Petaquilla Minerals Ltd PTQMF

RE:RE:RE:RE:Tomorrow Will Be Interesting

[wwadehammer]

Good questions JJF7.  If you read the forward purchase gold and silver contracts, It states that PTQ must pay in gold or cash within 14 days of the each monthly due date.  It also states that PTQ can only be late twice for the entire contract lenght and only once within any six months time period.  Any late payment over 14 days gives DB the right to demand repayment of the outstanding contract balance ($32 million at June 30, 2013).  PTQ  was much more than 14 late with payments to DB for  December 2012,  June 2013 and September 2013.  PTQ has violated DB contract terms in just about everyway possible and failed to disclose that to the stockholders for nine months.

If DB calls in its loans and PTQ can't raise the cash in time, then PTQ declares bankruptcy and continues to operate under a bankruptcy court appointed manager until the assets can be sold.  The first people that get paid are the lawyers, then the creditors, then the stock holders.  Our liabilities exceed assets by $120 million so if the sale of assets brought in $1 per share that would be $220 million so there would be $100 million for the stock holders or 45 cents a share.  I don't think we could get $220 million for the company in a bankruptcy sale but any sale less than $120 million means the shareholders get nothing.