RE:RE:RE:RE:RE:RE:oil nd gas conferencewaitingstill - you bring up a great point!
If taking into account the total outstanding balances CGX owes: JDC is owed $14.4M; Prospector $9.5M; Teikoku is owd $2.9M; and PRE $7.5M. In turn, offering new CGX shares at $0.10 until all balances are paid - there will be a material change in ownership structure...
Present onwership strucutre is PRE holding ~50% of shares; JDC owns 15%; Prospector owns 14%; and Teikoku owns 0.
If new shares are issues at $0.10 / CGX share to pay off trade balances - the new ownership structure would be PRE 28%, JDC 25%, Prospector 36% and 1% Teikoku. So, the overall impact would dilute PRE's ownership holdings by more than 20%.
Not sure what exactly they will do to settle trade balances - but, would imagine PRE would be more inclined to increase their investment in CGX as opposed to decreasing it. Suresh even mentions it in the recent articles - financial stability with PRE will be a key step in ensuring CGX remains entact.