Member Info for pied_piper

Shychap. I would have to listen to Elric again - but I thought SA said he had never met MD rather than never spoken to him? It certainly would be extraordinary if he'd done neither. If I were CEO I would deffo want to know why he was buying and if he was potentially a stalking horse buyer.

I believe that the removal of Resolutions to re-elect directors ( if that is what has happened), does not require the 21 day clock to be restarted.

Doh!! Thanks Hamilton

Is my maths right that they've issued the new shares at about 23.5p??

Deffo RNS on 23rd as they've committed to talking about new price sensitive info in the webinar.

Twenteen.

You raise a fair point on the relationship between the two. I know that Tom didn't get on with them - and he was the one negotiating with them. I know several other people who also used to speak with Tom fairly regularly (especially when he was after money!) and they would say the same. It was an open secret.

It was explained to me that the problem stemmed from the wording of the JOA. I don't know if it was unusual but the voting structure was such that for expenditure on FEED items and long lead items, it was a simple majority decision that held sway. So Coro and Eme would often block what Conrad wanted to do (because neither ever had any money) - and that infuriated Conrad. So Conrad just went ahead and spent the money anyway. Eventually they asked to be paid and the disputes started....

I cannot speak for what the voting arrangement was after Coro left , and also cannot speak for the relationship either Gaz or Spencer may now have with Conrad.

Mitriti,

I'd be interested in your thoughts on the following....

As things stand at the moment, both Conrad and Empyrean have played pretty straight bats as to their position. Conrad state (maybe with fingers crossed) that they have thrown eme out and that Conrad now have the remaining 25% and a free carry. For their part eme say that negotiations were still ongoing, they had verbally agreed an arrears figure and, essentially, if Conrad had put it in writing they would have paid. Notwithstanding that, they can't be thrown out whilst negotiations are continuing.

The positions are poles apart and yet eme said yesterday "we are also seeking to negotiate a solution acceptable to both parties". In other words, some sort of compromise. Given that their formal positions are so far apart, how do you view the structure of any sort of compromise? If eme want a solution that "is acceptable to both parties", I can see a situation where both sets of shareholders are going to be very disappointed with the outcome.

Is not the inclusion of that statement in the accounts a slight indication of weakness?

Your thoughts please.

TIA

The problem is that not every one on here is an "investor". I suspect there are several paid agitators who are trying (and succeeding) to create havoc - allowing MD to continue picking up shares at very depressed prices.

I'm tagging along with him and also supporting SA at the AGM with my growing number of shares, thanks very much.

There';s nothing new here. Eme stating their case - as you would expect - and Conrad are just ploughing on and have remained totally silent. The interest in Conrad shares in Oz is virtually zero atm.

It wasn't Nortrust. It was sirmark. Back to his usual load up and ramp MO. As he predicted yesterday it's a real struggle to buy below .04p. Lol Lol. All we need now is JT71 back again doing the same. That would be a right old win double.

Good to see the AI's agree on most points and that the project continues whilst the dispute is sorted on the side - one way or another.

Sorts out this false narrative that Conrad "has to " settle this month which has been peddled on this board. Clearly they don't.

Mitriti.

You may, or may not be right. I've no idea. I just thought that since everyone else was using AI, I would do the same and ask what I thought were pretty balanced questions. I was surprised by the answer.

The problem for eme, is IF this drags out for a year whilst the project continues on it merry way, then the legal bills will mount and the loan note holders interest on the loan continues to accrue at approx $100k per month. Money they don't really have.

It also demonstrates - if correct - that the onus (certainly in the short term) is on Eme rather than being on Conrad to "sort it out".

"Formal GSA Signing is Expected Soon: Recent reports indicate that the formal GSA signing ceremony with PLN EPI, expected to be held in the presence of SKK Migas representatives, is likely to proceed in the near future.

In essence, SKK Migas is likely to view the internal JV dispute as a commercial problem between the partners, which should not prevent the national strategic energy project from advancing as planned."

So the AI view for those hoping that Conrad are in a tight spot is that they may well be disappointed by the outcome for Empyrean - yet again.

The crunch follow up nub of the matter...

Q "Would SKK Migas sign off their approval while Empyrean claim to be in dispute?"

3 minutes ago

SKK Migas has already granted the necessary Ministerial approvals for the Mako project's Plan of Development (PoD) and the general gas pricing and allocation. The current situation is focused on finalizing and formally signing the definitive Gas Sales Agreements (GSAs) and reaching Final Investment Decision (FID).

It is highly probable that SKK Migas will proceed with signing off on final project milestones like the GSA with the state utility company PLN EPI, despite Empyrean's dispute with the operator Conrad.

Here is why:

Approvals are already in place: The core government approvals regarding the project's viability, gas pricing, and market allocation have been secured over the last couple of years.

SKK Migas works with the Operator: SKK Migas primarily coordinates with the project operator, which is Conrad's subsidiary, West Natuna Exploration Ltd (WNEL). The operator is responsible for managing the project and ensuring compliance with the approved work plan.

Project Continuity is Priority: The Indonesian government prioritizes the continuity and development of national energy projects, especially the Mako field which is crucial for domestic energy supply. The project has secured full funding for its development from a new partner (PT Nations Natuna Barat) and has a committed buyer for all the gas (PLN EPI), ensuring the project can move forward.

JV Dispute is a Separate Matter: The dispute between Conrad and Empyrean is an internal joint venture (JV) matter concerning unpaid cash calls and the validity of a "forced withdrawal notice". This is an issue to be resolved through the internal dispute resolution process outlined in the Joint Operating Agreement (JOA) or potentially through arbitration, not a block on the entire government approval process.

Formal GSA Signing is Expected Soon: Recent reports indicate that the formal GSA signing ceremony with PLN EPI, expected to be held in the presence of SKK Migas representatives, is likely to proceed in the near future.

In essence, SKK Migas is likely to view the internal JV dispute as a commercial problem between the partners, which should not prevent the national strategic energy project from advancing as planned.

The follow up

Q "But the project cannot be signed of without SKK Migas agreeing"

4 minutes ago

That is correct; the project requires approval from Indonesia's regulatory authorities, including SKK Migas (Special Taskforce for Upstream Oil and Gas Business Activities) and the Ministry of Energy and Mineral Resources (MEMR), to move forward to a Final Investment Decision (FID) and full development.

However, the key point is that the necessary regulatory approvals are already in place for the Mako project's development plan and gas sales:

Plan of Development (PoD) Approval: The updated PoD for the Mako field was approved by SKK Migas and subsequently by the Indonesian Minister of Energy and Mineral Resources in late 2022.

Gas Sales Agreement (GSA) Approval: The gas pricing and volume allocations, and subsequent fully termed GSA with PT PLN Energi Primer Indonesia (the sole buyer of Mako gas), were also coordinated closely with SKK Migas and received necessary government approval. A formal signing ceremony is expected to be held in the presence of SKK Migas representatives.

The current delay does not stem from a lack of regulatory agreement on the project's technical or commercial viability, but rather from the internal joint venture dispute between Conrad (the operator) and Empyrean (a non-paying partner).

The project can proceed because Conrad has secured alternative funding and a new partner to cover the development costs, effectively bypassing Empyrean's inability to pay its share. The dispute now is over whether Empyrean can be forcibly removed from the project due to its non-payment, a separate issue that does not halt the overall project timeline which remains targeted for first gas in Q4 2027.

Therefore, Empyrean is still the party suffering most, as their ongoing financial difficulties and the dispute threaten their entire 8.5% interest in the project, while Conrad has successfully de-risked the development and secured funding.

Q. "Reference the ongoing dispute between Conrad Asia and Empyrean Energy, who suffers most from the delay?"

6 minutes ago on AI

In the ongoing dispute between Conrad Asia Energy and Empyrean Energy, Empyrean Energy and its shareholders are currently suffering the most from the delays and uncertainty caused by the conflict.

Impact on Empyrean Energy

Financial Instability and Share Value Plunge: Empyrean's shares plummeted significantly (over 40%) following the public announcement of the dispute and a "Notice of Forced Withdrawal" issued by Conrad. The company has been noted to have "severe financial difficulties, with ongoing losses and negative equity".

Risk of Losing Project Interest: The core of the dispute is Empyrean's alleged failure to pay approximately $790,000 in cash calls. If Conrad's "Notice of Forced Withdrawal" is enforced, Empyrean would be deemed to have left the Duyung Production Sharing Contract (PSC) and its 8.5% participating interest would be transferred to Conrad, a significant loss of assets.

Uncertainty Over Future Participation: Empyrean's continued involvement in the Mako gas field project, its primary asset, is at risk pending the outcome of the dispute resolution process (which may proceed to arbitration if an amicable solution is not found).

Impact on Conrad Asia Energy

While facing some complications, Conrad is in a relatively stronger position:

Operator Control: Conrad (through its subsidiary WNEL) is the operator and controls the project development and cash calls.

Secured Funding: Conrad has successfully secured a farm-down and full funding for the Mako project's development from a new partner, PT Nations Natuna Barat, ensuring the project can move forward regardless of Empyrean's status.

Project Timeline Maintained: The Mako project development is still on track for first gas delivery in the fourth quarter of 2027, indicating that the dispute has not significantly derailed the overall project timeline.

Overall Impact

The delay primarily harms Empyrean by creating significant financial and existential uncertainty. The project itself is proceeding, mitigating the impact on the overall Mako gas field development and its new funding partner.

My apologies. Since I only look in every couple of days and since what you write tends to be arrogant crap which is not worth reading, I tend to miss a lot of it.

If they can't reach an amicable settlement, I would imagine Eme will go for a temporary injunction immediately prior to formally requesting arbitration through the JOA.

That, as I understand it, would have the immediate effect of gumming up the works for both Conrad and Nations - preventing them from doing any work or spending any money on developing/preparing Mako. If granted - which if the facts as we know them are true, is likely - then that would concentrate the minds a lot quicker than a protracted arbitration.

Mitriti.

I genuinely respect your input here and statements you have made over the last few days have really helped my thinking.

However, I cannot agree that " the market is valuing EME’s 8.5% at literally zero". In round numbers there is a market cap of nearly $3m and net debt probably around $12m. Realistically, they have nothing else other than their 8.5%. So the market is already attributing a value for that 8.5% by assuming the current market cap is valid AND the debt will be cleared.

In simple terms, IF eme were to receive $12m for their 8.5%, paid their debts and walked away from Mako - thus effectively making the company a shell, do you thing the market would ascribe a higher, or lower market cap than the current one?

"This is a simple play. If you believe we will get something for our 8.5% stake in Mako then this is a multi bagger from down here. If you don’t, move on.

The negative posts are from those loading up and accumulating at these levels, particularly around pay day 😉💩"

Great sounding post MrH - but simply doesn't hold water.

I believe eme will get "something" - but that doesn't make it a multi bagger as you claim. The deal Conrad has agreed implies the eme "something" will not cover their debt.

You also state the negative posts are people trying to "load up". That's always the narrative rampers try to play. Whereas it could just be more sensible posters trying to open the eyes of other investors to the rampers that went before you like JT71 and sirmark - to name just a couple.

Not for the feint hearted and deffo not "all in" - like some appear to be.