Member Info for SocialistB

On Monday the 10th of June 2019 we were informed that an additional 1,351,351,351 shares had been issued.
For that reason I expected to hear from several companies/persons (that being up to 6) that they now had breached the 3% threshold.
On the 26th of June, we’re informed that SPREADEX LTD have crossed the 3% threshold.

Since we haven't been told much, my head goes into overdrive, speculating how things are going to pan out. (sorry can’t help it)

Latest theory of mine is that the board have lined up a consortium of minor players in the field and that that is the reason why it takes so long for news to come.
The more companies involved the more details to iron out.

So who could these companies potential be:

UKOG (still a favourite of mine, and they still have not said where they are planning to spend £3 million or so they raised recently)

Angus Energy (On 30 April 2019 the Group raised £3m gross)

Red Emperor announced on the 14th of May that they have a current cash balance of approximately A$5.9 million and are looking for other project opportunities.

Just some suggestions, what do you think?

Hi Rossannan, thanks for your reply.

But you scare me.

If there there really is the huge potential in our licenses that we hope for, do you really think we can Maximum get £3 million quid for this asset?
If that is the case, then I truly hope we keep an interest based on a free carry concept, even if we're not to see a benefit for a decade.

However, if we could multi many millions (because the asset is so fantastic, hopefully) then I could accept we sell with a small smile on my face.

So what are people's experiences on this board. What will a buyer pay for a site with:

1 million recoverable barrels of oil

10 million recoverable barrels of oil

100 million recoverable barrels of oil

I am not thinking of what Gunsynd will be paid for our slightly less then a third of the asset.
What would be the potential value of the whole asset to oil producing company, how much would they be willing to pay?

of which some will fail and other blossom.

I think we have seen a string of positive RNS’s and I am gobsmacked that the share price is where it is.
We have gone from not knowing if we would get the assets (and the price rosed hugely on speculation) to now knowing we own around 30% and the share price has fallen.

What will it take to kick-start it’s hopefully stratospheric rise.
I almost do not dare to say something, cause I thought it would and not least should have happened by now with RNS’s that has been realeased.

But my guess would be that the agreement in principle has to become a fully binding contract and the market need to know who is going to become a partner in this adventure.

I certainly do not hope the price will first start to move when we strike oil, cause that is likely to first happen years in the future, I’m afraid.

Raxfactor, thank you for a wonderful input.

I have faith in our board (and hopefully it is not misplaced) otherwise there is no sound reason to be invested here.

Over the last couple of years, there have been several other people connected to the board in addition to the 2 current ones.
To many to look up in this late hour, but I do remember researching them at the time of their appointment and if my memory is not completely shattered then one had experience in acquisitions and another in geology.
Now all of this is way before anyone in their wildest dreams could have dreamt up the current position we find ourselves in.
At that time on this board the talk was about Oyster listing in London in the foreseeable future and to me it made perfect sense to consult with someone with experience in oil and geology.
Later on all the hype was about Fastbase, and again if my memory does not fail me a person with experience in acquisitions and IPO’s was connected with the board.
Again something that made perfect sense, if the intension was to acquire a shell company and get Fastbase listed within the year.

Unfortunately Fastbase did not work out the way I hoped for. And back then I would not have thought that I, a year later would say nice to see you back, to the guy who was prolific hyping Fastbase and indicating he was willing to buy shares of everyone who got cold feet over their direct investment in Fastbase.

I am of the opinion that the board did a DYOR and came to the conclusion that it was worth taking a risk on Fastbase. If they got this right the reward for the company would be significant.
But they hedged their bet by only being willing to invest their time and none of the companies money directly into Fastbase.
Now we are all here to make a profit I assume.
And for some, being indirectly invested in Fastbase was not enough. They had to buy shares directly and I assume without doing a proper DYOR at that time.
Had a certain person done that, he might be less spiteful today.

Not long ago the board expressed optimism regarding HB listing here in London this year. And so I take them on their word and hope for a nice fee for Gunsynd.
We can easily use the money over the coming years.

Again, I assume that there is oil in the licenses that we hold and that it is VERY VERY commercial indeed.

My dream scenario is that our partner is going to be UKOG, a British company that dreams of becoming international and a much bigger player then they are currently.
Stephen Sanderson has plenty of experience on the African continent and together with his team, he has proven he can get oil out of the Weald where others have failed dramatically.
An added bonus in teaming up with a smaller partner could be that we can easier negotiate a higher free carry.

So in short:

Team up with UKOG
Free carry of 20%
Stay invested for decades to come.
Spend the proveneu of the free carry on generous dividends to shareholders and some on new i

What a couple of weeks we have had.

First it was confirmed that the resolutions at Oyster Oil and Gas went through.

Then that our board had secured extra funding of the company to the tune of £500.000

Then later on we were told our stake in the Madagascar and Djibouti licences has been quadrupled.
We have gone from 5 point something to 22.5%.

On top of this it has again been confirmed that we are teamed up with other partners to progress work in at least one maybe even more of these licenses.

There seems to have been a plan for quite a while, and that it is being executed smoothly so far.

I think our board struck a deal with some major shareholders in Oyster Oil and Gas to get the vote over the line.
My working theory, at one point, was that Gunsynd and Northbay Capital Partners would have bought up enough shares in Oyster Oil and Gas on the cheap, to ensure they got the vote over the line.
But there has not been any RNS about Gunsynd increasing their % in Oyster Oil and Gas and I am not aware of Northbay Capital Partners having had a significant stake in Oyster Oil and Gas at any point.
Instead it seems they have struck a deal well in advance, that the other creditors would get a % of the shares.
We have given up 7,5% of the shares as we were widely expecting a 30% stake.

Not a bad deal in my books.
Not only did that ensure, that the former directors voted for our desired outcome.
But hopefully also that they are happy and cooperative.
And on the board of the new company.
Admitted they did not do too well in the past, but that could be valuable lessons learned, that the new company can benefit from.
So no less then an advisory role to one or more of them, ought to be a valuable asset to us.

Paying 7.5% also means we did not have use up any of our cash reserves.

Now I for one like to sit and second guess what the next moves are going to be.
Will UKOG be our choice of partner (I really hope so)

2. Tullow Oil
3. Shell
4. BP
5. Somebody completely different

Any suggestions?

Maybe Gunsynd have made a deal with Northbay Capital Corp. prior to the 2 creditors coming to an agreement with the BOD of Oyster Oil and Gas.
Allowing Gunsynd to buy a significant stake of Northbay Capital Corp’s share, for let’s say £500.000

But I just find it hard to believe that Northbay Capital would let go of their share completely for anything between £500.000 and £1.4 million.

How do I feel about the placing of more then a Billion shares?

Quite good actually. (and I kind of campaigned against it at last years AGM)
We are getting cash to pursue a goal.

How long does it take to negotiate a placing with an institutional investor or investors?
4 hour’s
4 day’s
4 week’s
Or maybe even longer?

Personally I think we can cross out the first 2 options instantly.
So if it is closer to the 4 weeks or longer, then that would indicate that our board have had a plan for quite a while (and of course they had that)

A board with a plan, no debt in the company and cash in the bank.
What’s not to like.
Sorry let me correct that.
What’s not, to absolutely LOVE about this company.

And on top of it. We don’t have all our eggs in one basket.
We’re invested in a few more companies.
And I prefer it stays that way.

And that for the decades to come, we keep an interest in the Madagascar license.
(By the sound of it, the board does not put much effort into the Djibouti licenses at the moment.)

I would like to see Gunsynd receive a significant amount of millions on a yearly basis as being a partner in this adventure when the oil starts to flow.

Now that will be years in the future, I know that.

But for now we have Human Brands IPO to look forward too.
And that is hopefully going to be a positive asset for us in the relatively near future.

Hi Fukurokuju79 and ResearchAnalyst1

Thank you for the fine posts during last week.

Well thought, well argumented and well written.

However, I differ in the conclusion that you arrive at.

Gunsynd will unfortunately not become the sole owner of Subco.

And here is why:

RNS 7917R from Gunsynd on the 4-3-2019 indicated that Northbay Capital Partners Corp. and Gunsynd would be the future owners of Subco

“stating that Northbay Capital Partners Corp. and Gunsynd have reached conditional agreement ("Agreement") with Oyster to settle aggregate debts of CAD1,426,500 owed to them by Oyster in exchange for the outstanding share capital of Oyster's wholly-owned operating subsidiary, Oyster Oil & Gas Limited ("Subco"), “

A following RNS 6429B from Gunsynd on the 10-6-2019 state that the ownership is going to be shared between Northbay Capital, Gunsynd and certain other creditors.

“in settlement of certain indebtedness owing to Northbay Capital Partners Corp., Gunsynd, and certain other creditors, primarily being directors of Oyster.”

Also RNS 0658T or better known as the half year raport from the 15-3-2019 say’s:

“Northbay and Gunsynd are currently in discussions with a third party to raise money for the Subco to progress further work on the Madagascar licence.”

So I count 4 interested parties here. Gunsynd, Northbay Capital Corp. former directors of Oyster and the so far unknown 3rd party. (I am crossing fingers for UKOG)

Are Northbay capital really going through all of this, just to be willing to sell their share in this huge asset for peanuts? Because that is what our capital is.
Peanuts.
£1.4 million or anything less of that sum is peanuts for their share.

I assume Northbay Capital paid around £65.000 for their share when they bought it from Polemos.
Maybe even less.
(once again thanks to Phenomenonnick for digging out that information, back in the day, see a post from the 28-3-2019)

If that turns out to be correct, anything over £350.000 would be a very decent return for Northbay Capital Corp.
However, how many of us would be happy with a “very good return” like that, when we believe that these assets have such a GREAT POTENTIAL.

And the same goes for the other remaining creditors. If you have owned around 14% of Oyster Oil and Gas, or for that matter less, would you really settle for a slice of £1.4 million.
And be happy?

I know, I wouldn’t

So for those reasons, I do not think we will get to own the licenses outright.

I think we will get something between 18 and 28%

There has to be something for the former directors of Oyster for voting in our favour, not to mention the still elusive unknown 3rd party. A
And least but not last, Northbay Capital Corp.

22,5% would be my goal. That is about 4 times as much as we had before.

Not bad for a day in the office (in this case, more like a year in the office though)

But I could be wrong.

And he and his team got skills. They have managed to tickle the oil out of Horse Hill like no one else.
Something other companies in the area, like Angus have not managed to do so far, at least in the same quantity (two tankers a day by the sound of it from https://twitter.com/wealdoilers?lang=en)

And Gunsynd and UKOG has history. It is only recently our last remaining shares was sold in UKOG.

So it is fair to assume that management know each other.

Does anyone on this forum know anything about the rules and duties of informing the market in Canada?

Friday the 7th of June 2019 Oyster Oil started their meeting at 10.00 local time in Vancouver Canada and 13.00 Toronto Canada or 18.00 UK time.

Assuming the meeting took a maximum of 2 hours, they still had time to notify the market about the outcome.

I do not know the rules in Canada, but have to assume that it is perfectly legal to not tell the market about the outcome on the same day as the vote takes place.

So when can we expect the news?
I doubt we will hear anything until the market opens in Canada, so that would make it 13.00 UK time. (Maybe one hour earlier if they are allowed to send out information before the market opens)

And I also doubt very much, that Gunsynd can legally, send out an RNS Monday morning.
Wouldn't that be considered to be insider information?

However, I assume anyone that attended the meeting are allowed broadcast their opinion on every media at their disposal, but it has been ever so quiet.

And when things are this tight lipped, I derive the following.

That all that participated in the meeting, are in agreement.
And this increases the chances that all the motions, or at least the most important ones has been passed in my opinion.

Prior to Oyster Oil being de-listed from trading earlier this year, it had traded for a price of 0.03 Canadian dollar for a while
There was about 43 million shares in the company.
43.000.000 x 0.03 = 1.290.000 million Canadian Dollars if you could get your hands on all the shares.

Together with Michael Wood we have had just around 20% of the vote at our disposal already.

To buy another 30% of the shares has always been a possibility for Gunsynd at a level of 0.03 Canadian Dollars.
We have had cash enough in the bank, to do so, no matter what official exchange rate you use.
(even before our latest disposal of assets to raise cash)

50% and one extra vote is all it takes, to get the motions passed.
And I think Gunsynd and Northbay capital have made sure that those 50%+ was secured well in advance of such a significant vote. (at least, I very much hope so)

But why not inform the market straight away after such a significant event?

Well that one is a riddle to me.

I can only assume that they have a lot of talks going on this weekend with a potential partner.

And I hope that this partner is UKOG.

UKOG has made it clear that they would like to look at prospects outside of the UK.

They have recently managed to raise more then £3 million for a prospect, but have been very tight lipped about where they want to invest.

Steven Sanderson has worked quite a lot on the African continent in the past.
So could potentially be very interested in either buying the assets or going into a joint venture with Gunsynd and Northbay Capital.
(personally I hope we are going to be invested for decades and get a yearly dividend)

And he and his team got skills. They have managed to tickle the oil out of Horse Hill like no one else.

Regarding the serious question from Pennydealer yesterday.

What is the incitement for a shareholder in Oyster oil and gas to hand over these valuable licenses to Gunsynd and Northbay capital partners.
They will literally be left as a shell company with no assets what so ever. Not even a dime.

If I was a shareholder, I would vote against the resolution.

That is, unless of cause, I have since sometime in March bought up shares in Gunsynd.

Otherwise I would take my chance and see if not a company like BP would be willing to pay, say 2 million for the licenses. That would still leave the shell company with some assets.

Having said all of that, I still think the transfer will go through on Friday.

I hope the money Mr. Harrish raised by selling the shares in UKOG has been used to buy up shares in Oyster Oil before they stopped trading.
We had slightly more then 5% of the voting rights beforehand.
If we on our own or together with Northbay have managed to buy 45%, we can be sure that the motion will be passed.
And maybe even less can do it, as Mr. Michael Wood at one point owned 14% if I remember correctly.
Assuming he is in favour of the motion as a member of the board, exceeding 50% of the votes have just become so much easier.

What do you think?

Hi Phenomenonnick.

Thank you for your research.

£65000, wow. That unfortunately makes me question Nigel Burton's capability as a business man.
Surely he could have sold it to HH for more then that. Considering that That HH invested in Oyster Oil not just once, but twice.
Even if there happens to be bad blood between the two of them, I would expect Nigel Burton to look out for the best interest of his shareholders in DIGITALBOX.

But on a good note for Gunsynd, the £400 000 something that the sale of UKOG's share's gave us, would allow us to buy out North Bay Capital Partners at 6-7 times their original outlay.
Now that would not be a bad return, for a relatively short term investment for North Bay Capital Partners.

Personally I am looking forward to the day Gunsynd multi bags 6 to 7 times (a man is allowed to dream)

A great thing about following this board, is hearing the different opinions, experience and skillset that different members contribute with.

I have not got a clue as what to expect from North Bay Capital Partners.

Reading up on their webpage, it might as well be Russian to me, I still do not get a clue about what they are about and/or how we can benefit from a partnership with them

Can we be so lucky that our BOD convinced them to buy Polemos share in Oyster Oil and then pass it on to us for a hefty profit or shall we expect them to be long term partners.

I know others here also had an interest in Polemos. Have anybody been able to find any information in the financial reports about the price Polemos received for their stake in Oyster Oil.

Any idea about how much it would cost us to buy out North Bay Capital Partners, if possible?

If I recall correctly then the expense of the BOD’s salaries went up significantly last year.
It is unbeknown to me, how many hours they charged Gunsynd, for the work, they did in relation to Fastbase, and how many hours they have charged for in relation to Human Brand’s coming IPO.

But I am sure some of the expense can be attributed to the hours and hours spent on guidance to Fastbase (which by the sound of it, they choose to ignore from time to time)

That the BOD choose to not to implement a “kill fee” might have been a selling point that got Fastbase on board in the first place.
But it has also turned out to be a costly affair for the shareholders, as we rightly has to pay the BOD for the hours they put in.
So I am in favour of a “kill fee” that does not break the bank for a potential client, should either party decide to call it a day.
Preferably it would be tiered to how far in the process they have progressed at the point of termination.
And it could be either just cool cash or a lover amount of shares (should they ever list) or any combination thereof.
Or something completely different.

I personally liked the idea of the BOD offering “advise to a company” on the route to an IPO, as a service.
A year ago, I found it to be an unexpected turn of the company, a direction I had not envisioned at all.
Plus, I saw and still see it, as low risk, capital wise.
But with a huge potential upside.
More of that please.
A shame it did not work out with Fastbase.
But we still have Human Band to look forward too.
You win some, loose some. (thanks Lemmy Kilmister) ((however it is not “all the same to me”, but then again, that is the name of the game))

DIVIDEND

If all of the above and any other unaccounted attempts fails to get the share price moving significantly upwards, then as soon as we have a spare million Pounds (IPO) laying around, there should be a dividend paid out.
Again if that does nothing to the share price, then the share holders will get a nice payout compared to today’s share price.

My take on what will bring Gunsynd’s share price forward.

There is the blatant obvious one. We, the existing shareholders, or new ones, start paying more for the shares, whenever we top up or buy in.
But possibly, for a myriad of reasons, we are not willing to do so at the moment.

I don’t see the share price making any significant move until one or more of the following has been sorted out or implemented.

Human Brand IPO
Clarification of Oyster
Remove risk of dilution
Implement a “Kill fee”
Dividend

It is not uncommon for an investment company to trade for less then the sum of it’s parts.
But then again, the discount is also part of what is so attractive about Gunsynd for a Long Term Holder.
As eventually some or all of the prospects will come to fruition, and there will be money in the bank for us.

HUMAN BRAND IPO

When the IPO becomes official, there is a good change we will start to see an upward movement.
If not, then as soon as HUMAN BRAND has listed and Gunsynd have received their shares and we have liquidity, something ought to start moving (however that did not happen with our UKOG shares)

CLARIFICATION OF OYSTER

Until the market knows more about our % ownership and how Gunsynd are going to benefit from the share we have, and what the future structure is going to be?
And whether we will have to pay towards any exploring or not and if yes, how much, or are we going to have a FARM OUT agreement.

RISK OF DILUTION

As long as there is a risk, that 7 billion shares can suddenly hit the market any day, to raise capital then I doubt I am the only one who fear that the share price could be halved overnight.
Permanent Interest Bearing Shares at let say 6% offered to existing shareholders would be my preferred option.
This could potentially cause a run on the shares and drive the price up, but admitted, only to a level where it still makes sense business wise.
But even if that fails, then we existing shareholders, who buys the Permanent Interest Bearing Shares will get a return.

IMPLEMENT A “KILL FEE”

Last week, I was introduced to the concept of a “kill fee” by someone I got talking too.
This guy had a rather modest “kill fee” in place, should the client decide not to use his service.
On the other hand, if they concluded the deal, to both parties satisfaction, then there was a serious payday ahead.
He liked this model. The advantage was that, it was not to expensive for a company to try him out.
(important here in his start up phase)
And in case it should not work out between them, for whatever reason that might be, then he would still get a bit for his efforts and the other party would not have to big a dent in their budget.
A proposal that looks rather appeasing when you shop around as a potential client.

If the BOD decides they wanna offer more of the “advice kind of service” to other companies in the future, then I would like to see them implement a “kill fee”

If I rec

With every risk of selling the bearskin before catching the bear.

I assume that when Fastbase list, they will do so with no less then 100 million shares.
And I hope it will more likely be 200 or 300 million shares that will see the light of the day.
(have any of the pre IPO holders, been told how many shares there are in circulation so far)

But if we go by the conservative estimate of 100 million shares, then Gunsynd should receive no less then 750 000 shares.
If memory serves me right, then Fastbase are selling the pre IPO shares at $3 something.

Gunsynd should net a value of at least 2.2 million Dollars.

The £ is still stronger then the $ (long may it last, read fear of Brexit) so lets deduct 25% in exchange rate and it leaves us with roughly 1.7 million Pounds.
If the BOD has confidence that Fastbase will multi bag over the coming years, then I hope they will put the shares aside for a while and forget about them until they reach a minimum value of 3 million Pounds.

Assuming they will plateau out for a while, I would like to see a payout to us shareholders, let’s say 1 million Pounds.
On the other hand if there is still a strong upward momentum in the share price, please hold on a bit longer.

We have just below 5 Billion shares in circulation at the moment.
For arguments sake lets just use the number 5 Billion.

1 000 000 / 5 000 000 000 = 0.0002 in dividend

0.0002 is also the price we have been hoovering around for quite a while now. Slightly above, slightly below.

For us LTH, receiving 0.0002 per share, before the end of this year in dividend, would be quite something.

Gunsynd’s share price has not been reflecting the true value of our investments for a long time, if ever.
Assuming that our share price will rise, as a result of the Fastbase IPO, but that there will still be a discount to our net assets, I think a substantial dividend (from today’s share price) will open the eyes of the market.

And if not, at least we, LTH will be well rewarded.

On Berlingske.dk there are a couple of articles regarding Rasmus Refer and Masterseek.
Here are links to two of them. Google translate does a decent job.

https://www.berlingske.dk/virksomheder/masterseek-bagmaend-bag-serie-plat

https://www.berlingske.dk/virksomheder/it-firma-snyder-investorer

The essence of the stories are something like the following: The people Rasmus Refer had in charge of the IPO process, had around 70% of the raised capital canalised to other accounts then towards Masterseek’s.

I would deem it fair to say that the articles, paint Rene Lauritsen and Jesper Svane Thomsen in a rather shady light.

So my view is that Rasmus Refer has learnt from past experiences, somehow got in touch with Mr. Harris and are using the expertise, that the management of Gunsynd can provide, to ensure that an IPO will go forward this time around.

I have faith in the good nature of the management of Gunsynd, and have therefore invested heavily in the company. Hopefully that trust will not turn out to have been misplaced.

If you however think of the management in the line of the 2 above mentioned “Gentlemen’s” description in the articles, then I think you should seriously consider to cut your losses and get out of Gunsynd.

Don’t forget the directors are allowed to issue around another 7 Billion shares, that could potentially hurt our share price, at least in the short term. (and hopefully only in the short term)

personally I hope that the outstanding loan in Oyster has been sold to gunsynd on a favourable term that gives PLMO/DBOX a share in the future income this company was supposed to give us when we originally invested.

The last thing I want to see is it totally written of.
Somehow, at the very least we must be able to keep the loan papers on hold and not enforce anything until it is worth doing so.
Or sell it.
To Gunsynd, hopefully.

personally I hope that the outstanding loan in Oyster has been sold to gunsynd on a favourable term that gives PLMO/DBOX a share in the future income this company was supposed to give us when we originally invested.

The last thing I want to see is it totally written of.
Somehow, at the very least we must be able to keep the loan papers on hold and not enforce anything until it is worth doing so.
Or sell it.
To Gunsynd, hopefully.

So, What's are your thoughts lads after today?

My thought is utter disbelief in this so called financial capital of the world.

Not in DBOX so far, with my current knowledge.

But can anyone please explain to me, how in 2019, a mighty nation like the UK, with a financial hotspot like London, can allow legislation to be in place, that causes such an abysmal scenario as we witnessed Thursday the 28-2-2019.

I have 2 different brokers. Neither had changed the it from PLMO to DBOX this morning. Nor was the correct allocated amount of shares in my account.
In other words I could not start trading at 0800, when the floor opened.
With what I went through, talking to my broking companies, I am amazed that more then 900000 shares managed to be traded today.
A system where each broker is supposed to make the calculations of share allocations themselves, but are under no obligations to do so and have it ready for trading on the first day, when the bell sounds, is a shamble and utter joke.
When I called Hargreaves Lansdown, I was told they hoped to have it ready sometime Friday the 1-3-2019 and no later then Monday the 4-3-2019.
Seriously?
Potentially up to 5 days after admission, before I can sell out of some of my shares, or all of them if I should so desire.
I could have lost a fortune by then if the share price starts a downward trend.

Thursday there was a price difference of 2 pence between high and low.
This is a spread I would have loved to be in on.

Hi Already in use.

I keep adding because I might be wrong and in that case I would hate to have missed the cheap shares.

We do have a 0.75% interest in the company upon a completed IPO.