PNG flip-flopped all over on that issue. They applauded when IOC announced the exclusive agreement to negotiate with Exxon. O'Neill announced it in Parliamentary and Parliament clapped and cheered. But later the gov't said they liked Total coming in as they wanted diversification. That's PNG.
As far as Hession and Exxon, when Phil was canned because he refused to come to reasonable terms with anyone and wanted to be Operator, etc. Byker took over and made an exclusive agreement with Exxon to negotiate a sale of some sort. A big no-no in the rules of deals. When Hession came in the first thing he did (after convincing the BOD that he was a seasoned CEO and the right choice; really he was the only person who they could get) was break the exclusivity clause and open things back up.
Supposedly things were going well, but Total and others kept upping the stakes. All kinds of rumors on what Exxon really proposed, but reliable sources who used to post here said that a final pitch was made to Total and that included an unheard of payment for potential resources depending on the volume proven up. Supposedly on a wish list of some 12 items Total said Yes to all or all but one.
So at the 11th hour when everyone (due to comments by Hession) was expecting the deal to be announced with Exxon, suddenly a "transformational" deal was announced (and botched) with Total, and pps plunged and never recovered.
IMO at that point Exxon and OSH schemed to undermine the deal and that started with the crafty move by Botten to snag the minority shares from PacLNG and then file a Dispute on the SPA between IOC and Total. Hession never anticipated this move due to his extreme inexperience in being a CEO. His big move? Hire a consultant to work on IOC's culture and teamwork; thus fiddling while Rome burned around him. His underestimation of the Dissent work-out had him stating that within 3 months things would be worked out, IOC would prevail and there would be laughing and dancing in the streets. That 3 months turned into 6, then 9, then almost a year and during that time no drilling was done as Total didn't want to risk capital if the Dissent went south.
The cluster only continued when Wahoo was hurriedly spud, they made a dumb choice to repurchase a chunk of shares all in a short few week period (hoping to avoid dillution when the warrants on notes would be exercised because IOC's pps would shoot above the mid $90s), and soon after the markets fell apart and oil, LNG prices and E&P stocks went to hell defeating the purpose of the share buy-back as they ended up paying off the convertible notes..... And on and on and on.... Right down the shitter everything went.
Hession absolutely lost control of the company, but with the support of the BOD he didn't care as he made out like a true bandit.
That's my story and I'm sticking two it.
As far as Hession and Exxon, when Phil was canned because he refused to come to reasonable terms with anyone and wanted to be Operator, etc. Byker took over and made an exclusive agreement with Exxon to negotiate a sale of some sort. A big no-no in the rules of deals. When Hession came in the first thing he did (after convincing the BOD that he was a seasoned CEO and the right choice; really he was the only person who they could get) was break the exclusivity clause and open things back up.
Supposedly things were going well, but Total and others kept upping the stakes. All kinds of rumors on what Exxon really proposed, but reliable sources who used to post here said that a final pitch was made to Total and that included an unheard of payment for potential resources depending on the volume proven up. Supposedly on a wish list of some 12 items Total said Yes to all or all but one.
So at the 11th hour when everyone (due to comments by Hession) was expecting the deal to be announced with Exxon, suddenly a "transformational" deal was announced (and botched) with Total, and pps plunged and never recovered.
IMO at that point Exxon and OSH schemed to undermine the deal and that started with the crafty move by Botten to snag the minority shares from PacLNG and then file a Dispute on the SPA between IOC and Total. Hession never anticipated this move due to his extreme inexperience in being a CEO. His big move? Hire a consultant to work on IOC's culture and teamwork; thus fiddling while Rome burned around him. His underestimation of the Dissent work-out had him stating that within 3 months things would be worked out, IOC would prevail and there would be laughing and dancing in the streets. That 3 months turned into 6, then 9, then almost a year and during that time no drilling was done as Total didn't want to risk capital if the Dissent went south.
The cluster only continued when Wahoo was hurriedly spud, they made a dumb choice to repurchase a chunk of shares all in a short few week period (hoping to avoid dillution when the warrants on notes would be exercised because IOC's pps would shoot above the mid $90s), and soon after the markets fell apart and oil, LNG prices and E&P stocks went to hell defeating the purpose of the share buy-back as they ended up paying off the convertible notes..... And on and on and on.... Right down the shitter everything went.
Hession absolutely lost control of the company, but with the support of the BOD he didn't care as he made out like a true bandit.
That's my story and I'm sticking two it.