Pace Oil & Gas Ltd T.PCE

Nova Bancorp

[zagorsk]

Nova came out with a well reasoned statement today.    

       They stated that the major problem with PACE was its 

       management and noted that CHX's management would 

       be no better.        

            

       Nova feels that current management should be ousted and  

       going forward PACE's balance sheet should be strengthened 

      either by a rights issue or a partial sale of assets ( Dixonville? )  

        

       This sounds like a reasonable place to start but they should also 

       have highlighted the assets PACE has that they feel can be developed 

       in a timely and profitable manner.  PACE's management has made a 

       total fiasco out of past CAPEX programs and it is critical to have a 

       CAPEX program that shows results.      

                    

        If current management wants the merger to go through then it is beholden 

        on them to do away with the golden handcuffs and show why their CAPEX  

       program would bring about timely and profitable results.

[jayd54]

Would also note that Novabancorp has hung its hat fully on the 2P value assigned by the McDaniel report.  There are very few transactions done these days where the full 2P reserve value is realized.  I would suggest that property sales, in particular, would yield far less on a cash basis that 2P.  As for management, the success of Mr. Buchanan in operations prior to CHX

[zagorsk]

     I totally agree with what you say if only Buchanon would give an outline of what       these higher quality assets are and show that the return on these assets would       be great enough to support the new merged company. Also $25M is too large a       hit to take for incompetant management.        

[Buynsell2013]

Please read the merger proposal outline on the website will answer your presentation question $25 M is the signed agreement by the management and BOD and we shareholders elected that BOD  and they will be getting the package either way ...     

[mo1975]

just as the sign agreements between the companies for the arrangements was amended 3 weeks ago so can the agreements with management in regards to their buyouts following a merger.... as long as we do not merge these agreements are worth nothing..... by the way buynsells  where is joe these days???? I told you guys what I would do with my stocks in the event of a merger but you guys keep

[Joe454]

This post has been removed in accordance with Community Policy

[mo1975]

the latest release from nova bancorp does imply an alternative..with pce going with avf only....they are also prepare to propose a new board at the next pce agm.... they are also advocating the raising of capital funds through sales of some properties and/or offering to existing shareholders... I think that they at least have come up with some solutions even though it may not be the ones that were