CGX is still alive Thanks to the Guyanese Government, CGX is still alive and, under the circumstances, could come away from this episode quite well.
CGX still holds the PA's & PPL's for a large area of on and off-shore leases for a least 4 years, and we still do not know the terms of those licenses relative to the ownership or sharing ownership.
I believe that these concessions were granted to CGX, presumably without any competition, as a return favour for the border dispute.
IMO the fact that CGX owns them must make them worth at around 33% of the rewards.
As I have stated previously this could now result in PRE paying the whole shot and CGX still getting a third of the profits, which could be as much as $8/share if Eagle Deep comes good @ 2.3 billion barrels (in-ground value).
Remember that PRE would also further benefit with around 60 to 70% of CGX's outstanding shares at this price. For PRE it is a win/win situation.
Without access to those licenses PRE could have lost all their previous investments if CGX went under and the licenses were offered for bid!
This could also be why they did what they did and not try to buy-out and close down CGX!
Also, don't forget the CGX on-shore prospects that PRE may well be very interested in as they have lots of experience in drilling on-shore, and like Surinam could hole a lot of cheap oil.
The bottom line for me is that what happened yesterday was probably the best resolution for a bad situation.
Oh and by-the-way good riddance old CGX management! You did a fantastic job of loosing my money.
Why couldn't you have done the same job with respect to finding oil or providing the correct equipment to suit the known high pressures!