The latest Investing Matters Podcast with Jean Roche, Co-Manager of Schroder UK Mid Cap Investment Trust has just been released. Listen here.
I’m hoping the reason why there’s been no comms to explain the circular is due to the JV announcement is to be released before the closing date for voting. And with it a full explanation of what and why’s, detailed in the circular. Then we can see if voting No is the correct path to take
Arts going to have to get his finger out and explain the reasoning behind the consolidation. Otherwise there’s going to be a lot of blind voting happening. It would be just our luck that he does indeed have a master plan to make us all rich and we all vote the wrong way!!!
Also worth noting. The Longboat JAPEX JV cash investment of $50m + $100m acquisition finance facility was for only 49.9%
How much would our JV have to pay for a controlling interest, (initially, before complete buy out) of our billion+ barrels?
Good find! They haven’t spud the well and received $16m - $20m up front. Then another$30m once spudded. Plus $100m for further acquisitions. We’re already producing after first completion, possibly second this month. If our JV is on a par with theirs, happy days. ‘The Joint Venture will be renamed……’ Could also be the reason we are changing our name?!
Stas - Maybe Art is lying about the RS report. Same as he lied about not entertaining a JV, initially. Maybe though booth are linked and not as nefarious as you think (after all it is just your thoughts. And not fact). How about the RS report was going to be disclosed to the market, as Art stated. But was asked by a large oil company not to disclose it until they took a look at it, with a possible view of a JV, if they liked what they saw. After looking at it, they did like what they saw and put a NDA into effect which also prohibited the engineering firm from writing a paper on it. Timelines for both RS report and then mention of JV weren’t that far apart. The JVP could have approached Art after COPL had completed their study and before/during the RS study. Art would have then had to come up with a reason to not divulge the data without upsetting the JVP/ NDA. Just a thought (But these thoughts have as much credence and hopefully are more accurate, as yours).
I think we require clarification from the company as to the reasoning behind it before being able to make a decision on which way to vote. And not just a ‘In the best interests of the company’ reply. The reply needs to be ‘In the best interests of the shareholders and here’s the reasons why’ reply.
Cheers Jiddy. So (if I’m reading correctly) the CO2 is used instead of gas as EOR when used through Class II oil wells. These wells would then have to be replaced with Class VI wells for storage? It does also mention however, that Wyoming is only one of two states granted primacy over Class VI wells. Which would mean they wouldn’t need to report to the EPA. Possibly why Wyoming is a hot spot for CCS?
Maybe the issue is, there are already more than one potential JVP. Maybe there is already a ****ing contest going on, for who will be the preferred partner. An NDA will cover anyone that is involved with negotiations. A NDA doesn’t stop anyone else approaching, making a preliminary offer and then conducting their own DD at the same time. Unless some sort of ‘we will not entertain anyone else, until you decide’ agreement has been made. Business wise, you wouldn’t put your eggs in the one basket and rely on, that this ‘potential’ is actually going to go through with it. Then have to start the whole process again. Unless some sort of financial or legally binding agreement has been made with that one party. This would have to be bulletproof. If not there’s no reason why we couldn’t deal with more than one entity. As long as there’s nothing divulged about the potential party’s interest, as per NDA