CGX Energy Inc V.OYL

They want a sale

[SheDrills]

Houlihan has been working this for weeks or possibliy even months.  I'm not sure the dataroom is open yet because Houlihan is likely reviewing all the technical work to ensure something hasn't been overlooked.  Some of my connections believe the Wei room is not open yet but they aren't directly on Guyana/Suriname teams so take that w/ a grain of salt. Interested parties will then gather all the raw data and perform their own analysis which would take weeks if not months.

Furthermore, many institutional investors have told Frontera that they don't want to see them spending anymore of their FCF on Guyana.  They want Guyana to Self Fund...which means they want to see a deal achieved that allows Frontera to cash out or at minimum progress the asset w/ no further spend.  Look at Frontera's shareprice...it's down because investors are afraid they will continue to spend...Frontera is very aware and uncomfortable of this selloff.

More transparency would be great but for now all we can do is email IR and ask for that.  If a deal looks close, I don't expect to see more PR as everything will remain confidential to remove stock market volatilty.

[westcanpride]

I appreciate the info SheDrills.  My goodness though... if the data room is still not open, this bloody thing could easily drag out many more months. Probably why share price of both companies languish hard (lack of immediate deal forthcoming).  This might sound harsh, but I don't think De Alba (and by immediate extension Catalyst) gives a single sh*t about the massive drop in

[SheDrills]

Catalyst has 7 companies in it's current portfolio.  I'm not sure Frontera is even his highest priority....but I do agree that the JV is lacking competent people...hence amateur hour.

[RawSienna]

How does a data room room work in a legal sense, do they legally have to disclose everything they know or do they only put forth the good stuff and hope someone bites the bait? 

[a2bman]

Not in the data room probably just confidentialtiy agreements - what your asking about would come in the actual sale/transfer agreement under disclosures, warranties, representations etc.  if they hide anything then they're screwed

[SheDrills]

The interested parties will each sign a non-disclosure agreement and then they will have access to all the data.  The majors are smart, they aren't going to duped by SMIDs, they know what has been announced regarding data acquisiiton and they will ask to see it all.

[Coloradobuff]

Thanks for your input as always. What do you think is the next steps and timeline? And now that the share price is chopped in half will the buyout be chopped in half? 

[SheDrills]

I thought this deal would have occurred already so don't ask me for a timeline.  I have no clue who Houlihan is speaking w/ just that the last PR indicated players were expressing interest,