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Sonoro Energy Ltd. V.SNV

Alternate Symbol(s):  SNVFF

Sonoro Energy Ltd. is a Canada-based oil and gas company. The Company is focused on oil and gas exploration and production in Canada and abroad, including the Middle East/North Africa (MENA) region. The Company has drilled two wells in Saskatchewan. The Well 11-30-32-23 W3 was a vertical well and the Well 14-29-32-23 W3 was a Waseca formation multi-lateral horizontal well with four horizontal legs for a total lateral length of approximately 1,600 meters. The Company’s subsidiary, Sonoro Energy Canada Ltd.


TSXV:SNV - Post by User

Bullboard Posts
Comment by AyuFanon Mar 18, 2020 12:01pm
64 Views
Post# 30821832

RE:RE:RE:Problem reaction solution.. at least level 2 is better

RE:RE:RE:Problem reaction solution.. at least level 2 is betterI don't think they would inject money into SNV...  it really depends on the relationship between SNV and Menara now.... 

If they are in good terms, they should just get the JOA completed and move on and get the oil out
If they are in good terms, but Menara wants more, Menara could just buy them out.

If they are in bad terms, Menara could just ignore SNV and wait till SNV goes backrupt.  If what Dean said they are, one of the top 10 families in Indonesia, the few millions they invested is nothing as they can easily get SNV BK and find another partner.  They will most likely be able to take over the whole project to themselves.  The 1MM loan to SNV is considered nothing to them as they took over the $500MM project. (as per valuations posted in this board) 

Now.... I wish they proceed with the project with SNV as operator.   Perhaps SNV can just give up the 24% option as a way to get the JOA completed.   have 25% of a $500MM project is much better than getting 49% of a project that will not start until you go BK.

Just my 2 cents... 

All in all, there's no incentive for the partner to invest into SNV unless they want to take over the company, under the condition that SNV have the expertise that the partner don't already have nor easily can replace with someone else.  That's up to you to find out in the O&G sector. 
Bullboard Posts