Tethys Share Discussion Threads

[casual47] 13/4/2017 10:38

My understanding is that the Great Wall will only do gas wells.

[casual47] 13/4/2017 10:37

I'd feel happier about the independence of consultants if we weren't selling the oil to a non-independent director of ours.

[hguess16] 13/4/2017 10:08

Drilling by Great Wall and other optimisation measures !.

While we wait for drilling to commence in May, I wonder if any of you know the purpose of the drilling exercise in contributing to the development of a resource :

Are these appraisal wells to assess flow rate, reserve quantity of a proven hydrocarbon accumulation ?

Are these production wells for producing oil or gas ?

Are these development wells for the production of oil and gas already proven by appraisal drilling to be suitable for exploitation ?

I was also reading about the " economic limit " ie the relationship between the cost of extraction vs the most efficient production rate (bbls/month or mscf/month) taking into account the $6m due to Great Wall in 2019.
I presume that the current market oil price and the negotiated price with the Kumars are likely to affect the " economic limit " ie the break-even and economic
viability of the Tethys business.
My assumption is that the new MGT team are currently evaluating these issues with the help of independent consultants prior to agreeing a new pricing strategy as well as a possible pre-selling of KAZ reserves.
Do these assumptions sound reasonable or do they raise further questions ?.

[temporarily insane] 13/4/2017 10:06

...whilst we all sit looking at our huge losses waiting to see if this share price will move in a positive way.

[1399peter] 12/4/2017 23:04

I was going to suggest that to bill funnily enough, that he might want to tap Alex for £100k. And just minus it off of the damages

[casual47] 12/4/2017 22:49

Other useful email addresses (all public domain, see SEDAR):

[e-mail]
[e-mail] [e-mail]

[1399peter] 12/4/2017 22:29

Ok just sent Bill an email, I will let's ya know

[hguess16] 12/4/2017 21:57

Anyway, I've had it off my chest and want to move on !.
I personally feel that there are only a few key issues to be sorted out to get Tethys back on the road again and they are a solving of the AGR loan issue, establishing a new marketing arrangement with a new partner ( Prax AK: if Casual is right) and getting on with the drilling !.
And no more local disruptions from Olisol !!.
I seem to be repeating myself just to remind me once again !.

[casual47] 12/4/2017 21:55

The company's most dire moment was just before Christmas when they were close to collapse. If at that point the Kumars only could find 700k each to sustain the company then it doesn't take much imagination to see that perhaps they don't have two buttons to give for a secondary listing....

Our saviours (All Hail The Kumars, peace be upon them) sure seem a little stingy....

[casual47] 12/4/2017 21:50

We know they are low on cash (they had less than half a million left on 31st December 2016), They got 2.6 million (from ICA?) in January but that is restricted cash in Kaz so I imagine can only be used for very specific things in-country for TAG (perhaps related to the restriction on the bank accounts due to the ongoing court cases.)

So maybe they really do not have the money on the group level left in the short term to pay for the listing, seeing as the renewal was due in April.

Though that said, i would imagine they don't have to pay the whole 100k or whatever upfront.

[temporarily insane] 12/4/2017 21:50

1399Peter, here is Bills email if you dont have it: [e-mail]

[1399peter] 12/4/2017 21:43

TI

I thought these guys read every word we write WTF. I will email them and write to the BBC at the same time G'dammit

[1399peter] 12/4/2017 21:40

Ben

I see your point about pre-requisite, but I am struggling with why a lender would want Tethys to reduce it's exposure to the market and liquidity of the stock to save 100k whilst wanting to borrow Millions (I would assume)

[temporarily insane] 12/4/2017 21:34

1399Peter, why dont you get in touch with Bill and ask him personally.

[temporarily insane] 12/4/2017 21:33

Its mind boggling how much mental strain this has put on all of us.

[1399peter] 12/4/2017 21:32

"Is it worth it"

No is the answer to that one hguess. As I said previously I do understand the cost cutting but it just doesn't suggest Tethys will be in a better place in 6 months to be able to afford it.

It suggests the exact opposite of a company about to turn the corner.

They need to re-think this one I feel

[benandemmiboo] 12/4/2017 21:28

Perhaps the delisting (and other cost-cutting measures) is a pre-requisite for some sort of loan -- where good news would indeed come after the delisting -- and perhaps the company is simply in far more dire financial distress than any of us tend to currently think. (Even if most of us likely think they're in worse shape than any other holding we have in our respective portfolios.)

[hguess16] 12/4/2017 21:21

Interesting discussion on the merits of TSX/ASX and Aim/LSE !.
It is interesting that Robson and his team started Skyland in ASX perhaps realising that it is better to start afresh with a new set of potential investors, although Skyland was subject to budgetary controls by an independent fund who kept
a close eye on Robson's ambitions in Georgia and his venture into Russia ?.

While noting that TPL had only a secondary listing on the LSE, I would add that there would have been less interest by investors, if it had listed on Aim. Aim has not exactly been a roaring success !.

What I also find difficult to understand is " Why use a big rock ( delist from LSE ) in order to crack a small nut ( save £100k plus less red tape) and in the process lose Tethys, already a depressed market value, yet another few £million of value " ?.
Is it wort it ?.

[casual47] 12/4/2017 18:55

D64 - You weren't making a point at all so not sure how i could have missed it. I confirmed your findings that TSX is far ahead of LSE. As it happens mainly because 1. there are more IIs looking to invest at IPO stage in TSX whereas IIs in LSE (e.g. pension funds) are mostly interested in mature O&G companies and 2. Geographically TSX is getting a lot of the companies from the American continent with LSE being stronger in European ones and ASX Oceania and Africa

AIM has only been around for 23 years while TSX is more than 150 years old, so I guess that's a factor as well....

[dorset64] 12/4/2017 18:34

Think you missed my point casual, I only posted it as I was interested to see how many O&G Co's were on both the Aim & TSX exchanges. I didn't mention liquidity or how many people lives in Australia & Canada combined, but hey every days a school day here. :)

[casual47] 12/4/2017 15:23

TSE and ASX are the leaders in mining listings. LSE tends to favour more mature companies (though there is also AIM).

A lot of it tends to be geographical proximity as well, e.g. Americas for TSX, Oceania for ASX.

I think ASX is #1 for Coal.

That said, if you look at share movements volume wise there are an awful lot of zombie companies on ASX and TSX. The down turn in mining/resources probably accounts for some of that.

But fact is that TPL is already listed so the IPO listing advantage of TSX is not really relevant and UK has nearly twice the population of Canada, and more than Canada and Australia combined, so naturally it has more private investors that can make sure there's liquidity (as has been shown already with TPL)

PIs hold around 50% of the shares of TPL (that's after the recent dilutions) so they have a big influence on liquidity.

[dorset64] 12/4/2017 15:12

Casual, something you mentioned so I had to go and look it up. Currently on AIM there is a total of 160 O&G Co's listed, at the same time there are a total of 302 O&G/Energy companies listed on TSX.

Just thought I'd post it as I was interested to know which listing holds most although I can't tell how many of the 302 on the TSX are Energy Co's as opposed to O&G Co's.

Source:

[hguess16] 12/4/2017 15:06

Reverse takeover/Merger/Consiolidation ?.
In the medium to long term, anything is possible !.
The dynamic Kumars, who are in the energy business, might consider a vertical integration to include Tethys Petroleum to complete the process of exploration, extraction, transport, refining and distribution to its wholesale and retail operations.

[casual47] 12/4/2017 13:19

I guess the delisting also puts to bed the conspiracy theories / hope some of us had re. a reverse take over / merger.

I think while it would be a very cheap way for a Kaz based company to get exposure to the market in this way the fact seems to be that what goes on in Kaz doesn't bear the scrutiny and transparency that a Western publicly listed company has to subject itself to.