Tethys Share Discussion Threads

[casual47] 16/3/2017 18:15

Peter, no, i am saying they still have the assets now. At least until the arbitration concludes.

[casual47] 16/3/2017 18:13

Hguess, the fact that they don't have money for Taj is obvious, TPL hasn't paid for their share of costs for a year and half. Kaz assets will take tens of millions. Taj assets will take hundreds.

If Kumars were keen on Taj i think we would have seen a settlement of the arbitration.

[1399peter] 16/3/2017 18:09

Casual

You've lost me there. If Kulob get chucked out of the PSC are you saying that Tethys still retain the assets

[hguess16] 16/3/2017 18:03

Casual,
You say " TPL has no money to get started in Taj and will have no money anytime soon".
" The Kumars aren't interested in Taj either"

Is this what you know as a fact or are you making it up ?.

Your mood of pessimism seems to be on the rise !.

[casual47] 16/3/2017 17:53

Peter, as long as they have their share of the assets in Taj it's not misleading.

Remember: Sinohan offered 75 million USD (plus bonus funds) for 50% of the Tethys Aral Gas company, TPL's subsidiary in Kaz.

TPL has only ever been valued share price wise in terms of its Kaz assets.

[temporarily insane] 16/3/2017 17:45

Still waiting.

[1399peter] 16/3/2017 17:02

Casual, That would be a significant loss and if it is the case they will need to update their website and reduce the 11billion BOE by a large percentage. Could be considered misleading otherwise.

[casual47] 16/3/2017 16:48

Peter, I think Taj can be written off as zero.

We may get something back from it but worst case TPL exits without paying any penalties (by letting the subsidiary go into admin). Best case TPL exits and gets some money from the other partners for doing so.

TPL has no money to get started in Taj and will have no money anytime soon.

The Kumars aren't interested in Taj either.

[1399peter] 16/3/2017 16:11

It would be nice to hear something about the arbitration with our so called partners in Taj. After all its the "jewel in crown" according to the Tethys website.

Edit: It would be nice to hear something/anything firsthand for a change

[hguess16] 16/3/2017 15:32

Casual,
The Kumars' do see a way out of the problem as you told us that Prax-AK were buying TAG oil.
We should be wary of any of Olisol's press releases as they are trying to destabilse
Tethys ops since they have been frozen out of Tethys by the entry of the Kumars'.
The $700k input and the warrants take-up were clearly a move to freeze out Olisol and consequently the jilted lover spreads rumours in the locality.
Olisol's press releases provide enough evidence that they are in a hole created by themselves and are desperately trying to get out.
Seems a lost cause !.
I have little doubt that the Kumars' are in for the long haul as they see a very good
deal for themselves !.

[casual47] 16/3/2017 14:09

Hguess, while the holding of the kumars is significant, to date their total investment is only $700K each.

If the Kumars can see a way out of the current problems then they will stay as the payback is significant.

But how much are they willing to put up with seeing as the total skin in the game for them is only 700K each?

E.g. if TPL is indeed not able to sell its oil will they pump more money into TPL as a stop gap?

[hguess16] 16/3/2017 13:40

Sale of Tethys now ?. Not a chance !!.
Now that Tethys is majority owned and controlled by PAM and the Kumars (over 60% ), talk of a sale to a third party is highly unlikely and pretty pointless !.
As long as the oil price stays at or near $50 pbl, and the Tethys oil wells and reserves are protected, I would think that the current short term loans rescheduling/repayment issues could be solved.
As regards whether 5 US cents is the price of Tethys, based on its assets, it could be regarded that the Kumars who are paying an average cost of 2.4 US cents incl the Warrants, must have considered that the true value is significantly higher and with their active support and involvement in helping Tethys to grow, they expect to at least double or treble the return of their investment in the medium term.
Let's not forget that PAM with an equivalent proportion of shares to the Kumars' have invested far more than 25 US cents in Tethys and it would be incredible to even consider a sale of Tethys at present.
As regards Olisol, their inaccurate press statements are a reflection of their desperation and inability to negotiate with Tethys management and the fact that soon they will have to contend with the legal proceedings relating to the breach of contract re the IA and their illegal acts against TAG in KAZ.
I bet Tethys does not wish to enter into a pointless pseudo press war with Olisol and would rather look forward to the start of legal proceedings in Alberta !.

[temporarily insane] 16/3/2017 12:44

All this is really taking its time.

[casual47] 16/3/2017 12:18

Ben, only a company with significant influence in Kaz would even begin to think about buying the assets. With the warring factions of Olisol versus Salzhanov/Kumars it seems like a pit of snakes.

When POO was $100+ the Sinohan deal valued TAG (just the Kaz assets) at $150million.

A lot has changed since then of course: POO is struggling to stay at $50, the tenge devaluated, TPL added lots of debt of which most is due this year(with status of $8 million Cayman loan that matured in January unknown), TPL is in lots of legal entanglements and the Kaz legal system seems a stinking morass.

I think TPL should probably just try to slog on the current path.

[benandemmiboo] 16/3/2017 12:02

Casual, et al,

Offsetting Tethys liabilities elsewhere, do you think the KAZ assets and Tethys equipment make the company worth 5 cents USD or more? If so, sole focus on company should be on getting acquired -- and on bringing such offers that may be on the table to PIs.

[hguess16] 16/3/2017 11:35

Typical of the mini oligarch Abramov !.
Olisol and EGG will end up with "egg on their faces" and significant damages when they get to Court !.

[casual47] 16/3/2017 11:24

I suppose we should be happy that TPL has assets worth fighting over.........................................................
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[casual47] 16/3/2017 11:09

I presume that whatever agreement TPL had with EGG it would have contained certain events of default. EGG not paying TPL for a year or more seems a good candidate for such a default. If there was an event of default then I assume the contract would be terminated accordingly.

Maybe the Kaz court is doing the same thing it did before: freeze everything until the court case is decided. Maybe the 9th of March thing Olisol is referring to was an urgent injunction that TPL tried to get to prevent freeze of assets while court case is ongoing, maybe that was declined.

Still, you'd expect TPL to have informed the market of such a thing. Unless the Olisol statment is complete bull, though there does always tend to be some smidgen of truth in their releases, amidts all the cow sh1t.

[temporarily insane] 16/3/2017 10:50

It seems to me that Olisol are the ones that are shouting the loudest from the world platform of the internet.

[hguess16] 16/3/2017 09:44

Disputes with EGG, Excerpts from the Nov 7,2016 Tethys Press release
""
EGG is the sole buyer of oil produced by TAG, In 2012, EGG secured a loan funding for TAG in its own name through RBK Bank JSC with Tethys assets securing this EGG loan and Tethys responsible to EGG for the loan. This was provided as a prepayment for crude oil to be delivered in future and a commitment by Tethys that all oil would be sold to EGG as long as the loan was outstanding. To all intents and purposes this is a secured, interest bearing loan for TAG, with a fixed interest rate and repayment schedule.

----- EGG has not paid in full for oil purchases from TAG for more than 10 months.
More than US$ 1.4m is now owed by EGG......EGG claims $2.6m from TAG for failure to supply minimum volumes of oil.
..... TAG has no contractual obligation to supply minimum volumes of crude oil to EGG, nor is there a penalty clause in contracts entered into between TAG and EGG for failure to deliver minimum volumes of crude oil. ""

As I understand it, EGG has used Tethys assets to obtain a loan ( How much ??)for TAG from the bank which is repayable to EGG provided EGG pays TAG for the supply of oil from TAG.
As EGG has failed to pay for oil supplied by TAG, TAG is entitled to claim $1.4m
owed by EGG.
It seems that Olisol is up to its old tricks again in trying to use the local Almaty courts to destabilise Tethys !.

[dorset64] 16/3/2017 08:49

Give me a few days casual, I'll ask some Q's again.

[hguess16] 16/3/2017 08:16

Casual,
Thanks for that interesting news !.
I presume Tethys will have to respond to these claims made by Olisol's press release.
It seems that Olisol is trying yet again to use their local KAZ influence incl the KAZ Courts to destablise the business of TAG.
I also presume that Olisol's attempt to influence ICA yet again, has failed as there is no mention of ICA.
I cannot quite understand the claim by Olisol that Tethys is supplying oil to Prax-AK which was paid for by EGG !!.
As far as I know, EGG owes TAG for oil supplied to date.

[1399peter] 16/3/2017 08:13

That's interesting, could of course be fake news. It will now force Tethys to release a counter RNS, so we might actually find out WTF is actually happening

[casual47] 16/3/2017 01:36

This is a very strange new release.

1. While Eurasia GAS Group are connected to Olisol (one of the Olisol directors owns it?) they are, as far as i know, not an affiliate of Olisol, so why is Olisol doing the press release for them?

2. The 22 million claim seems ridiculous. The badly phrased text/bad English makes it even more nonsensical. Could it be that this is the order of monies that TPL is claiming at the Canadian court, so EGG decided to make a similar claim at a Kaz court as part of the poker game?

3. The news release seems to contradict the earlier RNS from TPL where they announced that the Kaz court rejected​ the EGG claims and unblocked the bank account.

4. The news release also seems to contradict the last interview that Olisol gave with the Kaz paper, where they were complaining that the Kaz judiciary was going against them.

D64 - your gut feeling was right re. Olisol still being a pain. I am guessing this means they are not looking for a rekindling.....