Tomco Energy Share Discussion Threads

[talais] 30/8/2021 18:14

https://ir.petroteq.com/news-presentations/press-releases/detail/395/petroteq-announces-revocation-of-cease-trade-order

[the diddymen] 30/8/2021 17:25

As suspected, unless the directors can ramp the share price up, I cannot see any warrant holder exercising their right:

"291,895,086 warrants were issued during the year ended 30 September 2020 at exercise prices ranging from 0.4p per
share to 5.25p per share.22,875,000 of those warrants were exercised during the year at exercise prices ranging from
0.4p per share to 0.8p per share." (Extract from the last Financial statements)

[the diddymen] 30/8/2021 17:04

lopo the first step is to secure the working capital funding. The barrier will be the immense risk of the next step. No great surprise but any new investors are going to want a lot of headroom. Again a Director or two being involved in the placing would derisk that capital cost.

That is the easy step!

[cheshire2] 30/8/2021 16:55

Just to add to that, there are a few million pounds worth of warrants which should be exercised before any new placing, if any, would be considered.

[goulding1215] 30/8/2021 16:26

Echo, thanks Damac.

[lopodop] 30/8/2021 16:01

Realistically how on Earth can SUCH mega sums be raised by dear TOM and or GREENFIELD?

The Board CANNOT go empty handed to the AGM!

[the diddymen] 30/8/2021 14:53

Re: Damac on Reichsmart thread

Fenners has very kindly pointed you to the RNS!

Mixi Damac is basically correct. A few small points. Given that Greenfield is effectively TOM's only asset it does not matter whether you raise finance in TOM or Greenfield. Most investors who acquire capital in a placing would prefer it to be on a tradeable platform which is TOM.

Secondly, unless Damac has access to information that other shareholders have not, it is far from clear how the incremental costs of the delay were financed, and in my experience budgets are frequently over ambitious. The legal and professional costs of this deal will need to be financed, and it is highly unlikely that TOM (or Greenfield if you like) will not need to raise more cash in the near future. You would be daft to work on the basis that they do not need cash until the end of 2021 - albeit it is only a few weeks away!

ATB

[the diddymen] 30/8/2021 14:42

Lopo therein lies a problem. If the Directors are not confident, why should a third party finance the project risk. This one will implode if the Directors do not show a bit of faith. If so then SoS is spot on.

[ducky fuzz] 30/8/2021 14:36

Thanks damac.

[damac] 30/8/2021 14:19

Goulding,

As I stated recently, if you use the $110m figure you will be in the correct (and very small) ball park.

Further to that....


1. No placing is required to fund the initial 10% Tar Sands II deal, the cash has been sitting earmarked in the bank account for this particular use for some time now.

2. No placing is required to raise the $110m required to build the plant & purchase the remaining 90% of Tar Sands II.

3. If any equity has to be released to secure the $110m it will be equity in Greenfield and NOT Tomco.

4. IF any placing is required for a small amount of working capital to see Tomco through to such time where the Greenfield plant is operating and generating an income stream, it would be around the end of 2021.

[lopodop] 30/8/2021 13:57

But the directors are NOT confident in TOM - it's just another well paid part time job with a payoff if available funds permit.

[fenners66] 30/8/2021 11:40

goulding1215
30 Aug '21 - 11:07 - 21742 of 21742
"Damac, it might be useful to update on how much money is required for finance."


As the RNS TomCo Energy PLC Receipt of Final FEED Study and Third-Party Report
27/07/2021 7:00am said - Quote

"The FEED study describes the design data, design requirements and general operating philosophies for the development of the plant, including a Class 3 (+/- 25%) cost estimate of approximately US$110 million, the detailed equipment requirements and the estimated timeline to deliver the project. "

So in the range of $82.5 m to $137.5 m

Those pesky Directors and their RNS's.....

[goulding1215] 30/8/2021 11:07

Damac, it might be useful to update on how much money is required for finance. There are some arch derampers on the other board claiming that $130,000,000 is required to be raised from the City, the finance, snidely suggesting that the money will have to be raised by shares. They are sociopaths delighting in when investors lose money. Thank you.

[lopodop] 30/8/2021 07:52

Should TOM's Cash resources run dry, receivership may be inevitable as it would be for most businesses unless of course Mr Brown steps up. Top up fund raising is being left very late in the day. A poor presentation at the AGM could be a major concern.
TOM is very economic in letting investors know what is going on which is why many here are despondent. The Board has much to do to carry investors and the continuing share price doldrum must make them extremely nervous. Nervous boards tend to make irrational choices. Many investors may have too much on this horse!
And if it does fail, TOM's directors may rightly face heavy criticism and reputational damage which can extend to the other businesses in which they hold directorships.

[wilson2] 30/8/2021 06:50

That's quite a change of thought

[lopodop] 29/8/2021 20:53

Unless meat is put on the bones in the next few days, TOM will inevitably crash into the hands of a receiver. So it is up to the Board to act responsibly by providing full information on the present position and the future plans.

[the diddymen] 29/8/2021 20:16

Haha SoS, the risk in democratic terms is when people wake up to the deceit.

[thesageofsaint] 29/8/2021 20:04

'The market' is a bucket shop broker. They use tactics of cold calling and spurious positive claims loosely associated to the narrative of the respective businesses. This gets the placed shares sold. Commissions for brokers, nomads, legal firms etc and of course the salaried directors. This multiplied by many hundred of such AIM type epics is the mass that supports this type of operations. It serves the wider purpose of engaging low quality Pls to the market, vital for fluidity in these types of companies. Hundreds of millions each year earned on the back of fleeced PIs. But the trick is that those invested believe or need to believe so it is self fulfilling when the people accept the deceit as truth. Just a microcosm of the wider society and world we exist in.

[lopodop] 29/8/2021 19:47

TD
Let's just await the happenings of next two weeks. Investors should get some further clues as to the future if there is one.
Groach and Castro do invest in other companies that they manage. Their absence as investors is a giveaway negative so on this basis should all up sticks?
Why did SB not pick up on this - certainly he did? What incentive has he been offered here?

[the diddymen] 29/8/2021 16:03

SoS - TOM would be more credible if the Directors showed more confidence by investing in the company.

This always intrigues me. TOM will have to go to the market to raise more working capital. Who is the 'market' for these narrative companies? Do the 'market' just buy cheaply and then take the risk of off loading on PI's? Hardly a business model to my mind.

[thesageofsaint] 29/8/2021 15:02

The reality is that this company has been 'grifting' for over a decade. It has spent tens of millions in the process and delivered not a cent of shareholder value. We differ as I do with most, especially the individuals that own shares, in that I know this TOM epic is nothing but that. A mere shell that is allowed to exist as one of the plankton of the sea floor for the financial sector. There are many like TOM, they never achieve any value as they were not formed to deliver value just as a means to generate wealth transfer from the gullible PI to the inveterate theives in suits. Of course they need a story and it needs to be sailed as close at it can to legitimacy but they never move beyond PI funding. If you have ever engaged with corporate finance with a proper business you will know just how ridiculous it is to believe that this sham will ever be supported with capital. They know the score and rely upon the greed and stupidity of the average PI to maintain the shell as it was set up to be.

[the diddymen] 29/8/2021 13:08

SoS, it is a one shot company really. Plenty of companies have started that way and most fail. This is a very technical project with plenty of risk. The reward if it works would be spread around. There may be something in this. If Valkor can give enough credibility to Greenfield to obtain the funding, but without any corporate undertaking to the lenders, then Greenfield would be able to prove/disprove the concept. Concept proved would benefit Valkor. By agreeing 29%, Valkor have given some credibility to Greenfield/TOM, and grants Valkor potential return with no risk.


As you point out the problem for TOM is that they have no substance and raising $130m when you have no substance is not easy.

It does not look good.

[rmart] 29/8/2021 11:49

If we get news that steve Byle is joining the Tom bod then I will believe it is a supreme deal for Tom. At present I feel more like Valkor have had their use of TomCo and will be getting more into bed with Petroteq especially after their news of investment last week.

[goulding1215] 29/8/2021 11:46

Agreed. Nothing you can do about it except wai for news. If SB goes on the BOD, information should pick up. Explanations from the AGM. BE PATIENT.