitration verdict and people thinking all sort of bad things happening.

I think the best way of this situation is Zaza holding talks with the GG and/or any Major in terms of buyout or co-operation. The GG still need some idea of where they are going to go from here now that they have the verdict they wanted from the Arb, I presume. There's either go in this now or there isn't. If Frontera is done for then so are we, so is Zaza and so is Hope and any chance of getting anymore money. Strange as Hope was after shares in FRR instead of payment so he must have seen it as a going concern.

tsbs1, I wondered if something had happened upon first reading this thread this morning but looks like someone just started surmising.

Zaza etc would not be able to just steal the asset they would have to find a big financier to buy out those investors not in on the buyout, have extra money to recommence production plus money to settle the Hope case and other debts pending.

So that's a pretty tall order, then Zaza etc would be left with one big financier lording it over them. That financiers terms would probably make it unviable if they could ever find one such would be the depth of investment they would have to make.

End of the day I don't think Zaza is in a position to go for a management buyout and he would still be left with the same problems as he currently has. Odds are with a sizeable investment in FRR he is only left with the option of trundling along with us anyway. Hopefully he will be able to find new finance to restart the wells and pay off Hope, that may well be achievable. Remember we have well producing now which we didn't have years ago when needing funding.

I don't know why all this stuff about new company with Zaza's son has started up again. Some people reckon we are left with nothing after the arbitration and others that there is something that Zaza is going to make off with, with his son. Can't have it both ways, lol. As I recall as far as could be discovered on here Zaza's son's company was set up to provide support services to FRR though it looks like nothing much necessarily came of it, to date at least. It may have been done when things were looking very bright and straight forward.

I don't think there is any possibility of Zaza making off with what FRR have. There are laws that protect investment in companies plus Zaza is investigated himself to a large extent. On top of that there are other large investors, SN and a lot of other board members, etc. I don't think Zaza is a bad bloke, it's not been an easy ride but that doesn't mean this can't all end successfully for all of us.

Potentially now that the arbitration is out of the way and whatever FRR have left is no longer under dispute it may be easier for Zaza/FRR to raise the money to pay off Hope and as soon as virus situation allows get this field back producing again. I'm hoping that some positive news will surface in the next few weeks that will point to Frontera still having some go in it :)

PJohn, I don't think it's 99 percent of the field as such. I think the field was only ever the area where FRR have oil rigs at present, the 1 percent mentioned. The 99 percent was probably a whole lot of extra wasteland that was made available by the GG as its probably never quite certain what will have to be gone into once oil investigation is underway. It's probably standard practice for many oil exploration sites to be set up this way.

That is just my mind's view of it. What we really need is some info as to whether that is actually the case. From previous info posters here have dug up there seems to be that as a possibility. I'm pretty sure a while back someone here noted the area presently development was not up for grabs, so only the land outside of it. As a lot more oil has been discovered by FRR than thought to be the case because of fracking etc then it seems that this extra land the 99 percent is of greater interest than it might have been because it could hold more oil, etc. I am still waiting to see if a report will come forward in the coming days that FRR still fundamentally are in control of the current crucial part of block 12 that they have been developing and it is still a goer. No sign of bankruptcy yet, still only been a week but I'm guessing if there was no go in FRR anymore Zaza etc would have thrown in the towel within days of last Friday's arbitration judgement.

Good point Gipps.

Bedex, if you mean the original Outrider Loan deal then yes it is ridiculous terms to pay that much interest in such a short space of time, but I assume there was no other way to get the finance in so they were left with no other choice. Having spent vast sums of shareholders finance and a share price that had tanked it as a result it was likely the only way. They also went to those other vulture capitalists YA also before getting rid of them, just. So that tells me their backs were to the wall in terms of finding finance sources.

I've no doubt that things are seriously wrong, basically that there are a whole load of problems that need sorting out. Going to shareholders and saying anything will only lead to a want for more info that will lead to a interrogation, discussion, argument of the ins & outs of it all. That's not helpful in the sorting out of the problems. Until these problems are sorted and there is good news then it's all a bit pointless saying anything. If talks are going on at the moment and the next moves in play then that's stuff that is probably best not talked about to avoid it being sabotaged by opponents.

To my mind Zaza has to be able to sort this before the Hope case as if that hits then it's almost certainly game over for all of us as far as Frontera goes. So once again not long to wait I presume.

I don't blame Zaza & co, not yet at least, not until I see sign of clear wrong doing. I think the situation remains that the company is in too delicate position to give any commentary on the situation. We saw that with the oil workers being unpaid for however long it was and the move of assets within the company. Like it or not both were in the interests of keeping this company running and hence us in the game. Right now Zaza will have to deal with the outcome of this arbitration. For us it's a pain as we're back in the waiting game which we hoped the arbitration would put an end too. I don't know whether Zaza was successful in getting workers in to get the oil pumping through in the last 2-3 months. If federal support is forthcoming because of the virus that could help us out, but it would likely have to come soon. I still see this thing going on to a court case with Hope as the worst thing possible, I think we would come off very badly from that. Unless there is absolute damning evidence that Hope was up to no good an argument that it was suspected he was with some talk of a funding dispute with Zaza isn't going to hold water. We would either need a buyout before then, new finance in to pay him off, or some other manoeuvre. Zaza has millions invested in this and I don't see him as being happy in seeing it all sink. He is in this with us, we may not all be rich guys but we are all in the same place with needing FRR to a successful conclusion for us. The guy is Georgian so that may help out in any negotiations going on with the GG now on what happens in the future. The US is also interested that US companies get a fair deal so they may help to influence the GG to play decently with us. I think we are just going to have to sit it out a bit longer and see what news emerges.

Regdik, as far as we know the 99 percent was never worked/investigated. From what someone write here yesterday it is a huge area of 5000km. So the 1 percent that Frontera has where they have investigated and worked, ie the area already developed is likely to be quite large in itself and theoretically quite lucrative. I'm guessing the reason why such a large area was made available to FRR in the first place was to give them scope to investigate as and where they found a need to since looking for oil and exploration is probably not always a confined task. So of course after a while the state would want this land back under their control. I don't see any reason why a major would not buy Frontera out in the land it has, even a small oil field can reap many millions. Frontera's site with further development plus the gas could reap many billions over time. We do though need a statement from Frontera to confirm if there is still go in this as I suspect there could still likely be. That and/or anyone with a better idea of the PSA agreement such as this Mole guy or whoever.

OneDayRodney, that is indeed a valid point. My thinking is that if FRR could have held onto all the large amount of undeveloped land then that could end up with a better buyout offer. My thought is that as far as all the extra undeveloped land outside the exploration area is concerned is that it is just not known whether there is anything there. However, as FRR have proved up a oil & gas resource in the exploration area then there might be. That could mean that the undeveloped area could be worth a lot of money potentially. It's that unknown potential that the GG probably don't want to give FRR. The GG of course still have to decide what to do with all this undeveloped area of land, FRR may have room to negotiate there if it is of any interest to them. The thing we most need at this stage is either some idea from FRR of exactly where they are or a buyout offer put forward.

Would be good to have FRR's side and where they are going from here. To me it still sounds that we may have only just lost a lot of wasteland. Wasteland that may have originally been put down in case there was a need for its use/anything there. If it was always due to be returned to the GG as per contract then Frontera would have known that this was always the likely case and no point researching or developing that area much as I presume it hasn't been. It's really just the oil & gas area we need, ie the designated exploration area I presume. The vast amounts of wasteland may or may not hold anything but as long as FRR have a good area where the wells are sunk then that could be the main thing at the end of the day. I still think that now that the arbitration is over a deal with a Major should be done so we can all get a payout. It may even still be the case that we could get a good few pence per share on this assuming I am right that we are still left with the lucrative area.

This is a bad arbitration outcome but it may not necessarily mean a wipeout. I don't think FRR have the money to continue operations and it will/should be a buyout situation. However if it's the case that the oil & gas field is the 1 percent and the rest just an large expanse of land with no one really knowing if there is any worth under there then it may not be as bad as it seems. Zaza said it was a minor matter when this all first came to a head, he may have just meant that the GG are after the return off the large undeveloped land that may or may not contain anything. Of course the case would have to be opposed by FRR as if it turns out there is anything there then they would otherwise be giving it up unopposed. Zaza also has invested a lot of money here, millions of pounds, so he won't be wanting to see an unprofitable end to this if it can be helped I assume.

The arbitration decision could at least make it easier for a deal to be reached with a major now it is known precisely what is on the table in terms of what FRR has. The arbitration decision came in end of last week but as far as we are aware there has been no receiver/liquidation process out into action as yet so it looks like Zaza hasn't walked yet. That I would take as a potential sign that what we have left could be worth doing a deal with a Major and still leave shareholders potentially seeing a profitable return on investment.

In a few weeks most workplaces that can't be run remotely will reopen in the US, UK, Mainland Europe and elsewhere. So demand for oil should pick up. Preliminary negotiations could take place now with a view to the oil price being higher than it presently is. Since it will likely take a few weeks for a buy out to go through that should be fine. The buyer will likely be buying in with a long term view with the oil price expected to rise over the preceding years. I personally think FRR is now too done in and too underfunded to do anything more with the site. The essential stuff has been done with the resources proved up and the wells up and pumping. Now is the time for FRR to call it a day and sell on. Any court case with Hope would be no more successful than this arbitration situation to my mind. We now know of the result at long last at least and it's time to sell up and move on.

I agree with OneDayRodney the costs will be significant on FRR coming out of this Arbitration result. That is added to the costs that the company has racked up and is still racking up elsewhere. Along with all the strife this company it would be better to sell out now assuming there is enough worth still left in the company. All these bad woes will go away, costs the company owes will be paid and if we are lucky we might get a few bob back. I am hoping that FRR still keep control of the bulk of the oil/gas field and that is where the wealth is. We need Zaza to step forward now and state where we are on this all. If there is anything worthwhile for a Major to buy us out that is who he should be talking to now I believe.

Just looked at the Arbitration result on the GG website. It looks very bad for us as I feared but hoped to be proved wrong. FRR have to relinquish the area as per contract with the GG. Plus we have to pay them the Arb costs, tax costs, etc. There seems to be no good news here for FRR.

Might as well just sell out now in a bidding process to any Major what there is left 1 percent or whatever and split anything remaining to shareholders.

No point going on to fight Hope even if the company could last that long. He might well lose interest now as there is only so much or possibly should I say so little of the company left to fight over.

Now that this Arbitration process is done Zaza should step forward and let us know if there is likely to be anything left as a return on our investment.

By October I hope this matter will all long be sorted as I don't believe being in court with Hope would be a good place to be. As soon as the Arbitration is settled we should sell out to a Major. In fact we should have preliminary outline bids already on the table. This was supposed to be settled this month so the Arb should stick to that. I don't really know what should be taking so long, they've had weeks, even months now to come to a verdict on this, it can't be that difficult surely.