Member Info for pyrotech

Yes, i think it was stated by Zaza that PSA gets rolled over whilst production is carried out. So it appears its an ongoing rolling contract once production started with 5 year increments.
I believe any rush was to just prove commercial and start production as that stopped a clock ticking.
If we did not show commercial / production then we could lose a block.

I think that may be where arbitration is, we believe production in block 12 is enough to stop that clock and start the rolling contract, where they believe that its involved only in different areas of the block - Basin edge being an area they could argue needs to be relinquished.
Personally i think FRR are in a strong position if this is the case, You can not drill and produce in every area of a block to prove commercial. We could argue that the block could be split in a million pieces and so they take parts 1 mile away from current production. We have proved Block 12 has produced and so i believe its safe and just them trying it on to have a block to sell and probably at a higher cost and less of a share for anyone that wants it.
news due would make that block very valuable - hence the - "you do not fight over an empty box" - ( i am going to copyright that phrase) lol

So basically any where that production is in place should be 100% secure for someone to take over.

If someone took FRR over then they take all debt and assets and that includes any PSA and agreements along with it.Your more in the know than i am but i am sure that the $400m would be safe if someone took over Frontera Georgia, which with Satellite companies set up (Frontera Moldova etc) its perfectly set up if that option came up. Frontera resources owns Frontera Georgia, so that part of the company could be sold leaving Frontera resources and other satellite companies in place - i believe

3.9p

You have to ask yourself what is 202tcf of gas and 18billion barrels of oil worth and then find a percentage of that what you think a company like FRR would be sold for with these potential assets.

Now divide that by 15 billion....

Now 202TCF was a company assessment - its not proven.
I did ask Zaza if still what company estimates but answer was not clear.

Now 202TCF in place would be significantly lower if CPR or estimate by someone else like a super major.
Lets call it 25% and 50TCF
then recoverable 25%
lets call that 12.5TCF

Thats a great start point for a major and leaves them plenty of potential upside
A Super Major is not interested in what may be there, they are interested in what FRR and they can prove is there.

The good news is they seem to have found a better key to release the resources - Zaza states they have increased the size and recovery rate

Now we are also looking at a super major pricing in the costs of recovery. plus infrastructure.
So what we get paid for is substantially lower.

Okay so thats the knock down bit
Now the upside
IF a Super major (s) did take block 12 it would be because they believe asset is huge. So not talking a small amount of hydrocarbons we are talking fairly big.

Then do not for get we have money owed to us - Now that COULD be added to any price they pay us and leave Super Major recover that with sales of Hydrocarbons.

I believe that alone would take us up to almost 2p alone

I am just trying to show that guessing price is impossible. To many unknowns and we are not privy to what the SuperMajor is seeing.
I think we should look at milestones and aim for them, personally my first one is 1p, then 2p
I worry that at 3p i will sell up and the II take shares as it goes to 30p+ it will certainly take some balls to remain in at times as the wealth gets transferred to those who are in better position to for see the future. Which is why i prefer to see a take over of block 12 - take the decision when to sell off me.
Would i leave something in for Moldova?

hell yes, i would miss the stress and excitement if i left, i would stay in with some to rinse and repeat - having learnt some serious lessons so far

My estimate 1p -3p initial
Plenty of upside from there and MAYBE some of the higher estimates not out of question longterm

Its ready for posting

many on here trying to guess FRR next move regarding JV T/o

I will help a little here

When you want to sell and get best price you tell interested parties "We are not for sale: ..."we want a JV"

Only ZaZa and those deeply involved know what the company wants and those expecting Zaza to reveal all his cards in a game of poker are kidding them selves.

As for ZaZa wanting to keep hold of company for Georgia his Country, let me make it quite clear, if ANY super major takes this onwards it will do more for the Country of Georgia than if FRR take it on.
Quicker and more efficient and the money flowing into Georgian economy faster.
Zaza has contributed hugely for his Country by finding it and bringing the Success.

FRR Georgia - sold - Georgian economy and energy security secured
Then FRR Moldova becomes next step - is as feasible as a JV or FO

Coggy
We shag them then you eat them lol

Are you local to Cardiff, A few on here visit for business and maybe we can have a discussion over a few jars sometime

The RNS are vague for a reason
Deals are being done, let them do them and allow the time for them to take place

These things take time and we have to let the BOD do what they need to do and trust them to do it.

Of course if someone does not trust them to act in all our interest then obviously sell up

Mean while Exxon are selling their Gulf of Mexico assets and at same time looking to increase their oil .
Selling an asset to increase oil productions seems a little strange unless of course you have a more cost effective asset with Brent type oil.
Would it be nice IF Exxon could find something to purchase with the sweet crude oil in large qty and on land maybe on edge of Europe.

If only there was such a field available, that you could see your high risk ( Environmental risk) assets that are high cost ( off shore) that you could sell, to buy something in that economic field.

If any one knows any fields with these characteristics Maybe somewhere like Georgia, let us know.

More
https://translate.google.co.uk/translate?hl=en&sl=ka&u=http://gza.kvirispalitra.ge/qveyana/5793-navthobisa-da-gazis-maragebi-saqarthveloshi-da-uakhloesi-tslebis-perspeqtiva.html&prev=search

https://translate.google.co.uk/translate?hl=en&sl=ka&u=http://www.energy.gov.ge/projects/pdf/pages/Sakartvelos%2520Energetikis%2520Ganvitarebis%2520Strategia%252020172026%2520Bunebrivi%2520Gazis%2520Natsili%25201637%2520geo.pdf&prev=search

The deal is that price when house is sold - fallen thru few times
When sold thats price you get (around 10% premium to fridays close)

That valuation of company is based on the Major and deal being announced and just a start to where we may be in 3 years time.

Its my personal hope and expectations and should not be used to value your investments
However - what a deal - 10% guaranteed upside for someone with £5k worth

I get shares at 0.45p that may be worth multiples of that by time house sells, or you get £5k for shares worth just £1k by that time.
Who that deal works for is dependant on what you believe, guaranteed return or risk it for bigger profit.

Zaza did not hype this up with "super majors"
Thats not a fair reflection or statement

I asked a question
I asked him the following

Are the two majors - Super majors or Majors - super Majors being likes of Exxon, BP Et Al
Zaza answered the question

Unless i am working in cahoots with Zaza to ask certain questions in a certain way, then thats not him selling jam , is it
Thats Zaza answering a question.

I will do my possible valuation for you now
It may be a load of crap but as i see it

If we get a big player working with us it says two things to market
Firstly we have something in that box - i always said we do as you do not fight over an empty box
Secondly we will also have a partner who could throw a lot of money at this as well as expertise.

The company would now be looked at as a real geographical player in Georgia with real value assets
My estimate is that would value the company at $250m

Add to that a prepayment of $250m to farm in ( although it could just be production sharing) If we had that kind of payment - FRR now valued at $500m

Thats without major 2 getting involved
A very feasible (possible) Mcap of 500m
Or in shares around 3.8p

Dreaming? possibly !
LET ME TELL YOU SOMETHING THOU, IF A SHORTER WITH £50K OF THESE BABIES, YOU WOULD NEED A LOT OF MONEY SET ASIDE TO CLEAR YOUR SHORT.

It has been broadcast that shorters need to close positions
I suspect news will come, the sp will open significantly higher and continue to climb over a number of days

Of 14 shares i hold this is the one that excites me. As for Zaza, i trust him and i like him. He recognises shareholders, he meets and greets us, shaking hands and brief conversations, then tries to answer our questions without breaking regulatory rules.
Anyone not trust Zaza, then tell you what i will make a binding deal here right now. I will take £5000 of your shares at 0.45p . Thats the price for the shares paid when i sell house. Regardless if they are worth 0.0003p each that day or 3p that day.

Any takers?

Drop me a mail or text

Sorry it but felt like a castrated ram
Auto text is a bitch

Hedge Fund
an offshore investment fund, typically formed as a private limited partnership, that engages in speculation using credit or borrowed capital.

Pretty much covers anything. Zibs may have been the hedge fund with his millions.
Wether its finance fro a SM or from a fund set up in the Philippines really does not matter.

I believe Zaza said that its on the back burner while SM look at a possible deal
Now does that mean they were going to fund it and now decide to go in full on instead, or is the Funding for Niko a plan B if deal not done. I.E it was our plan but now things have changed.

We appear to have options as a company and even to COMPETITOR negotiations with 2 super Majors.

You can imagine the SP on hearing its Exxon and deal signed, now let your self dream and imagine announcement few days later that its also BP, who also sign, for two different areas on the block.

Good old FRR where anything is possible.
.

You could smell the gas - from outside the building. 1 America Sq

Might have had something to do with the gas works outside thou

Sorry - could not resist.

Zaza took a Conference call after the meeting.
That was around 9pm
Which is 3pm in Texas, and yes i am sure i heard Texas mentioned as he was ushered away.

Lets not get too excited and it could be over excitement and over thinking
But EXXON hq is in Texas.

Now many may say that so is FRR office and your right.
But why on same day as the meeting?

They could also have done a conference call at 11am Texas time 5pm Uk time before the meeting.
Zaza is CEO - he decides when to do a conference call to his company office

Unless of course its not Zaza calling the tunes for this call and its a CEO of a bigger company.

2 and 2 sometimes seems to make 17 but it did not seem to me to be a conference call to head office, i felt Zaza was making a call that was arranged by someone else, as the timing was strange if he had instigated it.

I may be barking up the wrong tree, but i'm barking mad anyway

Be nice if true

One last thing about super majors i can confirm that some of these below were mentioned as possible candidates after the meeting as super Majors - these are state owned
Gazprom of Russia, CNPC of China, Petrobras of Brazil, National Iranian Oil Company, Saudi Aramco, PDVSA/Citgo of Venezuela, and Petronas of Malaysia.

https://drive.google.com/open?id=1aczRxNuk6rWU3_anJT6pzpauhUJSCxtC - Wav file

https://drive.google.com/open?id=1iHepc-YZW6lhx6NZF3hym5eF9y2TvLZb -Mp3 file

take 90 mins to listen all the way thru, its worth it as skipping may mean you miss something important.
This also means no misinterpretation, its here as clear as day - this is exactly what was said, no editing, - just as we heard it
I hope it helps with your investment decisions

I tried many different ways to get flow rates, with a cheeky grin but Zaza would not fall for it

There has also been 2 more train loads of oil, so does that give us an idea, i am not sure, but it certainly great to know that as the negative on here may have tried to say, that as no twitter pic of further trains, meant we had only the one load.
So we are not extracting as we could, we are exploiting oil but changing this, trying that etc, to allow majors to understand the complex and potential.
I would suggest FRR are also learning from that too, we may learn a few tricks from these majors on how to really get the best out of a well and what tests tell us.

I think FRR had two choices, produce at 100% and thats it, or produce but at reduced rates at times with analysis and testing being carried out by Super Majors. In reality the second is the only real choice.
Get one or both of these on board and we take off hugely, it de risks everything and gives huge credibility.

At the very end, not sure if after i finished recording or not. Zaza said think of biggest oil field in Russia. That is the value we have.

Zaza was confident throughout, took around 90 mins of questions and carried on after being suggested it was enough by the team. He seemed very comfortable to answer as many questions as possible from as many people as possible.

After the meeting i almost pleaded with him to hit the shorter's that have at times tried to destroy this company.
He knows a bit about the BB's but said so much rubbish being spouted on the boards that he gave up trying to read it.

Lets be honest ....he has a point

The super majors are the largest oil companies not state owned, however some do count the state owned as super majors too, like the Chinese companies
Regardless which you use, the outcome is the same
They all have huge value and huge money to put in any infrastructure and to take this to completion

Some NON state owned super majors are Exxon Mobil. Total S.A. Royal Dutch Shell. BP. Chevron. ConocoPhillips

No deal is done until its signed, but the positivity was huge.
I think my google drive is being used by so many that its stopping some, i will be adding the link and and new wav one soon to allow all those who were unable to attend, to listen

I can 100% confirm he answered my question with Super Major, its harder to hear as noise in room as people waited to see what he said and noise was excitement , like gasps

Regarding CPR, i believe what he said was, that these companies do not need a CPR, they have the experts in place to do what a CPR does. Exxon for example do not need NSA to tell them how much oil is extractable, they have the top engineers them selves to do that.

Links to follow

New link
last one was mp4 so some could not hear it
Converted to mp3 on this one

https://drive.google.com/open?id=1iHepc-YZW6lhx6NZF3hym5eF9y2TvLZb