Tullow Oil Share Discussion Threads

[niceyman1] 29/3/2011 12:10

I expect rns later this afternoon with news on weather or not contracts have been signed. I don,t subscibe to these news stories that Total and Cnooc want to re-neg. the price they pay due to the time delays, overstating of reserves e.t.c. They have been waiting for over a year now and would have walked if they weren,t sure on valuations or were fed up with musearvi ineptitude!
No to me they want those reserves and know that they are getting value but with political risk thrown-in. As a long term tullow holder i think that finally our patience should be rewarded pretty soon, and am hoping that our dear friend musearvi has now decided to quit playing his games and will let us get on with the job of proving-up reserves and helping Uganda to becoming an oil producing state!

[85gary] 29/3/2011 10:39

As an aside, interesting programme on BP last night!

I'm sure we'll hear positive details soon.

[eipgam] 29/3/2011 10:24

No idea, I'm afraid... but lots of faith in the management.

on another note, I would be horrified if one of the major shareholders felt moved to tell the AH to walk away from deals (as SL have done with BP)

[85gary] 29/3/2011 10:18

eipgram, it would indeed be great news, but I'm not sure if signed sealed yet.

Any idea whether sale to Total CNOOC being signed today in London as alluded to in energy Intelligence headline? I don't subscribe, just picked up headline. I think ten days have passed by now. (MOU signed 15th I think). RNS due after signature and details of MOU should be available at same time according to last RNS.

[eipgam] 29/3/2011 10:11

thanks Gary....

If true, that would mean that TLW perceive their current stake in this WCTP field to be worth just under $2bln or around £1.225bln (at least? given the possible distressed nature of the EO sale)

[85gary] 29/3/2011 09:56

Is this now a done deal?
Tullow looks to raise Ghana oil stake
Ireland's Tullow Oil is seeking to increase its stake in Ghana's offshore Jubilee field through the $300m acquisition of shares controlled by allies of John Kufuor, the former president, industry officials in Ghana and London said, the FT reports. Tullow's bid is higher than offers made by other mostly Ghanaian groups in the recent past for the EO group's 3.5 per cent stake in the West Cape Three points block, officials said.

[85gary] 29/3/2011 07:33

Headline suggests signature maybe today for an upfront amount of at least $283m.......dyor.

International Oil Daily
Tullow, Total, CNOOC Split Uganda Tax Bill
Copyright © 2011 Energy Intelligence Group, Inc. (click for details)
Tuesday, March 29, 2011

Summary
Tullow Oil and its new partners, Total and CNOOC, have agreed to pay Uganda a sweetener of at least $283 million in a deal to be signed in London today.

[phillis] 28/3/2011 14:57

TLW has signed a MOU
They will not/cannot vary from this

Of course the SPAs have beeen prepared in parallel - otherwise how could thsey even contemplate a 10 day resolution

[eipgam] 28/3/2011 14:06

5mally... I couldn't have put forward a better explanation. Well done

[85gary] 28/3/2011 13:32

Thanks for input and clarification 5mally.

Your interpretaion looks sound to me.

What a mess indeed. Keep the faith!

I think HOIL were streetwise rather than bad boys, and had Tullow not paid ENI would have taken up HOIL position and paid tax themselves.....but all history now.

As for me......back to the comic books to pick up another Onek misquote, until an RNS appears!

cheers

[85gary] 28/3/2011 12:42

I guess if you were a cool calm company who only really wanted to sell 50% but agreed to sell two thirds of something a while back and then were held up by the person who wanted you to sell two thirds, who demanded a tax you thought was too high, but customer now says he wants to pay less for those two thirds, you might be tempted to change some paramters, especially if you were a good negotiator?

Journalist appears to have picked up on something, even if it is unclear exactly what. I guess I'm stirring what your name suggests muckshifter, in absence of a clear RNS.

No big deal, just my view on what I'm reading, I could well be wrong, it won't affect my holding. I agree with you that the pressure is certainly on with the 10 day deadline, and Tullow look like they are negotiating well imo.

[muckshifter] 28/3/2011 12:17

I think Tullow made absolutely clear their intention to split the ownership of assets into equal thirds, some time ago. If the situation has decended into a renegotiation of the basis this late in the day it would be disastrous, but I don't think that will be the case.

IMHO, Tullow have kept their cool in very trying circumstances and calmly, patiently and confidentially negotiated with the UG to resolve this situation successfully. I believe they will have had parallel negotiations with their prospective partners, to avoid any last minute problems, which I hope and expect were successful. The thing that does concern me a bit is that the 10 working days is a very short timespan for settling the legal matters for such a major and complicated deal. Far too complicated for the average journalist to understand imho.
Regards.

[85gary] 28/3/2011 11:51

Looks like ambiguity over Uganda tax and now a question over asset sale value is dragging on a great Ghana drill result.

Following link makes an interesting read while we await 10 day signature deadline.



Has anybody else picked up on some articles refer to 50% some to 60% asset sale, when establishing Tullow's "30%" capital gains tax liability? It looks like Tullow intend to dispute this through local arbitration while Heritage thro' London? I know Tullow originally said 50% and UG wanted two thirds sold to Total CNOOC, but various articles are mixing figures and now asset value appears to being questioned. Does anybody think Tullow might try and sell less, or exclude fields?

All a bit vague, but probably designed to be? Any thoughts? aimho dyor etc.,

[togglebrush] 28/3/2011 07:43

RNS ... check it out

[pcok] 27/3/2011 00:40

Very interesting take and thank you for the link.

Interesting times...

[niceyman1] 25/3/2011 16:10

Looking for a strong finish! Tullow have agreed to pay uganda monies next week according to Twitter! shs900bn

[mccracken227] 24/3/2011 11:24

thanks Bushwacker, agree with eipgams comment

[muckshifter] 24/3/2011 11:19

The "deadline" is ten working days from MOU signature, ie next Tuesday, imho.
Regards.

[eipgam] 24/3/2011 10:53

hmm... maybe tlw will get that stake on the cheap then? Must admit I didn't know who they were or that they had a stake...

[bushwhacker] 24/3/2011 10:47

You might like to read this article on the EO Group!!!!

[mccracken227] 24/3/2011 10:27

forgive my ignorance but what is EO Group?

tia