Adrian Hargrave, CEO of SEEEN, explains how the Company is now funded through to profitability. Watch the video here.
Gary i countered your questions with actual facts about the AGM, and you chose to write your article anyway... as Jarem says you had an opportunity to write about the change of chairman and how it could be the start of a fantastic turnaround story.... you chose to criticise the importance of the GTW announcement...there is a great deal of information suggesting why this will be significant.... as James says if you choose to target a company where people have hard earned cash invested and are already feeling the pressure from being down, then is it surprising that your continued barrage of negativity is taken to heart...??
Brazil.... there has been no denial from the company that T Martelo is the target, almost an acceptance that it's public info now..Still no evidence that Dommo have paid the money to start the new charter... We have the new guy on the ground there now, and it was categorically confirmed at the AGM that the Brazil target was still very much in play. It is also know there are other targets and enquiries. There are also Gas To Wire opportunities in Brazil, something Eneva have been looking at, a company Dommo had a shareholding in.
North Sea - Remains to be seen if there are conventional oil and gas plays currently under review, but i do expect that there is at least one.
Gas to Wire is clearly initially focussed on the North Sea. Asset potential is vast, with advanced negotiations ready to take this from concept to development. Low capex with a consortium approach, it has the potential to be brought to market quickly and replicated. There is also a new project manager on the team that is overseeing our efforts here.
Consortium - Impressive list of partners already on board, and this is only going to grow i would think with the recent RNS about further strategic collaborations. These partners enable a small company like us to act like a much larger company by tapping into their resources on delayed payment terms from production.
Newfie - Who knows.. clearly things have not gone to plan with PVF. The interesting thing is that with EL1070 G2 wanted to extend but we turned it down... if we had no other plan for it would we not have given them more time?
Management - Clearly a huge step forward here. We have a first class Chairman who is very driven to deliver and help the team to realise years of hard work
Why anyone would want to be selling down here I have no idea.... potential is unreal, and the journey is about to begin IMO.
We have a partner for vessels, and finalising agreements with a gas field operator and engineering company to provide power generation. Note the term "strategic collaborations", which is more than just a commercial supplier. A couple of big names could be added to our consortium here IMO....
"Marnavi joins MFDevCo as it establishes strategic collaborations with companies that have the key capabilities, experience and market position required to maximise and deliver opportunities being pursued as part of its gas to wire initiative for the cost-effective development of marginal gas fields. MFDevCo will also seek to collaborate with further large engineering companies to participate in providing an integrated gas to wire initiative. In particular, MFDevCo is finalising agreements with companies with experience of operating gas fields and providers of power generation, compression, electrical and automation systems and expects to be able to confirm such collaborations in due course"
Well there is one thing i agree with Gary, that it should have been RNS'd in the first place, which I did actually suggest during the AGM.
I think the difference now is that NUOG are learning from things like this as evidenced in the second RNS..... of old I doubt they would have bothered following it up.
Just to talk a bit further on decommissioning....
Current asset owners are required to accrue for decommissioning liabilities... there are examples of larger companies that have retained decommissioning liabilities to enable smaller companies to take on assets....
At the end of the day if the owner cant dispose of them, they incur the decommissioning anyway... deferring it is better than paying it now.
The other possibility is that current owners could offer the asset plus cash to new owners to take the asset and the decommissioning liability with them....
If i've for £5m accrued, if i give up the asset plus £2m, i've saved £3m and transferred the liability. If i can't dispose of it any other way, i lose the asset by decommissioning it anyway. The new owner will bring the decommissioning liability into the NPV of the asset in appraisal. If we could pull something like this off maybe we wouldn't need a placing....
One important thing to note, is that they no longer consider GTW a concept but are ready to go with an active project.
The reason this is coming up in somewhere like the North Sea is because of the already installed wind farm infrastructure that has ample spare capacity, and the fact that the North Sea has a very real and costly decommissioning problem over the next 30 years. The GTW initiative is set to take advantage of this spare capacity by generating power from gas offshore using a turbine connected to a rig to transport the electricity to the wind farms sub sea network direct to shore, whilst extending the life of existing gas assets and infrastructure and accessing stranded and marginal resources.
Saving on transportation costs can improve margins by up to 30%, add in the fact the upfront capex requirement is fairly low. The potential to acquire cheap assets is very attractive, because they are targeting assets that current owners potentially do not hold value for because traditional methods make them redundant, and decommissioning is costly, time consuming and complex, and extending the life will defer decommissioning.
Add to that its considered a cleaner alternative energy, and has the ability to cater for fluctuations in demand.
It will be interesting to see who will be providing the technology and who else will be involved in bringing output to market.
There is a lot of interesting material out there, well worth doing some research
Having met Charles I can say he is an extremely honourable guy, a man of integrity, a really good guy...
His posts are always honest and full of emotion, I think he will agree that on reading them back occasionaly they perhaps can be interpreted in a way that was not intended....
In this instance I can see some errors in Charles account of the formalities.... but he did clarify he is no expect on that...
interesting how several other accounts explaining this more clearly and accurately have been ignored.
Having said that it would have been nice to have had the RNS confirming the resolutions on Friday to avoid doubt.
Bang on MajorMiner... Got to wonder how they expect to attract subscribers like that.....
It’s not as if there wasn’t an opportunity to write a credible piece of journalism with the 2 RNS with a first class new chairman and a new GTW initiative.....
Front the way the meeting was conducted.... Graham will be very much calling the shots.... operationally, it sounds like MFDevCo is moving towards JV in ownership only and that stewardship is very much coming from NUOG, and I think the appointments of Damian and Alison are testiment to that. Alan remaining as chairman of MFDevCo provides for a transitional period..
Really impressive new guy... he looks just what we need. He appears motivated and excited about taking the work the MFDevCo have already achieved and pushing over the line....
The confidence and authority spoke by Graham and Simon, regarding their need to deliver a deal is highly encouraging.
The gas to wire concept is very attractive..... one of the important comments made was that they are going after assets that have zero or little cost, there current owners have no value for them because they are not able to further develop them. So the assets they are going after should be much easier than the larger assets, due to the fact that decommissioning is expensive and inconvenient they are assets that owners want off of their books... and pass the baton. They believe they are the most advanced in relation to competitors to having first to market advantage, and they believe the model can be replicated globally, and the signing of the first deal could lead to a domino effect.
When you see the presentation, Graham talked about 3 pillars, which will make sense when you see it.... so by no means is this Gas to Wire the new concept replacing Brazil et all... they are all complimentary... but it sounds like the GTW is coming together quickly with him mentioning they would be announcing other parties when closed.
Interestng article on the scale of the north sea decommissioning problem.
https://www.ft.com/content/b3255c92-2bca-11e6-a18d-a96ab29e3c95
No it's 2019 GAS, Brazil, NF
Exactly, he doesnt seem the sort of guy thats coming in just to front up the same old directorship.
I still believe Alan has importance to the first few deals getting over the line. He still has a job to do, but he now has shared some of the control, removed some of the barriers between his interest and shareholders and hopefully we can now start to see newsflow knowing that our chairman has no seperate personal interest.
One of the arguments against Alan going is that what did it mean for MFDevCo relationship and what about the RMRI loan? Would Alan make things difficult...?
Well I think the appointments of Alison and Damien as joint MDs answers that. That would suggest a continued amicable relationship with related parties, and suggests going forward what a new structure could look like of a combined company under common ownership.
I am glad that common sense has prevailed and that Alan's retirement has eventually been done for the good of NUOG, and hopefully he can still leave a legacy, get the deals delivered that he has got so close to the finish line, and then hand over completely whislt we all make a packet in the process.
Buy, just buy!!! Cracking news....
Board changes start to give a clue to the future structure of company perhaps with Alison joining NUOG.
A cracking replacement for Alan....
Agree whatever happens with Alan's reappointment.... he clearly feels there is value to try hold on to, and all the work that has been progressing doesn't go away or go on hold...
I have some genuine split opinion here.....
I do think that it's best all around if Alan hands over the reigns to someone new, best for us and best for him....
I cannot see why he wouldn't want to do that in terms of the stewardship of NUOG... if he want's to deliver the deals he has promised, he does not need to be NUOG Chairman to do that.... allow someone else to look after the plc. This person could have a great impact with deals progressing via NUOG and MFDevCo.
I think many of us are very interested in this investment proposition which has come from Alan, but it can be so much more with a few changes in attitude and approach. Empower the right people, make good, profitable but fair business and deals will be more likely to conclude.
It is a real shame that we are in the position we are in now.... I would have really like to see Alan go out on a high having delivered one or two very valuable deals, and make a good deal of money for himself and for us. Failing delivering a deal, if indeed there are things very close which i still belive there are, focus on those deals, why worry about being NUOG chairman. He stands to make considerable money by completing a deal. I really do question why he is so stubborn to not think about the greater good and actually consider shareholder's interests that have enabled the funds to be spend to grow this venture. IMO there must be a reason he wants to remain as chairman, and based on the status quo, I cannot belive this is based on the best outcome for NUOG shareholders. Seeing that Alan through RMRI already owns a significant part of the JV, it's not as if he should be concerned about his level of interest.
I do kind of think that some of the communication between shareholders and the company has got out of hand... and I cannot see that helping at all. But its understandable the emotions many have with this investment, after being supportinve, investing hard earned cash based on deliverables and expectations created by the company. I can see why is also passionate about "his" company, but he has to start to understand the impact he has on others and his lack of delivering any shareholder value.
I think there are a couple of ways this can move forward that will bring us out much brighter the other side. I would like to see an amicable solution and I would like the right people to be focused on moving this company forward, and empowering those to benefit us all, rather than trying to relinquish an overwhelming control that doesn't appear to be of benefit to the bigger picture.
I really see a company with such great potential here.... lets get the balance right, knock all this crap above on the head and get on with business.
Do you think if Alan leaves NUOG, Alison and co at MFDevCO allow him to undo any progress they have achieved? Do you really think Aker and other partners will allow Alan the flexibility in any negotiations and partnerships made to act further in his own interests? And you think the remaining Board will allow the company to go down which employ them and are invested in themselves?
Of course not, although this is Alan's strategy this is now so much bigger than ALan Minty. Without Alan at NUOG it perhaps relinquishes some control and allows the right people to do the right job to make this a success, rather than being concerned about whether he has enough control and ownership??
I am of the opinion LT's decision is not related to the change in prospect of news, proximity of news or anything related to timing and value of news. I believe there are other factors influencing this and i believe it will be for the greater good of NUOG holders if that is what he has decided.
Well there is always one story about the guy that sells out just before news..... i hope for your sake you havn't given us that story!!! Good luck, im staying in.
agree ahk9..... 5p+ is achievable without Brazil... then add Brazil on top.
There is no doubt they have zero intention of raising funds at this price.
A big year ahead, and will grow into a decent company over the next few years IMO.