Class action may have a good shot

[Kaliboo]

I'm no lawyer, but from conversations today, I looked back over news announcements and the Q1 2016 conference call transcript.  The description Hession gives of the A6 results and and the impact on the Antelope reservoir interpretation bears no resemblance to what we read later in the MIC.  The MIC says A6 disappointed and is the reason for the large decrease in reservoir volumes.  If anything, we were misled by Hession to believe that A6 confirmed and increased the ability to drain Antelope with "fewer wells."  The language used was it was a "surprise" and "encouraging." It can't be both.  It's not encouraging to lose ~3 TCFE of value.  This seems to be rock solid proof that IOC management committed an egregious error and never made ANY effort to correct it.

We know what followed.  Shareholders were shocked when OSH initiated their own appraisals and suddently Elk/Antelope was < 7 TCFE, a few TCFE lower than the base case we believed.  How can a company NOT clarify this to shareholders immediately?  We were left wondering.  This seems like a gross negligence by IOC management.  Who were we to believe?

I'm sure some good attorneys can dig up more as others have posted suggestions on this site.  XOM be careful what you wish for.  You now own it.

[Stavros]

"Safe Harbor" will be the mantra used by hession and others in future litigation.

If you review the IOC Safe Harbor statements included in each IOC Presentation, you'll see that they changed over time - perhaps that Q12016 Presentation had some "loop holes" we can use?

[Relker]

Class action can be considered after the resource estimate has been established for the CRP valuation. According to the annual report the resource amounted to 10 TCF. This figure is more or less an official figure because it was approved by the accountant. Considering the upbeat presentation in q1, people could not expect a figure to be material lower. It is true that in the MIC other figures were aired. However, the annual report is leading.

[Gator]

The time for a class action was when the deal was announced. The fact that InterOil used to trade on the NYSE, but has no other US connection (thanks to the shutting of the Houston office), prevented the typical class action law firms from "investigating" the deal when it was first announced. I own STRP. Today they announced a tax free merger into AT&T today for a 150% premium to Friday's close ($36.48 to $95.63 in stock), yet two law firms have already announced an investigation of the buyout. What are they kidding, the longs are dancing in the street. IOC shareholder were crying a the value offered, and not one firm stepped forward because the chance of recovery from a US based lawsuit was slim and none. Maybe a Canadian lawsuit would work.

[jft310]

Phil's law suit could take years ?? Odds seem high for some type success . Currently our lawyer is reviewing our questions for dissenters and helping us prepare to invoke our rights under section 193 to a new appraisal . We appear to have most dissenters in a group to move forward . We have access to the Paradigm Report which includes all of Interoil assets vs BMO who failed to value all the assets . How does Exxon explain the no or low valuation for certain Interoil assets .?? We feel Paradigm needs an update downwards . We leave that to the new Court appointed appraiser .
A court imposed settlement which we expect will give us the right to participate in Phil's US suit .
After we file for our right to an appraisal Exxon is required to make another offer . Unless that's one big number that offer will be rejected . We expect a crap offer at that time and rely on the Yukon Courts to come up with a fair Net Asset value number . The history of dissenters in court is quite positive . Or the story continues,