Trap Oil Grp Share Discussion Threads

[cyan] 02/5/2015 09:24

Good morning lrnBru2.

With millions sunk into TRAP one might guess the likes of Paul CURTIS and PG are seriously examining options which might just save TRAP to fight another day.
Alternatively; examining options for a maximum return of monies from a winding up.
The timing of both is totally related to the NIOBE drill and its result.

I suppose there is a one in a thousand chance SUNCOR offering TRAP a predrill complete buyout .
They have deep pockets and like the prospect, but are they such gamblers?.

If SUNCOR offered our £2 million drill costs back and another two million to clear out would they bite?

If oil was sub $50 I think they would take it and cut their losses.

The interesting position we are in now is oil closed at $66.48.

It must be in the back of all minds that this recovery could gather pace and Athena break even in a couple of months.

[irnbru2] 01/5/2015 20:18

Hard to know what is going on here.

It is not like an AIM company like this to " come clean".

What is the angle.

[ranald] 01/5/2015 10:23

Tried to buy this yesterday thorough IG Index but they would not take it - said something about not enough risk.

[cyan] 01/5/2015 09:39

Brent is strong today; now $66.50 was earlier this morning $66.75.

[bones698] 30/4/2015 16:31

Cyan total will probably drag it out and wait for trap to fold first imo . That or they will recieve a very small fee due to the fire position and total will know that . I doubt this will get past 0.5p no matter what happens from here tbh

[cyan] 30/4/2015 15:03

Cash.
Cutting losses maybe the best way forward.
The £2million plus success fee deal imo would offer PG a chance to get %20 of his investment back if we then liquidate.

If we wait for a NIOBE drill success we will have sale issues which we can not afford to have dragged out.

If POO continues its recovery and is around $80 at the time of the drill we maybe in a better place to survive. Slim chance.

What has happened to the no drill compensation?

[cashandcard] 30/4/2015 14:38

cyan,

Agreed, the only way forward is/was? to maximise the value of Niobe well (as I have previously alluded to) PRIOR to drilling. Either via a sale, or paper-2-paper deal or some other scheme. Its quite late in the day for any of that now to be honest.

Cash

[ngms27] 30/4/2015 14:14

Athena is dead, there will be no new wells whilst IAE hold a position. IAE the operator have made it clear they are doing nothing other than the Stella Development at present.

Trap effectively is a one trick pony and it's called Niobe. The question is will they survive long enough to reap any reward? My view is that without funding no.

[cyan] 30/4/2015 14:11

Good afternoon cashandcard.

Brent is now $66.15. It appears now that further Athena investment in remedial works on P2 and maybe another drill is becoming a possible way forward if the POO keeps rising towards $80 plus.

Capital will be required hence my preferred option is a pre Niobe drill deal.

Guarantees us a minimum amount of cash. If we wait and gamble on the Niobe result then we may lose all or alternatively maybe given the run around on a sale

[cashandcard] 30/4/2015 12:38

Only a fool would support this with further funding now. Firstly, cut G&A down to the bone, get rid of anyone who is still on he payroll from the epic disaster this has been. Second - hold a sale of the century and selloff anything which achieves a price which maybe measly, but palatable. Finally, new strategy, new direction and management to fit. If this can be done, then I reckon, it a potential recovery play, albeit looking and sounding different to the past.

The only way to recover anything meaningful in situations like this is a FULLSCALE cull of all the factors that have led to the failure. That means scorched-earth policy with personnel and assets.


Cash

[bones698] 29/4/2015 18:55

Will trap be around long enough for niobe though is a big question and even if it's a gusher they have no money to do anything with it other than sell it at a distressed price imo . The chances of it hitting are 1 in 8 as is the usual drill statistics.
I believe PG will use the distressed position to gain a much bigger piece of trap at a very low price and possibly look to turn it into a shell . That's if there is anything left to salvage which looking at the costs and possible other bills may well mean trap is not even worth doing that . Sorry guys but it's all over bar the shouting now and no matter what happens I think shareholders will continue to lose almost everything with little chance of anything back .

[oilretire] 29/4/2015 17:49

So it is, cheers cyan :-)

Pushing $66.65 as I type

[cyan] 29/4/2015 17:39

Good afternoon oilretire.

The good news is Brent is now $66.10.

It appears that PG and others are being spoken to about further support.

"in addition to which the directors are actively holding conversations to seek additional shareholder support to secure further funding"

Perhaps someone needs reminding to chase the 'no drill' compensation.

[cyan] 28/4/2015 15:36

Brent now $65.20. Put on another $20 by the end of next week and I will be happy lol.

[cyan] 28/4/2015 13:59

Good afternoon ngms27.
My take from the last rns is that TRAP will be "in the game" by the time of the drill.
I just think we maybe much better off making a predrill deal. Guarantees our cash back and instead we take a much smaller "prize" on a successful drill.
Depends on how much of a gambler we and Suncor are?

If its a success , then what? Hopefully a fast sale because time is against us.

The predrill deal is the best option imo.
Then wind up and distribute.
PG might get %20 plus of his investment back; its that or , most likely,nothing.

[ngms27] 28/4/2015 13:52

Someone else will be as TRAP won't last long enough to drill Niobe.
Well that's my take on the latest news.

[oilretire] 28/4/2015 12:58

Interesting answers - personally I'd want someone else in control of a Niobe success, not this lot.

[cashandcard] 28/4/2015 12:33

PMG is and has always been the only graceful option left for shareholders. At this stage however, I can't see TC falling over himself to accommodate trap shareholders I'm afraid. The management here have pretty much ensured that little if any options remain for shareholders to 'recover' some of the lost fortunes. The last roll of the dice is Niobe, but its a survive or die scenario whichever way you look at it. Niobe success means they may have something of value to selloff and get them them through the worst of the storm - a poor result will probably be the 'nail in the coffin' for long suffering shareholders.


Cash

[cyan] 28/4/2015 12:27

If we go on as we are there is a 3 in 4 chance we end up with nothing at all.

If we take PMG paper there is some kind of future; fingers crossed.

If we want a chance to walk away with a couple of pence or more a share, we should be looking for the predrill deal.

[phowdo] 28/4/2015 12:23

Do remaining shareholders really want PMG paper at this stage that will ensure they never recoup their losses even if Niobe comes in a huge success?
Cant see TC wanting to gift the remaining management nice payoffs instead of the statutory minimum either.

[cyan] 28/4/2015 12:19

What else is there? A handful of licenses.

[irnbru2] 28/4/2015 12:18

TC at PMG may go for Athena, but would he want the rest of TRAP.

[cyan] 28/4/2015 12:10

oilretire.
I think there are options worth considering and totally dependant on others interest.
SUNCOR seem quite keen on the Niobe drill and have deep pockets.

I could imagine an interesting buyout deal with them which could involve the return of our £2million drill costs plus an agreement to pay a one off "success" payment if NIOBE is a hit.

What is TC thinking at PMG?
If he thinks oil will be $80 by xmas and further works on Athena are worthwhile he might just offer a little paper.