'Tree' pid='15225' datel Wrote:
'johnwgrant' pid='15224' datel Wrote:
'Gator' pid='15222' datel Wrote:Tree, As much as I respect what you say, your second point is incorrect. InterOil does not have a signed modified project agreement in hand. That has been part of the problem for the past six weeks. Phil talked about it, O’Neill wanted it, yet we are three days way from 2013 with nothing in writing.Tree - so, where do you think the problem lies? Is this the infamous "PNG time" where nothing gets done on time? Or, do you think they are at some sort of impasse regarding the "additional 27.5%"? Of course, Christmas/New Year's for politicians is built-in vacation time...
Hey John,
I didn't know there was any problem. If you know of one please tell. All indications are that this is a big process and it is being worked through.
If I had to identify a 'poblem' it would be there are 6 bidders minimal in the mix still. Gotta weed them out through the bid process. That means the $/M will rise. Could well be awaiting the new GLJ certified report for E/A is the clincher. BOD's of Co's trust their own PE's but will still want 3rd party verification. That comes out in Feb/March historically. Maybe that GLJ will trigger take-over attempt. Who knows for sure.
I don't know of a problem - but, my understanding was that InterOil would first finalize the Project Agreement with the PNG gov't (including the option for an additional percentage (up to 27.5%)). The Project Agreement would still be "general" at this point - ie, it would not necessarily pinpoint who the Sell-Down partner would be, nor, the exact nature of the LNG plant itself. (However, the 3.8 mtpa minimum size and Gulf Province location would be specifically approved).
Only once InterOil has this signed (and approved by the NEC) Project Agreement would InterOil then hammer out the details with the bidders/other stakeholders. This would take several weeks.
So, if my take is correct, I am still waiting for the first shoe to drop -- ie, the announcement of a definitive Project Agreement with the PNG gov't. I would expect the stock price to accelerate to the upside when this announcement occurs. (although, I still can't understand the depressed stock price right now.)