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Careful,
Kerogen have denied by email that they are bond holders. Produced at the Hearing.
I think we can forget abount the Chinese connection as well.
Interesting post re bonds on ADVFN from a poster I respect.
Not sure if it has been reposted before on LSE
kooba
8 Jul '21
I understand the original AHC group comprised,
Melqart Asset Management with $38 million in principle, Caius Capital with $35.5 million, Kitelake with $34.6 million, CQS with $22.7 million, and Astaris Capital with $20 million.
Representing approx 65% outstanding.
As they locked in till 30 June i imagine the holdings are the same.
This information was received indirectly some time ago so I cannot guarantee the accuracy but I believe is correct.
Kite lake has featured as having a short interest in the equity previously.
Some key members of the new HUR team are already in place after a very accomplished performance by the Crystal Amber team at the High Court Hearing.
I would have thought that a measure of confidence in the road to recovery of LTH share holders investments would not now be out of place.
All as I see it.
Ron
Well first hurdle over in the survival and prospects for Hurricane Share Holders.
Thanks to Richard Bernstein in the driving seat and to posters who put in a lot of time, effort, research and quality input into their listings and sumissions. To mention, but one, Seseman by beavering away uncovered hidden oil reserves for Lancaster well 6 which would keep it producing until 2024. This has implications for the extent of the reservoir and would have impressed the judge both on Hurricane’s ability to settle the bonds and on the BOD’s reasons for not producing this in their submission for the Hearing.
The case judgement by Justice Zacaroli was a master class in establishing the history, the facts, the views of the opposing parties and giving any interested party a hearing. The judgement will be used in future similar cases and should be a great benefit in giving share holders a better legal standing.
Hope that some of the reporters that cover Hurricane Energy read this judgement and learn to produce more balanced and in depth reports.
I had a brief conversation with Slift on facts, figures, statistics etc. not being the only factors to be used in assessing a company [I do admire the extent of his grasp and knowledge of technical matters regarding Hur.] My point was that I believe that the right people in control of a firm can make opportunities, make good decisions, hire the right people, plan ahead etc, I believed that Richard Bernstein from what I knew of him was capable of making a difference with Hurricane Energy. I bought a few shares the week before the first High Court Hearing on that bases. These have done well but are staying where they are as I believe R.B. will be making a difference for some time. HUR shareholders and Crystal Ambers Fund’s interests will be the same for a time but eventually may be different.
Will be very interesting for share holders to see the next forward works programme. Early days but I am sure the new team will have formulated some ideas over the past year.
Interesting for us to try and forecast what this might involve.
My thoughts are below and would be good to get some from other posters.
[1] As well as developing our fractured basement plays include the easier to drill sandstone plays.
[2] Take on joint partners for Halifax and Lancaster.
[3] A joint partner on part of Lancaster ( not the existing producing area ) could drill a well which, if successful, could feed the FPSO with that oil a percentage of which would be Hurricanes. Most of the pipe work for this is already in storage.
[4] Drill the well in [3] during 2021 outside the conventional weather window. Would help to settle the bonds earlier.
I am assuming that work undertaken and paid for by partners does not contravene terms of the bonds.
contd.
My submission to the Hearing before Mr Justice Zacaroli 21st June 2021.
Half-year Results 2020 & Technical Update
Fri, 11th Sep 2020 07:00
Following the uncertainty of recent months, as the significance of the EPS reservoir performance has become clearer, we must now focus on extracting value from Lancaster and our other discoveries, while optimising the use of our significant installed infrastructure West of Shetland. In particular, the Technical Review has identified upside within sandstone reservoirs on the flanks of the Lancaster field, with the potential for volumes of recoverable oil which are significant in a UKCS context. Furthermore, together with Spirit, we are working towards consideration of a viable development plan for the Lincoln field.
----------------------------------------------
The above is Hurricane Energy’s appraisal of prospects as of 11th.September 2020.
A Chief Executive Officer was appointed shortly afterwards.
From this date there was very little communication with Shareholders and very little comments from the CEO on technical matters and on general progress. Any general or specific comments form Hur on technical matters or progress generally had a pretty negative bias.
No progress on value being extracted from other discoveries. No progress on bringing in partners to explore, develop and finance projects for a percentage of the prospects . This would have been very useful, even necessary, to progress the settlement of the bonds.
Meanwhile the Hur BOD were agreeing with an ad hoc group of bond holders a proposal to virtually exterminate shareholders. Shareholders would lose 95% of their shares. [what value is there in the remaining 5%] and these would be presented to the bond holders help settle the bonds. The maturity date for the bonds is well over a year away at this time.
There was virtually no communication or consultation with shareholders on this matter.
Share holders are left in ignorance of who the bond holders are and what influence they have had to get the proposed deal which virtually exterminates Hur shareholders and looks like a bonanza for the bond holders.
Hurricane’s BOD are spending around $17 million dollars on legal fees to implement the deal with the bond holders including bonus payments for a successful outcome.[ Not a successful outcome for the Shareholders ]
A sum of $17 million dollars would be a very useful amount to help settle the bonds or go towards drilling a new well.
As a shareholder I can only wonder why this deal with the bond holders was good for the them and so bad for shareholders when the settlement date was well over a year away.
In the interest of accuracy there has been an increase in the information given out by Hurricane in the last few weeks.
I sincerely hope that the law and the interpretation of how it is applied in this situation can give Shareholders the rights and status they deserve in this case and in future similar cases.
Yours Sincerel
Half-year Results 2020 & Technical Update
Fri, 11th Sep 2020 07:00
Following the uncertainty of recent months, as the significance of the EPS reservoir performance has become clearer, we must now focus on extracting value from Lancaster and our other discoveries, while optimising the use of our significant installed infrastructure West of Shetland. In particular, the Technical Review has identified upside within sandstone reservoirs on the flanks of the Lancaster field, with the potential for volumes of recoverable oil which are significant in a UKCS context. Furthermore, together with Spirit, we are working towards consideration of a viable development plan for the Lincoln field.
----------------------------------------------
Thought a repeat of the Half-year Results 2020 & Technical Update would give us a reminder that we have extensive assets in the oil bearing highly regarded West of Shetlands area. Oil companies have taken up areas around ours for obvious reasons. The recovery in oil prices will produce an increase in interest from oil companies
The position we are now in, for me, requires new partners to share in the risk/reward exploration and development of our potential oil fields.
The focus ,to date, has been 100% on fractured basements. This should be opened up to include traditional sandstone plays which would also appeal to potential partners.
Obviously we loose a percentage of our assets but gain investment from outside sources and maybe an injection of cash. Should not think Bond Holders could stop incoming investments. This does require an experienced and dynamic team to exploit the potential and do deals with future partners.
A new production well to feed the A.M. would do us a lot of good. There is some agreement that this could be achieved in 2021 outside the conventional summer window. Will not get involved on where and how the well would be drilled. Not got the background for that but obviously an area where oil is known to exist would make a good outcome more likely.
I still find it hard to believe that Hur’s B.O.D. has paid around £10m in legal fees to exterminate their shareholders.[ To be left with 5% is not worth trying to value.] More legal fees are yet to be expended as payment for a successful outcome for the extermination of shareholders. The Bond Holders have made a potentially very good deal for themselves.
Given the chance I would hope that a new team could implement some of the above ideas and look forward to seeing their plans.
It will be interesting to see how much, if any, we are short on payments to the Bonds when due. With a Forward Works Programme, some achievements under their belt a small loan should be doable if necessary.
Will be very interesting to get Crystal Amber’s two very experienced Oil & Gas people’s assessment of Hur’s leases as part of a new team, should it come to pass.
Hope this highlights some positives even if short on detail.
All as I see it.
Ron
kooba 22 May '21 - 16:25
My post from yesterday on matter that came up in court, I guessed that the party was a lead advisor to Hurricane.
“Did come up in proceedings re a success fee for an advisor. I believe this to be Evercore, one of the many. Seems they are on a £100,000 monthly retainer and get a £1.2m success fee (offset against £300,000 for first 3 months work) if this goes through..so they get £900000 extra if they go this trough on top of £6-700,000 already pocketed.
What a job they’ve done..disarray after trying to unlawfully disenfranchise shareholders.”
I now understand this arrangement is not for an advisor for Hurricane but for the financial advisor to the Ad Hoc group of bondholders ..Houlihan Lokey. Hurricane are paying all the Ad Hoc costs since the creation of said group set up back in sept ‘20. Paying all the bondholders costs and the “disclosed material cost” impacting company financial performance of the many new advisors the company has brought in is no doubt a fact why the free cashflow over the start of this year has been disappointing in the context of end of last year. This whole restructuring , that may not go through could easily cost the company £10m..all to remove those pesky shareholders.
The Judge yesterday has questioned many assumptions and actions of the BoDs and found them very wanting in the treatment of their shareholders. They have now got themselves in a real mess ..at great expense. Time for board to go.
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There is still some discussion on Expenses incurred by the Hurricne BOD.
Thought it would be useful to repeat the previous post from Kooba on ADVFN
These expenses are authorised and expended by the BOD to exterminate 95% of Hur shareholders investment. Kooba's estimate of £10 m. would have been a useful sum to go towards drilling a well.
It would also be useful if a poster with access to the information could post a list of all Hur's directors with details of [1] Names [2] Position [3] Time contracted to work on Hur's affairs [4] Salery Fees etc.
Interesting post from Kooba on ADVFN--22nd.May
My post from yesterday on matter that came up in court, I guessed that the party was a lead advisor to Hurricane.
“Did come up in proceedings re a success fee for an advisor. I believe this to be Evercore, one of the many. Seems they are on a £100,000 monthly retainer and get a £1.2m success fee (offset against £300,000 for first 3 months work) if this goes through..so they get £900000 extra if they go this trough on top of £6-700,000 already pocketed.
What a job they’ve done..disarray after trying to unlawfully disenfranchise shareholders.”
I now understand this arrangement is not for an advisor for Hurricane but for the financial advisor to the Ad Hoc group of bondholders ..Houlihan Lokey. Hurricane are paying all the Ad Hoc costs since the creation of said group set up back in sept ‘20. Paying all the bondholders costs and the “disclosed material cost” impacting company financial performance of the many new advisors the company has brought in is no doubt a fact why the free cashflow over the start of this year has been disappointing in the context of end of last year. This whole restructuring , that may not go through could easily cost the company £10m..all to remove those pesky shareholders.
The Judge yesterday has questioned many assumptions and actions of the BoDs and found them very wanting in the treatment of their shareholders. They have now got themselves in a real mess ..at great expense. Time for board to go.
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The BOD of Hur are providing hefty funds for their own Shareholders Execution[95%]
Hard to believe. What is the agenda.
Ron
British
i finally got around to some old friends who seemingly have done lot better than me ending up in inner temple. One of them told me why the judge is so sceptical and why he will not approve the sanction hearing if shareholders do not approve the current plan by board. The top reason is that it sets a very wrong precedent.
---------------------------------
Good Post British
Good to think that what we achieve in this case will be used in future legal considerations.
Shareholders will have a better legal standing.
Ron
British
Respected Madam,
I as a shareholder in hurricane implore to his Lordship that the sanction hearing being requested by hurricane board be delayed till sometime later in July, please if possible.
There has been a requisition of General meeting notice sent by Crystal Amber to hurricane board on 19th May. The board may try to delay this meeting as they have 28 days to complete the requisition.
-----------------------------
Good Post/Good point made to his Lordship.
Have written making the same point in a different format.
Ron
haggis_trap
I have watched the Hurricane closely story since 2014. Like many I have lost a large sum investing here.
I now have absolutely no doubt there is some funny business going on.
--------------------------------
Good Post
I have similar thoughts, for some time, that some one had an agenda and it was not for the good of the shareholders.
The recent treatment of the Halifax lease was appalling. How could that be justified? Frankly ,for me, it was not in any meaningful way.
Kerogen have denied that they are bond holders. They are associated with people in China who may be.
All as I see it.
Ron
senseman
Ron
I also don't think Friday will be end game.
------------
Done
senseman
My email to Mark included the date of the High Court hearing.
I think it is up to him when he publishes his article. I also think a piece in a newspaper this late wont be effective as far as this hearing goes.. I am expecting this saga to extend well beyond the High Court hearing.
If you feel differently then email him.I got a very quick reply
I was very pleased that he already had the Hurricane saga in his sights.
I also gave him a copy of anne37 latest posting which will give him a lot of useful information.
Ron
Received this reply from Mark Williamson of the Glasgow Herald.
Pease still send in your own contribution.
Thanks very much for our email. We are following developments at Hurricane closely and aim to report as fully as possible on them.
Yours sincerely,
Mark Williamson
Business correspondent
The Herald
Ron
Apologies
The contact info.for Douglas Fraser was invalid.
He left the Glasgoe Herald some time ago but his details are still on their website.
Mark Williamson now has the remit for Offshore Oil etc.
Have sent him some info.on the Hur situation.
Send him you own to. markwilliamson@newsquest.co.uk
Suggest you add Douglas Fraser of the Glasgow Herald to your target list.
His remit covers the Offshore Oil Sector.
He has written many articles on the Oil Sector.
He is well regarded by many including myself
Ron
douglas.fraser@theherald.co.uk
Half-year Results 2020 & Technical Update
Fri, 11th Sep 2020 07:00
Following the uncertainty of recent months, as the significance of the EPS reservoir performance has become clearer, we must now focus on extracting value from Lancaster and our other discoveries, while optimising the use of our significant installed infrastructure West of Shetland. In particular, the Technical Review has identified upside within sandstone reservoirs on the flanks of the Lancaster field, with the potential for volumes of recoverable oil which are significant in a UKCS context. Furthermore, together with Spirit, we are working towards consideration of a viable development plan for the Lincoln field.
----------------------------------------------
What has been achieved since then?. Looks to have been downhill all the way from here.
Since Dr.Trice leftt here has been little connection with shareholders, targets have made and not met, no forward works plan and little information given to shareholders on operational matters.
The manner and content of Hur’s announcement on the Halifax field I found appalling. No worthwhile justification of their conclusions. Did not address previous estimates and reports of wrong mud being used in drilling the well. Shareholders deserve better than this.
What should happen now for the good of shareholders?
My Views,
[1] Connect with Crystal Amber [CA] when they see it is appropriate.
[2] Hopefully they have found a way to have the Restructuring Plan Consideration by the High Court on the 21st. May cancelled or opposed.
[3] Remove the present Board of Directors and replaced by a dynamic team.
[4] With new management in place arrange a farm out or strategic partnership. Maybe CA have done some work on this.
[5] If (4) works out and the means become available drill the side track from well 7 in 2021.This could be done outside the conventional weather window. Drilling has been done before like this. Could this be cheaper?
[6] Negotiate with the Bond Holders to rollover the maturity date for a year in return for an increase in their interest rates.
There is plenty of interest in the West of Shetlands oil fields. Big players have taken leases around Hurs. Shell have said it is an area of interest to them. Hur have said that we have interesting Sandstone plays. These could attract a strategic partner. There at least 2 geologists who worked on Hur,s leases and wrote papers on them. They do not work there now,
Could their expertise be available?
The thought that Hur’s oil fields maybe a combined FB/Sandstone play appeals.
All as I see it.
Ron
Slift.
I am prepared to wait until R.B. achieves what ever it is he has in mind.
I do believe that the right people can change the course of events and he is capable of that.
I do read your posts and respect you views and will continue to do so.
Ron
My apologies I missed a piece of my last post.Will give the full post now.
Kerogen I believe set up the new Technical Team and CEO as Dr.Trice made his exit. Since then there has been little connection with shareholders, targets have made and not been met, no forward works plan and little information given to shareholders on operational matters.
I would expect that A. Maris, with his past experience, is doing a good job on an operational level but there is a large gap in areas you would expect a CEO to handle. Dr.Trice had the energy, drive, enthusiasm and was able to make decisions at a company level, these are missing now.
Crystal Amber [C.A.] are certainly getting more and more involved with Hur by aggressively buying shares and by their comments. Their man R Bernstein [R.B.] is to be respected as a man who can see opportunities and has a track record of lobbying companies to the benefit of shareholders and of course the fund he works for. R.B. has made a lot of money for C.A. trading Hur’s shares. That is in the past and does not figure in their share buying now.
CA have their own consultants in the Oil & Gas field. With respect to Hur there are at least two geologists who worked there for many years and wrote papers on the Rona Ridge .They do not work at Hur now. Access to them would give C.A. very good insight on the Rona Ridge geology. Just a thought. What is it R.B. believes is worth pursuing and investing further in Hur?
Hur should have given shareholders much more information on our Sandstone Resources. Just how good are they? Is the likes of Lancaster a combined F.B./Sandstone play? Would this be carried over to the other reservoirs?
I believe one good way forward for Hur is to take on Joint Venture partners and if we have viable Sandstone Reservoirs this may be attainable. It could be progressed as we work to pay of the Bonds.
All as I see it.
Ron
Crystal Amber [C.A.] are certainly getting more and more involved with Hur by aggressively buying shares and by their comments. Their man R Bernstein [R.B.] is to be respected as a man who can see opportunities and has a track record of lobbying companies to the benefit of shareholders and of course the fund he works for. R.B. has made a lot of money for C.A. trading Hur’s shares. That is in the past and does not figure in their share buying now.
CA have their own consultants in the Oil & Gas field. With respect to Hur there are at least two geologists who worked there for many years and wrote papers on the Rona Ridge .They do not work at Hur now. Access to them would give C.A. very good insight on the Rona Ridge geology. Just a thought. What is it R.B. believes is worth pursuing and investing further in Hur?
Hur should have given shareholders much more information on our Sandstone Resources. Just how good are they? Is the likes of Lancaster a combined F.B./Sandstone play? Would this be carried over to the other reservoirs?
I believe one good way forward for Hur is to take on Joint Venture partners and if we have viable Sandstone Reservoirs this may be attainable. It could be progressed as we work to pay of the Bonds.
All as I see it.
Ron