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A few posters have commentated on how a lifting of the stay, might be actioned by Rock.
I feel it unlikely that Rock will wait to enforce legal action.
I would hope it more likely they have already identified a couple of high ticket, embarrassing for Italy and easy to confiscate items, in law abiding countries, that they will immediately go after. The more itrmsd ythey go for, the more the legal costs will be, however they don't need a scatter gun approach, just a high value, high embarrassment approach. With luck, ROI might become more reasonable, if a warship in Canada or consulate building in Washington, is impounded.
Well it is of no surprise ROI are not co-operating. That is their fall back position, fingers in ears, la la la.
However they can't ignore the law in non ROI countries which is where we are heading .
Italy's Bill up to Aug 2022
'Rockhopper submitted a letter to the Italian Republic in September 2022 formally requesting payment of EUR247 million, representing the Award amount plus accrued interest from 29 January 2016 to 23 August 2022 and costs.'
Hi LTT, there is indeed plenty to be optimistic about with Rock, even with ROI’s stalling tactics.
I fully expect Italy to use their 30 days + 10 grace period.
I thing it is unlikely the ROI will deposit any funds in to any independent account set up.
I expect a short delay before ICSID announce their views and the lifting of the stay, hence the 2 weeks before news post.
But OM is a lucrative side show.
Regarding a ‘third’ party. The fact it has been mentioned by Navitas, this leads me to feel it is a > 50% one will come in,
and it’s also likely one or two have already been short listed. I wouldn’t like to speculate on who that might be as there potentially are a few.
Trading range is quite tight and the 15pence barrier is clearly there, but it wont take much positive news for it to be breached.
With a fair few share in an ISA wrapper, I am very happy to be on this slow train (probably) to quite significant riches !
25 April 2023
'Rockhopper shall, within 30 days of the date of the decision, apprise the Committee of arrangements agreed with Italy for the mitigation of the risk of non-recoupment or that negotiations have failed and, in the latter event, propose concrete arrangements in accordance with the decision for the mitigation of the risk of non-recoupment. Italy may then briefly comment on Rockhopper's proposal within 10 days, constructively highlighting any areas of disagreement between the Parties.'
It will probably be a couple of weeks I feel, unless Italy actually co-operated on this, which would be uncharacteristically mature.
Thanks DEM for the link, and Paul for some translation.
Looks like FID still scheduled for next year, although first oil being pushed out to 2027.
Of course Rocks SP will depend initially more on a positive FID being achieved, and then a gradual re-rate as the project nears first oil. I think Navitas will be quiet again for a few months, so next news shortly, is again about OM.
For what it is worth, I also remember hearing that FIG wanted to contribute towards its military defence. Was about 5 years ago, give or take a couple of years!
management OR Exec tabs
Hi DEM, I saw that in a search, however if one selects the management of Exec tabs, he's not listed.
https://www.navitaspet.com/management-team/
Deputy Navitas CEO Chanan Wolf does not appear under either the London office management team leading SL, or the Exec section.
Last time we had this sort of discussion, it was Glenthroes trying to organise against a possible BoD's selling off of licences without SH approval, stopping BoD's splurging an OM payment on a whim, limiting BoD's pay and options and getting an unpaid nominated non exec pi SH on the board. All of which at the time, weren't totally without merit.
I hold 545,000 including warrants, and this discussion about organising against a hypothetical take over is of no interest to me, at the moment. If there was ever such a move, then I will look at any offer and vote against if it is unacceptable. What is acceptable depends on the offer, and the state of Rock's finances, FID progress etc.
For now though, I am happy to let the BOD's steer us to production, which is where we are highly likely going to be, in 3 or 4 years time.
I'd say that's more likely a very soon to be held conversation between Sam and K&S,
with Giorgia Meloni's finance minister :-)
BB3, the legal process as a whole, from award, through the stay of enforcement proceedings, the annulment case, and any enforcement action, probably will cost quite a bit.
For context and interest, for the 6 year ICSID case, the total for legal fees and expenses (leaving to one side claims for sums paid to
ICSID) was about £4.4million.
''enforcing the payment via the courts by freezing and seizing assets will have to be funded externally, (probably quite costly)''
BB3, it would be good to hear from someone who has more knowledge in this area, however I would have thought getting a court to order the seizure of assets, from a debtor, when the case is Rock solid, wouldn't be too expensive.
Ice-cream pitches are worth a LOT, however I don't think the Republic of Italy own them :)
From the Rns,
''This is to mitigate the perceived risk that,
in the event the Award is annulled,
Italy may not be able to recover ''Italian assets seized or frozen'' by Rockhopper''.
''seized or frozen''
I don't know how this will play out, but as it has been said before, it seems likely that Rock's lawyers will have identified overseas assets, gold bullion, shares in banks or enterprises, embassies, consulates etc.
The embarrassment factor for Italy is of no concern to lawyers, and assuming Italy's annulment is thrown out, Rock will have legally seized assets to log on their books. I do not think it will come to this. After todays RNS, I feel Italy will realise their 'Stay' protection is very time limited, and their options unpalatable.
A face saving settlement for Italy, or the agreement to place funds into escrow, has likely increased, as the prospect of ''seized or frozen'' assets come into prospect. If Italy perceive their annulment case as pretty pointless, which it probably is, then a financial settlement this year is now I feel, much more likely.
This also need to be seen as a side show. As important as $200m is, the main prize is Sea Lion production !!
This is a good outcome.
As others have noted, Italy and Rock will agree a neutral account for the award payment, or failing agreement Rock will put one in place iaw ICSID guidance.
Heavy hints that eitherway the stay will be lifted in 40 days or so.
Italy have the choice to pay up soon, negotiate a settlement soon, or face proceedings. All are acceptable outcomes for Rock.
The pressure to settle putting monies into a neutral account might be more preferable now than being dragged publicly through courts, ultimately with the same outcome. Main takeaway, the stay is unlikely to stay.
Also noted Rock paying all legal fees, so have rejected the offers to underwrite the annulment case.
Thanks DEM, good to know ICSID have made a decision. I am more optimistic, >50% chance that the stay will be lifted given the very clear, unanimous conclusions of the original case. Unless our highly respected and experienced lawyers have messed somehow, then I feel this is just Italy trying to avoid the inevitable.
I hope we find out today and I guess an RNS can come anytime during the day once Rock have analysed the decision with their lawyers.
The thing is LTT, we've all hastily read something and hastily posted, only to hastily regret that we didn't proof read. It's all good.
Regarding news, yes ICSID should report soon, I am surprised we have not heard anything already!
Regarding Navitas, well the SL update just shows they are very much on the case quietly in the background with no fanfare until they have to report.
Unlike Premier, who promised much and delivered little, Navitas say little then BANG,
Capex to first oil $1.3m and extraction costs down $27.6 per barrel.
I much prefer the Navitas way :-)
Lol. Times like that one wishes, if only there was a delete button !
Good find Fecm, but you are right to read little in it.
Written by Jeremy Cresswell, who also honoured with special recognition from AREG,
for ''for his contribution to the renewable energy sector in Aberdeen.''
https://www.energyvoice.com/renewables-energy-transition/460789/areg-jeremy-cresswell/
Regarding additional funding requirements that Rock ''may need'' in 2024,
I should be understand it could vary from $0, to in theory $151m.
I use a hypothetical, realistic scenario of $1.3b capex, $1b of finance,
meaning Rock need to find around $35m of funding for post FID, pre first oil expenditure.
This funding could be achieved, if required, in a number of ways as has been discussed.
It seems reasonable to hope that funding and much more, can be achieved by the unanimous OM award,
that slippery Italy are trying in vane I feel, to avoid.