Tethys Share Discussion Threads

[casual47] 06/2/2017 21:28

Regarding iii: I would suggest that seeing as apart from Olisol and the Kumars there don't appear to be any buyers for TPL's oil that the concepts of 'competitive' and 'commercial' are not exactly what they might mean in a liquid Western market. Especially as the Kumars have all the infrastructure in their hands now that TPL is no longer using their JV terminal.

Regarding v: they don't need to transfer shares to make a joint takeover bid

[hguess16] 06/2/2017 21:14

Casual, I would have serious doubts about your assertions related to a " potential conflict of interest" and " the two Kumars' acting in concert" based on the note below;

The Private Placement Agreement between Tethys and the Kumars include the following:

- ii A requirement to ensure Investors and Tethys comply at all times with applicable securities laws and stock exchange requirements and its articles of association.

- iii A requirement that any transactions between Tethys and the Investors will be at arm's length and on normal commercial terms and the Investors will not vote on any transactions where they are a related party.

- v A limitation on the ability of the Investors to transfer any of the ordinary shares acquired by them for a period of 12 months

[casual47] 06/2/2017 20:33

No reply yet re. my question if Kumars are related parties. Will chase tomorrow

[casual47] 06/2/2017 20:26

Medgat Kumar allegedly signed the oil purchase contract with TAG on behalf of Prax-AK, so there's also a potential conflict of interest.

If the two Kumars are acting in concert then given the number of warrants they were given this could also play re. Takeover attempt.

There is potential for all of this to be really promising for us PIs but it's time TPL put the cards on the table.

I am guessing we will know a great deal more this month, possibly even next few days/week.

[hguess16] 06/2/2017 20:15

ALTYN KYRAN GROUP WEBSITE
SALZHANOV FAMILY own THE ALTYN KYRAN GROUP

If it is credible that Medgat Kumar is linked to Salzhanov and the Altyn Kyran Group, then the following subsidiaries might be very useful to the future of Tethys in KAZ.

- Golden Eagle Group deals with the purchase of crude oil

- Aski - Mangistau Group has a high tech terminal for the receipt, storage, and transport of oil products

- GE Logistics handle rail transport and freight forwarding

It would be in the interest of Medgat Kumar to obtain competitive pricing for Tethys oil products.

[benandemmiboo] 06/2/2017 17:42

On TD Ameritrade (US), BID Price on Tethys via the TETHF ticker is 1.3 cents USD; ASK is 4.4 cents USD.

[hguess16] 06/2/2017 17:15

TI,
For "better or worse" I too am in for the "relative long term" with Tethys and, based on the positive decisions made by the new team, under difficult conditions, I hope that my investment will provide a reasonable return within the next few years !.

[hguess16] 06/2/2017 17:02

Naimanka " The wild card is Olisol. What happens to them and their debts "

If they go arbitration, Olisol will be under the cosh as they are in breach of contract on the Investment Agreement with Tethys.
So Olisol will be liable for damages for the breach as well as consequential losses !.
The W/C debt of $5.8 owed by Tethys will be more than subsumed by the damages Olisol will be liable for, due to the breach of contract and its consequences.
My guess is that Olisol would be wise to settle amicably for at least a sum amounting to US$25m, which incl the failure to subscribe to 181m shares,the failed O/D facility amounting to $9m and the collapse of the TPL share price following Mr Abramov's move to close the Tethys operations in KAZ.

[temporarily insane] 06/2/2017 16:18

Time will tell

[casual47] 06/2/2017 15:45

N74 -- I'm not sure their being related matters as long as they remain under 20% in total + all three parties (Kumars and TPL) signed a relationship agreement. The relationship agreement has a clause about associated parties but it doesn't get triggered under 30%.

I don't think they did technically something wrong that e.g. TSX/LSE would find objectionable.

We can presume Olisol have the knowledge and evidence (it appears they got sight of the contract between TAG and Prax-AK somehow) so if they are aware of anything that could harm the company I'm pretty sure they would be keen to deploy that knowledge.

Are there significant differences in meaning between the Russian and Google Translate version that could help us better understand the articles? (e.g. confusion about whether Prax-AK is a subsidiary of Altyn Kyran etc)

[naimanka74] 06/2/2017 15:32

"I have sent an email to TPL asking them to confirm whether we should regard the Kumars as related parties"

That would explain the 9.9% part, however if they are related (which of course they must be) then the board have misled the shareholders. I must say though that the Salzhanov's involvement is a good thing, they are players (I did meet one of the brother’s years ago about trans-Caspian oil shipments, nice guy albeit intimidating, he had been a wrestler or something) and can undoubtedly potentially add value (albeit at a price) for Tethys.

So some things are good, however I still feel the board is not telling the truth (coming back to what the II’s said about trust) and that if they say they are related then the shareholder vote is probably void, it gets messy pretty quickly, so they will not say they’re related (I would suspect) even though we now know enough to see they are.

The wild card is Olisol, what happens to them (and their debts)?

The (oil) terminals value declines in line with falling production, increasing production needs well intervention (and $$'s) so even contractor financing (which is probably the only thing a heavily indebted company can use) will involve more (earnings) dilution, it gets very complicated very quickly.

It’s good you found these articles Casual, very informative.

[hguess16] 06/2/2017 10:37

TI, Correction. I bought 140k at 1.81p.

[hguess16] 06/2/2017 10:34

TI,
Having waited for two years, would it be at all possible to wait a little longer, say
two more weeks for news !.
I just bought 150k at 1.81p.

[temporarily insane] 06/2/2017 09:20

Ah there you have it. Market makers dropped the share price to allow the 100000 to be bought.





Just bored watching Tethys achieve nothing so far..............apart from the stuff going on behind the scenes.

[hguess16] 06/2/2017 08:33

Casual,
Sometimes we do get carried away and our fertile minds imagine that 2*1= 4 !. Understandable !.
Especially when we have been taken for a ride by Olisol !.
I reserve judgement on your interesting investigations as I would be surprised if the new TPL team has not done its own checks prior to engaging with the Kumars' !.
Having said that, I would be pleased IF we have an " Elephant " from KAZ on our side !.

Let us see what the reply to your email to TPL reveals !.

[casual47] 05/2/2017 21:52

Edit post. I got a bit carried away.

The Salzhanov interview mentions Prax-AK is a JV. Maybe this is a JV between Prax Petroleum and Altyn Kyran (would explain the AK part in Prax-AK). If so Prax-AK would not be a subsidiary but rather a related company of Altyn Kyran (if Prax owns e.g. half of it). This could be the only overlap between the Salzhanovs and Winston Kumar.

The Olisol article claims Prax-AK was founded in August 2016, which could make sense if the JV was set up with objective to get a stake in Tethys and shoot the fox on Olisol.

If Winston Kumar and Salzhanov have a JV together and Medgat Kumar is a signatory in that JV (as claimed by Olisol) then that does make them related parties and they could be regarded as acting in concert with each other, imo.

Update: I have sent an email to TPL asking them to confirm whether we should regard the Kumars as related parties.

[casual47] 05/2/2017 21:35

I wonder if this is why the two Kumars together remained below 20% as otherwise they would have triggered the TSX takeover code.....

[casual47] 05/2/2017 21:23

It seems all of this is ultimately owned by the Salzhanov family. Both new directors appear directly associated to them and perhaps should be considered related parties.

[casual47] 05/2/2017 21:18

Winston Kumar is a director of Prax Petroleum.

Mr Salzhanov confirmed in the interview Prax-AK is his subsidiary. Does this link Salzhanov and Winston Kumar?

The Olisol article says that Medgat Kumar was a signatory for Prax-AK in the oil deal with TAG.

Medgat is a director in Petro Impex Trade LLP

Mr Salzhanov has an offshore holding in Panama called Impex Logistics Ltd. (Edit: lots of companies have "impex" in the name so very tenuous)

As they say.....Smell the coffee....

[casual47] 05/2/2017 21:15

Welcome to the labyrinthine world of business.

Btw, Mr Salzhanov is a shareholder of Impex logistics, an offshore holding in Panama. See:

Coincidence?

I really don't know why you are fighting this or lack the curiosity to find out more.....

(Edit: lots of companies have "impex" in the name so very tenuous)

[hguess16] 05/2/2017 21:10

Why don't you look at the Altyn Kyran website ?.

If he confirmed it in the article, why is it not included on the AK website ?.
I wonder if he likes the name PRAX AK which is similar to Winston Sanjeev Kumar's company Prax Petroleum registered in the UK ?.
Why has he not acquired State Oil which owns Prax Petroleum ?.
I find it surprising that Altyn Kyran owns a subsidiary which is a subsidiary of
the parent, State Oil Group, which is controlled by Winston Sanjeeev Kumar Soossaipillai and his wife Arani Kumar in the UK.

Petro Impex Trade LLP is based in KAZ, owned by Medgat Kumar who trades in crude oil,refining and terminals businesses.

The article is inconclusive and does not mention Winston Sanjeev Kumar Soosaipillai
and only refers to Medgat Kumar !!!.

[casual47] 05/2/2017 20:04

Mr Salzhanov confirmed it in the article. Why do you think he would have bothered to intervene at all and give this interview?