RE: Marcin M. X21 Dec 2024 16:18
"Zenith Energy CEO Andrea Cattaneo expects that once all three arbitration disputes are concluded, the value of the company he leads should be around $330m - a bold statement with a capitalisation of $7m. The company announced last week that it had won the first of three arbitration disputes, the smallest claim amounting to several million dollars. However, there are two more in play, including a $503m ICSID arbitration claim against Tunisia for blocking mining projects in the country. At first glance, the subject seems interesting, but as far as I can see, the company also has some production portfolio and quite a lot of costs involved. I also didn't get into whether it has external funding for its arbitration disputes - the lack of it is usually a red flag for me. The ICSID hearings are due to take place at the end of 2025, with an adjudication expected in 2027, so we still have some time to look at the case if it really is promising."