Member Info for Straycat

Hi Jens,
On the assumption you're not talking about my questionable masculinity, you don't like PUTUP much do you?
I think you're in good company.
But we should all remember that he had the luck/good judgement to buy in @ ca. 78p.
However, that doesn't give him the right to laud it over other less fortunate investors who have been put to the sword by years of incompetent/indifferent/self-rewarding mismanagement.
Maybe now's the time for bold initiatives and even bolder belief in the GKP proposition.

PUTUP,
Unfortunately for Jaap supporters I'm here for the long haul.
Better get your tin hat.

Right with you Klassic.

Hey, PUTUP,
Not backing your mate Jaap on this issue?
Quite right.
It's sloppy management that his mate JF took the bullet for.
Just sit in their Boardroom for a moment when he's around, and think what they're thinking about him.
Ugly isn't it.
JH must get rid of him imo.
He's corrosive to GKP future progress.

PUTUP,
They did buy back the stock to cover employee option shares.
It was in Jaap's Chairman's Letter of 23/5/2019. In that he stated that he would only hold the treasury shares bought back:-
'to satisfy the vesting of share option plans...'
JF's and SZ's were already in place at that time.
So why weren't they kept back for that purpose?
Why were so many shares cancelled at a loss when, to quote you, ' a completely over capitalised company is issuing new stock to meet the obligations rather than buying back stock to do so.'
Jaap Huijskes is unfit for purpose, and that's being kind.
'

Astec123,
I'm heterosexual so I hope you're a woman, because with posts like that I'm beginning to have feelings for you...good news tomorrow?

Hi Klassic,
To start with, can we please leave PUTUP to stew in his own juices; he's obviously on a mission.
But as far as buybacks generally are concerned, supposing I'm wrong and the sp doesn't respond to the buyback for cancellation initiative running alongside an annual dividend policy.
As we buyback more and issue shareholder dividends running in tandem, the only outcome can be a perpetual dividend bonanza for remaining shareholders which is the inevitable outcome even if the share price fails to respond.
If I'm right and the markets 'get it' then the sp moves north too.
In any event we win.
BTW, That latest RNS tells us Jaap definitely doesn't want Garret Soden messing around in his business as a non independent...proxy advisors engaged by the Board have have established his non-eligibility for the Audit and Risk Committee.
Then they wonder why the shareholders remain suspicious of their motives.

Even with the $50m dividend package as presented, we'll still be showing significant cash surpluses by the year end and before.
Buyback? Definitely.
But this time let's not give the Executive the scope to line their pockets by declaring the shares as Treasury shares.
Bought back into Treasury they are technically available for reintroduction into the market to satiate employee greed or for any other reason the Board may wish to keep hidden from shareholder scrutiny. Such is my lack of trust, given recent experience. But, given his early interventions, it could be that JH offers a different outlook.
Last time we went through this the Board bought $49m Treasury shares we didn't need for the declared purposes they were acquired.
A year later and we ended up cancelling them anyway. What was the point?
I suppose it delivered JF's head if nothing else.
This time JH should put the matter beyond all doubt and buy them for cancellation. There should be no ambivalence on the matter.
On that basis, another $50m buyback is perfectly acceptable and affordable.
AND the market can be in no doubt as to the Board's belief in their enterprise.
Squeezing the market is a concept not many Companies can afford to engage in.
But by reducing the share capital available in GKP that's exactly what we'll be doing; forcing them to make their minds up.
And if they don't respond positively then we should continue using this mechanism and the dividend to prove the point.
It's time we went on the offensive and made our intentions clear and unambiguous.

On my crude analysis Bloe is now a fully functioning, seriously profitable business @526 boepd.
ma2 is absolutely right, p&l and cash flow misunderstanding is the main reasons why start ups fail.
This is not that business.
On my reckoning, even before further developments we're in the money at $60 and lower.
That will get noticed by the grown-ups.

Ah, I get it.
Thanks for that IAm.
SC

‘Pocketing your dividend is the same as selling some today. Just saying.’

Okay PUTUP, reluctantly I'm in.
Explain…because right now it reads like you posted it in a drunken Saturday early evening stupor. Which is fine by me; I have no interest in your personal life patterns.
But for the sake of the bb contributors, would you care to elaborate?
Because I for one am willing to learn. Really.
How can it be that to hold your shares in GKP and reap the double dividend reward this year, is the same as selling at today’s prices pre dividend?
What do you mean?

Then recognise the issue and stop patronising us with your corporate governance 'I know better than you' BS.
You'll have to prove your credentials on this bb pal...

No PUTUP, you don’t get it.
You never have.
Let’s get the issue of buybacks being a return to shareholders to bed.
They are.
However, your myopic view of the world means you have no interest in/understanding of the multifarious reasons why Jaap Huijskes and his acolytes might have engaged in such an enterprise.
It’s too easy to state that once the buyback was initiated it was up to each individual shareholder to decide what to do next.
Because if the buyback was initiated for reasons unknown to the shareholders, then those shareholders had no chance to make a reasoned judgment.
I’ve sat in a Boardroom when these matters have been discussed.
Have you?

The timing of this announcement is fascinating.
Is it an attempt to garner market favour before some poor 2020/2021 performance figures?
Or is it the precursor for more good news to come, e.g. the much vaunted resumption of buybacks?
Or is it both?
And is there more?
The New Jon is looking like he wants to take back control of events imo.

That is a powerful opening statement of intent from JH.
He starts with a reaffirmation of the size of the field, something he didn’t need to do. There is no statutory requirement for him to reveal this latest data. It was his choice.
He’s done it just so there’s no doubt in anyone’s mind as to the size of the asset.
He’s selling it.
And that goes to his confidence in the capex required for the FDP. A justification for the difficult step to 75k bopd and the three year ca. $400m cost, even though it’s a self funding proposition.
Because without that investment, 110k bopd is a distant, unattainable dream.
Note that after 75k bopd the investment costs trail behind anticipated incomes so short term IRR becomes irrelevant.
He’s clearly bought into the GKP plan for major development having had time to review the financial and production information available to him.
Then he’s specified current output at 44.4k bopd to enable P&L modelling and anticipated outcomes.
But he’s gone further than that. He’s indicating a potential recommencement of activity to 55k bopd.
Investors, both current and potential, will like that; a lot.
But not as much as:-
‘ we look forward to resuming the 55,000 bopd expansion project and shareholder distributions.’
While GKP can’t pay dividends unless they are paid out of profits, the buyback programme has been given a big lift……let’s hope those shares are bought back with the option to cancel, unlike last time.
What he hasn’t yet done is to share his plans to jump through the various geopolitical hoops to get to Nirvana.
Nor will he. Because he probably doesn’t know himself yet!!
Good start though.
Fundamentally different shareholder approach to Ferrier….thank God.

Blackrock are simply not trading the stock; their 5% EGM insurance policy tells us that.
To take the sp further we need more interested IIs/hedge funds imo.
And JH might just bring them with him.
But the relationship between GKP and the KRG needs rationalising first.
Nobody is going to sanction a $400m three year production development plan to 75k bopd without some guarantees in place with regard to payments.
That $73m defaulted payment is now centre stage in any future field development imo.

Company law, UK or Bermudan, stipulates that at 5% Blackrock can call an EGM if required.
They're interested but, given the pocket change required, they're taking out an insurance policy and boosting the share price at the same time.
As for their previous dealings, who knows? Maybe they simply got it wrong. It wouldn't be the first time someone bet on GKP and lost.
You've got to remember, Blackrock stand behind billions of investment.
The money they've put into GKP is small beer in their terms; they've simply decided the risk is worth the reward...for now.

‘This is the way.’

The only reason you’d take out a £100m loan that wasn’t needed for any normal trading circumstances, and one with a 10% coupon at that, was if it was a comfort blanket for significant investors.
In case the going got tough. In case the KRG withheld $73m in payments due with no reason, for example.
That loan is unsecured, so no one’s worried about GKP’s ability to repay it at a moment’s notice. Yet it’s still there, with an accompanying $11m hit on the annual P&L.
And no doubt in early 2023 it’ll be replaced by another.

The bigger question is why the Grownups are so nervous. And that question answers itself……just look at the KRG’s track record.
So before we ask ourselves about whether its financially prudent to throw hundreds of millions of dollars at the next phase of development through to 75k bopd and beyond, there’s a fundamentally different question to ask.

Under the current terms, will the KRG allow it?

Apart from sex (maybe), there’s nothing like a bottle of Montrachet, Mearsault, Chablis Premier Cru, (Corton Charlemagne even?) to settle the end of a successful week imo.
In answer to your direct question, yes, of course. And unless you’re an imbecile you’ll recognise the same in me.
So if it’s rapprochement you want, then I’m all for that.
But there’s one condition.
You need to start respecting the pain of the LTHs (I’m not one btw, I bought in early 2018). You have demonstrated, at will, your ignorance and disdain for their helplessness in the face of multiple abuse by disparate Board members, both past and present.
I can’t deal with patronising bullies. Nor can any decent human being.
That being said, you’d be better as a team player than a voice in the wilderness.
And I’m up for that. So come and join in. Perhaps we can all make a small difference.
I can’t speak for anyone else though. It’s up to you.
Have a good weekend.
GLTALTH. And you.

It’s not about the merits or demerits of a buyback. It never was.
It’s about the motives for engaging in one.
Throughout our engagement you have displayed an astounding ignorance of the Boardroom matrix. And I know why; you’ve never operated in one have you?
But I am genuinely pleased for your success, both with GKP and your other share ventures.
As for your invitation to a p*ssing contest however; thanks but no thanks.
Nice of you to think of me though.
Now run along and play nicely.