Columbus Energy Resources Share Discussion Threads

[12bn] 16/7/2018 13:26

The initial consideration for the acquisition of Steeldrum will be paid in Columbus stock through the issuance of 92,743,775 shares, equivalent to 12.5% of the current issued share capital and GBP4.4 million (approx. US$5.8 million) at the latest closing mid-market price, with certain contingent considerations./////// So over 92m shares issued at around 4.7p and the share price drops,hardly amazing!

[12bn] 16/7/2018 13:04

repay at a monthly rate of US$60,255 in cash or by issuing shares at the prevailing market price on each monthly payment date. ...........the second tranche of US$1.25 million ("Second Tranche"), repayments of the Second Tranche will be over a 20-month period in either cash or equity in a similar manner to the First Tranche, with the monthly cash payment being US$75,319.////// Even an idiot like you Northpole2 should understand the new Lind $3.25m loan deal now. Post this on jcqswims thread where no-one seems to have read the RNS properly and still think if the loan is repaid in shares it will be at 8.1p a share IT WON'T it will be at market prices!

[the guardian] 16/7/2018 12:59

offerman, don't worry. We will be getting another update in 3 months time.

[12bn] 16/7/2018 12:58

12bn13 Jul '18 - 10:01 - 1106 of 1125 Edit
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There is a lot of confusion on the rampers only thread where idiots like the offerman,Edgein and jcgswims think that no shares will be sold under 8.1p by Lind but this is wrong.Read this carefully,the 8.1p refers to outstanding loans and new loan repayments that Lind requests in shares but new loan cash requested by Cerp will be repaid at current the market price at the end of the month. Here it is.////// The Lind Facility

Details of the Lind Facility are as follows:

The Company has the right to drawdown funds as follows:

-- up to US$2.25 million of convertible loans for a period of up to 180 days after execution of the Lind Facility (in two tranches of US$1.0 million and US$1.25 million);

-- a further US$ 1.0 million of convertible loans, in tranches of US$0.5 million each, subject to mutual agreement with Lind and the Company having a minimum market cap of GBP25 million;

Should the Company not exercise its drawdown rights within the 180-day period, the agreement will lapse and no funds will be available.

If the Company elects to drawdown the first US$1.0 million ("First Tranche"), there is a 120-day repayment free window before repayment of the loans over a 20-month period during which Columbus can, at its election, repay at a monthly rate of US$60,255 in cash or by issuing shares at the prevailing market price on each monthly payment date. In the event the Company elects to drawdown the second tranche of US$1.25 million ("Second Tranche"), repayments of the Second Tranche will be over a 20-month period in either cash or equity in a similar manner to the First Tranche, with the monthly cash payment being US$75,319.

Lind has the right to convert the outstanding balance on the Lind Facility to equity at a conversion price of 8.1 pence per share.

[12bn] 16/7/2018 12:50

Northpole2,you are as stupid as the 3 bozos,the LIND $3.25m loan will NOT be at 8.1p a share,it will be repaid in cash OR SHARES AT MARKET PRICES at the end of each month of a 20 month period. READ THE RNS CAREFULLY or if you want an easier to understand version read my posts here. I said Cerp would need a placing to buy something ie shares for cash,what they have done is issued shares for the acquisition,you are nit picking if you think there is a big difference,they are both dilutive.ps the acquisition and the loan deal are separate issues.

[the guardian] 16/7/2018 12:41

I'm out and about in York at the moment but didn't Leo say that Trinity Innis was producing 200-250 bopd and that the other field was 100 to 150bopd?

[offerman] 16/7/2018 12:20

Looks like normal service resumed until next update back down we go .....

[royfd] 16/7/2018 12:03

My understanding is that the deal was never closed out as LGO failed to meet it's obligations.Only now have CERP resurrected our interest.

[northpole2] 16/7/2018 11:46

Another question 12bn. If any company is buying something new (or even any individual) they don't get it for free. They have to pay for it somehow. How? Either using cash they have, undertake some form of fund-raise (equity and/or debt) or use their shares. Or a combination of these options. Whichever way you use, an acquisition doesn't come free (especially when you are buying ongoing production (flowing barrels!) which is what CERP has done). To grow your business, companies have to find the best way forward for their shareholders. Seems like CERP chose an equity option which is fairly standard without using a placing which adds extra complexity, risk and cost. Sound business in my book to allow a company to grow and de-risk by growing its portfolio. How would you have funded the acquisition? By magic? Producing money out of thin air?

[northpole2] 16/7/2018 11:32

The issue of shares to Steeldrum is simply an issue of shares for the acquisition, using shares Columbus is able to issue today. Yes, Steeldrum can sell them in the market after 6 months (apart from 10% now) but if you understood Steeldrum's shareholders you will know they are mostly savvy Norwegian investors (including a very large institution) who tend to play the longer game. And it is only dilution for shareholders if the share price goes down... if it goes up then the market is factoring in the extra value the new assets will bring despite the fact there are more shares in play. The 8.1p conversion is just for the Lind loan, no relationship to the Steeldrum transaction. I didn't see any other blogger thinking that Steeldrum's shareholders would have to sell at beyond 8.1p.

[nexus7] 16/7/2018 11:24

holly day,

Thanks for your post .
17 July 2014 : ... We are pleased that the field fits well into LGO’s operations and growth plans in Trinidad.

[holly day] 16/7/2018 11:15

There you go NEXUS7:

[holly day] 16/7/2018 11:12

NEXUS7, "As you can see they mention LGO not CERP and the date is 17 July (TODay 16 July) so maybe we´ve got now 100%."

Careful. If you click on 2014 in that header, this news appears.......

[nexus7] 16/7/2018 10:53

Maybe we´ve got the whole package

17 July The Business Times: Rex Sells Trinidad working interest to Leni Oil & Gas

“Rex’s chief executive officer Måns Lidgren said in yesterday’s announcement: “While the field is a conventionally attractive assert, it does not fulfil our investment criteria as it is not covered with adequate recent 3D seismic data to be effectively derisked with RVD. We are pleased that the field fits well into LGO’s operations and growth plans in Trinidad.””



As you can see they mention LGO not CERP and the date is 17 July (TODay 16 July) so maybe we´ve got now 100%.

[holly day] 16/7/2018 10:53

Seems to me that after 5 years, the "(our promised land) and the big prize" the big prize didn't materialise and they've decided to move on... for whatever reason.

[the guardian] 16/7/2018 10:35

The link is dated August 2013

[offerman] 16/7/2018 10:20

So other players getting in there by the looks of it .

[offerman] 16/7/2018 10:20

So is any of this anything to do with us apart from being in the same jurisdiction. I thought we were the only ones in SWP with hundred percent of the rights.

[nexus7] 16/7/2018 09:56

From the above link:

The transaction will involve the initial investment into three E&P licenses; namely, the Inniss- Trinity field, the South Erin Block and the Cory Moruga Block ‘E’. These assets already have producing discoveries and Rex Caribbean Oil Company will, after completion of the farm-inactivities, hold 100 per cent of the Inniss-Trinity field and working interest of 75 per cent in the South Erin Block and 51 per cent in the Cory Moruga Block ‘E’. The transaction is expected to be completed in the coming weeks and is subject to regulatory due diligence...

These assets are part of the SWP (our promised land) and the big prize is there waiting to be drilled.

[offerman] 16/7/2018 09:08

Hi NexusCan you elaborate on that for me please .Thanks

[12bn] 16/7/2018 09:07

Northpole2,many idiots on jcqswims thread misunderstood the terms of the $3.25m loan agreement and wrongly thought that shares could only be issued at 8.1p. Did you put them right about that? NO. The issue of shares for Steeldrum at an average price of 4.7p means that Steeldrum can sell them for a profit if the share price is above that. Maybe Cerp will get a loan and repay it in cash so it won't need to ISSUE SHARES AT MARKET PRICES but it may not, who knows,certainly not you!Why didn't anyone,you included,correct offerman,jcqswims and Edge about their assertions of shares only being issued at 8.1p? Is it because you don't like the truth? ps the Steeldrum deal is dilution just like a placing,more shares are in issue !

[nexus7] 16/7/2018 08:33

From emilyt16 Sun 21:58
--------------------------------------

Rex holdings

2013 article...Lk must see the potential that Rex could capitalise on.

[offerman] 15/7/2018 20:17

Nice post Carp, yes I like the colour gradings , let's hope we strike gold too the black gold. Also good they will diversify spread the risk . Think we are on to a winner with LK and team. Finally patience blood sweat perseverance tears pain over the years might finally pay off over next couple years or so which is nothing in the grand scheme of things that I and many others have waited . For me it's been twenty years now .

[carpadium] 15/7/2018 19:27

No doubts here offer. With projects White, Gold (sounds like the 'biggie'!) and Maroon currently being screened further M&A action anytime within H2 looks guaranteed and adds to the excitement of inorganic growth. This, on top of Bonasse, multiple pilot w/f and Icacos, plus heartening news re. Spain should keep existing and new interest at a high level. Still adding.

[offerman] 15/7/2018 18:44

Okay so here's my take- it was inevitable that with any smaller acquisition that shares would have to be issued. Inflating the shares in circulation. But there is a big difference this time round in that we are acquiring production and exploration and not just issuing more shares like and I did just try and get another well drilled and try and save the company's bacon because of the very very poor way was run.So small acquisitions will require issuing new shares and combined with any spare cash.And yes of course it would never have been like for like 80p per share to equate to 500,000,000 market capWithout some sort of dilution along the wayHowever the way I see it is SWP to be the company maker and later in time investigating what lies beneath Goudron too. So if we do drill the first one align that will give us a lot more bargaining power should we hit the black stuff and decent amounts of it then we don't have to keep giving away lots of extra sharesActively we can then farm out part of the license or if someone offered the right price which would be in the hundreds of millions should hundreds of millions of barrels of oil be found Then we could use that money to further investigate what lays beneathAnd also the material acquisitions that are bigger than SWP.That to me seems a good way to go and buy starting with smaller acquisitions will steadily build up barrels of oil production per day which initially will as I said earlier increased the shares in circulation but with added value acreatively . A very very rosy future indeed. All who are invested now I'm pretty sure I'm going to reap the rewards within the next two years in my opinion let alone four years