Gordon Stein, CFO of CleanTech Lithium, explains why CTL acquired the 23 Laguna Verde licenses. Watch the video here.
Oilfated.
I am not so sure this time around there will be a rush to get things done.
The government is currently not we knew when a singular party took office. There are significant influences from both parties currently in senior ministry roles.
My concern is that as we know when elections loom the larger corporates align for political position, which if DP and MPP members debate this may mean it gets dragged down into the weeds for a period.
Persistent please enlightened us with your knowledge of Mongolian politics and how you see the various factions, parties, current leadership and other influencing factors playing out what may happen. I would be intrigued!!!
I believe between Oilfated and myself we have probably touching on 25 years experience of Mongolian politics at very close quarters. Hope that gives you a nice warm glowy feeling buddy.
What concerns me and no one has yet identified here, is that there is an election in June 2020.
People that have lived and run business in Mongolia will only be to aware that Mongolian politics means it’s unlikely that much will get done as both major parties focus on their election manifestos, until June of 2020.
What again some of us know even after an election it’s normally six more months before business as usual returns once a new government and cabinet has been formed.
With an election in June, Naadam in July, unless the question of the Matad licenses is finalized prior to June it’s unlikely politics will reconvene until September at the earliest.
With power sharing a likely outcome in terms of the next election between the MPP and DP, what may appear a simple process, I fear will get bogged down, certainly become a focus of political attention, and take significant time as political powers position oil in Mongolia as a key driver for the country which may place Matad as a small pawn on a rather large political chess board.
In terms of Chinese investment, it’s an option, but not GoMs immediate focus. You also have to consider if GoM classify any asset of Matads as strategic, they could well look to retain a 34% stake holding in the business.
This will not be a simple process.
Oilfated.
You and I probably know the story of OT and Robert better than most here. Your summary is about spot on.
OT was found on the last couple of drills when Ivanhoe were just about out of cash, and luck. However OT was found and is what it is today.
I am more interested again in the journey as again you have identified which is to take an explorer into the world of a recognized oil producer. As again you quite rightly pointed out Robert had out reach to investors who knew what he touched would likely turn to gold, pardon the pun.
It’s the translation from what Matad is now which is an explorer with a small commercial find, into what Ivanhoe and Robert turned OT, which is a business that contributes 75% of Mongolias current GDP, and will be the third largest producing copper and gold mine in the world in three year’s time, with world class grades and a world class ore body.
The road map is already there in terms of what can be done in Mongolia.
Ojay
I have never worked for a company as small as a Matad previously so no idea where you reached out for that comment.
You really have no clue buddy.
There are a couple of us on this board that do actually know each other as we worked and lived in Mongolia for many years. We all have the same opinion of you.
Unless you can actually post anything remotely resembling anything of any importance probably stop messaging.
Ojay it’s good to stay friendly and remain open to listening to each other’s views.
We will after all be sharing a drink at Manro’s £1 party someday.
I was not being derogatory in terms of invading your question, I just cannot answer it for legal reasons.
Agree Petertee.
Please do however read the OyuTolgoi story if you have not already done so. Matad is not as scalable, (yet), but the journey in terms of similarity could be the same.
OT at present I believe makes up 75% of Mongolia’s total GDP I read in a Bank of Mongolia article recently. Now that would be a nice way for Matad to develop.
Ojay.
I was not insulting anyone. I have no idea what you go on about half the time if I am honest as you have no insight into Mongolia, the stakeholders, community figures or GoM.
You seem to play a mother hen role on this board that adds absolutely no value what so ever.
Manro
I respect everyone’s views.
What I struggle with is people that because your views may slightly differ to theirs become aggressive.
Bullies unfortunately are normally small minded people with limited intelligence, and a short attention span.
I enjoy reading everyone’s posts even if I agree or disagree.
If I really had to tell Ojay who I report and advise he would probably fall off his chair. However that’s strictly confidential.
Ojay if I have to seriously state my credentials to you it’s probably time to give up buddy.
I would suggest both you guys read a little story called Oyu Tolgoi. Owned and managed by a guy called Robert Friendland at the time exploration was ongoing in the South Gobi. It was Roberts geo’s along with others that found and located Oyu Tolgoi. It was however Robert and his ability to get business done that created the success of Oyu Tolgoi as it is today,
What Matad needs is the next Robert Friedland who is one of the sharpest business people around and not geo’s as you guys cling too to take the business forward.
Persistent
I have a good grasp of both the English and Mongolian language.
You appear an aggressive little chap that has a singular view.
Geo’s have value as I have had several work for me. However they add little value at Board room level. Unfortunately your views around a continued approach to a geotechnical conversation will not take this stock forward.
A little less aggression buddy !!
I think both you guys have valid subjective views.
Geotechnical front end work attached to good studies, value engineering, through detailed design and into execution are critical factors.
Without people that understand how this processes works we will ultimately fail. I believe Matad to the greater extent have done this reasonable well. There have been some issues around stakeholder and community relations but to the greater extent nothing to serious.
However now is the time to take the story forward and that means taking ownership of the business out of the control of rock crunchers and engineers into the managerial ownership of people who can propel Matad into production raising necessary funds both internationally and domestically and driving stakeholder value.
Manro has a valid point that it’s time more focus be applied to stakeholders investments and that means driving Matad forward as a major international oil group. If the current management fail to achieve that this stock will never be worth more than 5p.
Balance is key and at the moment we are still a little way from this position or point in time.
Mr P.
I trust you do understand what STIP and LTIP actually are having worked for major corporates ??
LTIP is generally stock related, which normally in turn is related to a companies financial performance. Poor performance relating to a groups financial performance general means you get nothing. I did not see a gleaming financial year by any stretch of the imagination delivered by Matad.
STIP related performance related to deliverables such as executing three wells, no LTI’s, etc I agree are performance related and should be paid.
However the view LTIP related aspects should be paid I believe is a poor judgement call especially as its LTH’s that continue to wait and believe in Matad, with little or no return.
This seems more like a retention bonus which I believe is completely unwarranted.
Okay
Unfortunately this again is only your opinion.
Just because you say it’s so, does not mean it is.
I am a LTH and to be honest I struggle with your theory of upside in weeks. May be next year at this time if next years drilling season proves successful, I agree the position may change.
As for the SP I do struggle with the prospect this will remain above 3p through the coming months.
I post the question as it’s very easy to make substantial remarks that paint a picture of an eternal blue sky. My view is the skies for the coming months may be rather grey.