Member Info for testpack3

Seaton

I also agree that the asset is large. The problem is that The Failure has not been able to quantify it through P1/P2 reserves, all but for 0.4TCF. He is on record as saying that it is for a n other, with deeper pockets, to realise the value. This is an admission of defeat for the head of an exploration company, and he has relinquished his number one objective as CEO of maximising SH value. In maximising his personal wealth, he has succeeded admirably. TE's 8, 9 and 10 have shown that the gas isn't everywhere, and that will have a huge detrimental factor to a LE price. We can, and have, only guess what is going to happen at SM, a 10TCF prospect. It is time for The Failure to go - now. Not in 12-18 weeks or whatever, when he comes out with his usual spin, that because of this, that and the other, I am recommending we accept an offer of eg. 15p a share. Let us get someone on board with the OnG skills to get SOU drilling further wells. The downside is we hit 2,3 4 further dusters and we only sell T5 Horst. Well, this is where we are at present folks. The upside is reading RNS's that we have hit gas in 2, 3 wells, and have had highly commercial flow rates. Remember how good that felt, and what it did to the sp. OK, this would take another 12 months. Remember, we wouldn't have the mess of waiting for 'vital' components at the wellhead with a competent CEO. Get mailing him now, asking for a clear roadmap of his intentions ( remember, he works for us, and we own 60% of the company) going forward to maximise SH value, or asking him to resign so that a n other can try where he has failed.

Hi scarf
If indeed The Failure is a numpty as your post alluded to, then it would be absolutely imperative that a new CEO be appointed to lead SOU into either the selling process, or my preferred option, to maximise (potentially) the asset value, by further drilling. We def. do not need a numpty doing either of these.

I'm afraid Z-cars that your logic is misguided. I quote, ' If the company is being sold in the next few weeks, why do we need a Q3 Presentation?'. Well very simply, because The Failure has said it will be up soon. That's from 2 posters who have contacted him. Although I must add, since it comes from The Failure with his record on getting things done on time, that this probably means 12-18 months, Hope the delay is that The Chairman is actively seeking a new CEO to take us forward, and unlock our true potential.

Crude again spouting his rubbish lies. The Failure did not identify Morocco, it was Luca and his family who have had connections in Morocco for many years. The Failure just happened to be the CEO at the time. The deal would have gone through had JTF been CEO.

Crude is still spouting his tosh about his hero. To quote , ' He is a deal maker' lol. What deals. We have an idea about his selling ability, the one he says is 'his game', the deal when Italy was sold, for about £14M. In 2015 (?), CIP put in more than that , in cash. He couldn't deal a hand of Bridge, he could however sit opposite the real deal maker and play the Dummy.lol. I do not want a new CEO to sell the company, because there is much unfinished work. A new CEO, with a plan to raise funds and drill the paleo and SM. Oh yes, SM, The Failure said 12 months ago there were 'many interested parties' in a farmin for SM. More BS from The Failure. Of course the last cash raise was to pay immoral wages to losers. If The Failure was seriously talking to prospective purchasers of either assets, or The Company, Then a RNS would be released stating that 'The Company is in discussion with prospective buyer(s), and the trading will be suspended until a decision is finalised. The talks may or may not lead to a successful conclusion'
There is a good reason The Failure hasn't released a RNS - He aint talking to any one. Time to go and get a n other in who knows the industry and the mechanics of drilling multi-wells. The market would react positively to this. The only thing that has endeared The Failure to many PI's was the never ending stream of things they wanted to hear - Golden Tickets, 4 figures wont cut it , etc, etc, and his communication skills with, again. lots of freebie boozenfood fests, and FSC, after which the SP invariably fell, since he was silenced by Rules n Regs when important q's were asked. If you want a laugh, ask The Failure whats happening with SM? Priceless. Please go.

There is certainly an appetite for the removal of this failed CEO, and replaced by a genuine OnG person. I e-mailed The Failure before the last cash raise, and suggested he should fulfil his major role, which is to create maximum S/H value, and raise funds and drill both SM and the paleo. and also, that many PI's have lost the confidence in him to deliver, and he should consider resignation. His reply was within a few hours, and he simply stated that he had sympathy with further drilling, and that at the nrecent AGM he was returned un-opposed as CEO. He aint going nowhere, unless enough PI's ask for an EGM to vote him off. I do not believe for one second he is talking with any company about a sale. It's more BS from a BS====er.

Your post makes perfect sense if one has a Trump ( POTUS) mentality, in that if facts are a problem, there are always 'alternative' facts one can use. You are obviously oblivious to the BS that has issued from The Failure during his tenure as CEO. Do you seriously think he is talking with prospective purchasers?

I've just read yr Sat. 16.16 post. There's hope for you yet. Apart from you saying sell the concession at Tendrara, you are echoing ( sorry) my posts after The Failure said he was going to sell the company, and I'm sure you agreed, since you posted it is for a 'major' to develop., and I have been saying his job is to maximise shareholder value and drill, drill. drill, and raise funds. When I first posted this, you asked me a question saying this would cause massive dilution. I responded showing how it could be done with less than 10% dilution, and naturally you failed to respond. Now you are getting close to my plan, but still a little way off. No need to sell the concession at Tendrara - maximise that value with the drill bit. Now I've almost got you on board, should be relatively simple to get The Failure on board. Please tell him my plan. cheers. Well done again.

A few have raised the question as to why there is a big disconnect between the current SP and a valuation that posters have been estimating for a LE. Jones asked why are are II's not jumping on the gravy train. I believe I have an answer. The Failure went on several jaunts 2, 3, 4 years ago to USA to bring II's on board ( well, that's what he said the reason for the jolly was. Possibly Mrs Failure went to keep him company. ?) He is on record as saying that he has II's on board, but they are very bashful, and do not want to be named!!. I'm not sure if CIP have the whole of the 12% of the issued share capital as shown in the Q1 Investor Presentation on the website. Now the answer. II 's Investment Management have seen the likes of The Failure at CEO level many times before, and know BS and rampfest, when PI's such as me were sucked in. The idiots on here who say you have to research and not listen to the CEO, obviously do not listen to any comment made about the company, by whoever. I pointed this out to one poster ( partridge I think, apols if wrong), and his reply was a facetious ' I ask the gardener, or the pool boy', because he knew he's original post was an idiotic post.

Do I think he's talking to potential buyer(s) now. Definitely not. If he was, there would be much money to be made from insiders ( typing pool, admin. assistants, lawyers gofers, etc. etc.) to make a killing. The trading volumes tell me there is no leak, because nothing is happening. The Failures MO is to tell PI's what they want to hear - very simple BS.
A professional negotiator from a n other company will take The Failure to the cleaners with our present position. ( c 0.5TCF proven). The 'great' negotiator pulled out of Italy decimating the SP. Not because of the failed N2 and Badile, but because he had no idea how to overcome the Italian bureaucracy which resulted in many good drilling prospects not gaining approval. He gave 27.5% to SCHL to help with drilling costs, and pay for some 2D seismics ( which we were told at DD had problems). Even at the current SP their 27.5% is worth c£56M. I doubt, at cost, if the work done to date is that much. SCHL tied him up in knots. The SM deal was great - not. The GSA, when POO falls below $50 pb is not of much interest to anyone. The electric vehicle is coming fast, and not one that needs a gas fired PS, but a H2 FC vehicle. Saudi Arabia and USA will be able to produce all of the Worlds oil in the next 20 years, and with competition, POO will be below $20pb. Of course, that will drag down the NG price. Who is the Worlds leading H2 producer - RDS. BvdB knows the game, and RDS is investing $b in renewables and divesting Oil now - not in 20 years, but now. I believe The Failure now is on one of the principal caveats of being a Director of an AIM company, and that is personal wealth, which many before him have achieved with a failed company, and walked away,(no, drove in a Bentley) with no actions from the Regulators.

You posted earlier;
'
little old Sound and it's huge acerage at tendrara would cost a truly insignificant amount to Shell, evebn at £1 a share!'

You obviously know little of RDS. If an accountant or a n other suggested to BvdB that £10M, never mind £1B, was 'an insignificant amount', their time at RDS would be measured in minutes, not hours.

For some amusement, any-one interested please post your LE price, and whether you consider the price to be a success, or failure. This is without further drilling, and to include SM, where we still hold 75% of the License.

My effort is 45P - FAILURE

Will there be another Fire Sale Chat?

You asked me a question re; my post on raising funds, I answered at 22.36 yesterday, and have not seen one of your dismissive replies? I hope it wasn't the last para. that stopped you replying - you know, the Q0 I've asked you 7 times now, with no reply. Don't concern yourself with this - I do already know the answer - CEO is a The Failure. Look frwrd to your reply. Cheers.

BTW. I noted some sarcasm in your post re The Failures tweets. Be careful, if he reads it, chance of no more free booze n food fests for you at The Shard.!

Oh,I forgot to add, your post of a few hours ago, copied below.;

'The Paleo is another ball game entirely that's why I think it;s such a shame they're not even bothering to drill it. Wasted opportunity imho (unless we get some sort of contingent payment on Paleo success...).

I copy a post of yours from t'other day;
Can we stop believing what JP told us, please...

All of these little soundbites people quote of JP are just to provide some justification for poor performance.

"Deliberately slowing down operations" - no we're just not very good at this drilling lark

"Last to know about an LE" - no, you just want to justify a lack of planning and/or lack of interest in what you're desperate to sell

We've been spun yarn after yarn...People need to stop quoting bull**** from the Gherkin/Shard/pub/boat wherever they fking heard it.''

And your problem with a further fund raise to drill the Paleo prize is?

Cont.
This is without any II investment, which is more likely with an OnG CEO.
IAnd of course, there may be further funding available from Marco and pals, since they have done very well to date.

I'm sure there are other fund raising opportunities, but that's a few crude for you to knock holes in.

Back to my old question to you;

Q) JP released us from our Indonesian obligations, had a significant cash raise in Italy with an open offer of 4p a share, 4 years later sold the Italian assets for an 'happeny a share ( c 90% loss), and only went to Morocco on the back of our Italian board members who identified the licences there? AND, as a Driector of Coro, is returning to Indonesia, and has already bought assets there?

A)?

Thnx for replying crude. I will attempt to show you how SOU could, or could have ( you decide) raised money for a 10-15 drill campaign. BTW. I'll end this post with a Q) I've asked you many times before, and you appear to always have a hairdresser, or theatre appointment which negates a reply. Do me a favour and reply. Now to your Q)

Raising funds for a 10-15 drill campaign ( some re-entries). This is to maximise shareholder value by hopefully having success, not only in the Tagi, but also in the big prize, the Paleo. Of course, looking to obtain good P1 values at SM. The flawed seismic will have to re-worked. Naturally, if results from the first 4, 5, 6 wells prove up gas in the Paleo, and the 9,13,31tcf model may be upgraded, a LE event could be instigated without further drills, and expense. We had a fund raise at 81p in Sept. '16, which was oversubscribed, and raised £27m
1) This was before TE8 failure, but possibly a further £10M could have been raised, with the intention of exploiting SM, where Reg. Approval was issued in December.
2) We do not know the extent to which SCHL have been pushed for their contributions to drilling. I would hazard a guess that The Failure ( bean counter) might well have been 'dozzy doed' ( danced around) by some hardened Gas men at SCHL. A dynamic OnG CEO, with an aggressive plan to prove up SM, ( in which SCHL have no interest I believe), exploit the Paleo to an extent where the co. might be valued at £10B.
3) I'm pretty sure after TE7 results, Nov 16, that our Cornerstone Investor might have stumped up a lot of cash., not to mention, II's who have been thin on the ground , to say the least, and apparently, very shy, since The Failure says they don't want to be named. I can understand their reluctance of being associated with The Failure now.
And what about a cash raise now. We still have the option at SM to give SCHL a %age to fund say 3 drills. SAfter all, there's a 9TCF ( or more) prize.
If SCHL ( or a n other) get on board at SM, then we need to fund , say 4 drills initially, at about £8M ea. We have £20M in bank. so raising , say a further £15M. According to the website, Investor Presention Q1, 60% of the co. is owned by Retail Investors. Now how many in numbers does that equate to ? About 600M shares. A SWAG is each investor holds 50K shares, so thats 1200 investors. I recall at one of the events, it was said there were 4000 applications for seats, with spouse, or a friend for the majority, say 3000 investors. So, I'll average out and say about 2000 investors.. For £15M, thats an average oj £7.5K each investor. That figure will put a considerable number off, but there will be many, who will see the upside, of may be, with success, where 4 figures won't cut it. I'm sure I've heard that somewhere before? IF, there was uuccess in the early drills, and the sp, 'boomed', many will, prudently, take out their investment of the fund raise.

I'm still amazed, even with the posters who have recently 'seen the light', that they believe The Failure has buyers 'lined up', or even, in discussions now. It's more BS, and tell people what they want to hear! He can't help himself, he's a BS extrodinaire. The RNS of some time ago, ' Many interested parties in the Farmin for SM' - nothing happened. Even now, we do not have a clue what's happening with an asset which may contain 9TCF, and had 2 good re-entry drills years ago, and since then nothing. I know Tendrara was the main prize, but a dynamic CEO with foresight, when a rig was on station, could have hired another rig for Tendrara, and had 2 rigs working. Posters are saying, following The Failures advice, that the ground is for a major to exploit with multi-drills. Get rid of this guy please, get someone in who knows the OnG game, not a bean counter, raise some money, and drill 10-15 wells. The main responsibility of a CEO of a PLC is to maximise shareholder value, not what he has succeeded in doing, in lining his own pocket. To drill TE10, when The Failure knew the seismic was flawed is unforgivable. I think most people on this BB, pre -TE10, would have thought a LE of N of £2 was a reasonable success. No-one ( except crude) thinks anywhere near that now, and The Failure, in a bizarre twist, has got most posters thinking 50p is OK and a quid is wonderful for a LE. How gullible we are. Get rid of this joker, and get a man ( or woman) in with knowledge and decency.

The 24p Warrants can be exercised up until May next year. If there is a LE in the meanwhile, the Warrants can still be exercised. Obviously, the SP will need to be N of 24p, and take taxation into account.

The ownership of SOU, described in the Q2 Investor presentation on the SOU website shows

60% Retail Investors ( ie. You, me and Uncle Tom Cobley and all)
25.6% OGIF
12.2% Institutional ( not 60% as you stated)
2.2% BOD

As far as Jay Kay is concerned re: a third party buying 'the company for under £200M, as you suggest, there would need to be sellers of their stock. At above 3% holding, a RNS has to be issued on the buyer ( or his representative), and above 28% would have to make a bid for the whole company, offering at least, I believe, the highest SP in the last 12 months. The last point is from a faded memory. may be incorrect. However, once the 'cat is out of the bag' with a prospective buyer, then the sp will increase significantly, and once the intentions are known, the shares will probably be suspended, and the BOD try and arrange a suitable price for the company, and put that to the shareholders to vote, requiring at least a 60% majority. The BOD will comfortably have the 12%, 2% and 26% of Institutions, BOD and OGIF, but to get an additional 20% from retail might be problematic if the offer is derisory. We would then find out who the real long term holders are. lol..

I'm not on edge with SOU, although I'm down a small ransom, the fat lady hasn't sung yet. It is evident from my recent plethora of posts ( it's only 18.10 here) that I'm all for a new drilling campaign with, as a minimum, a new CEO.

And to finalise on this flawed seismic and your 'too late' to re-calibrate remark. If the flawed data was known at the DD event, which you stated was inferred, how long would it have taken to re-calibrate, and at least be using better data, which may, or may not have changed the drill site. If the .re-calibrated data still showed the same TE10 drill site, I suggest the seismic data is worthless to any prospective buyer.