RE:DisappointedI think your frustrations are shared by the majority of folks on this board Devandand1. I would also lump de Alba into your group of employees failing at CGX at optimizing this opportunity. He has been co-Director for over 18 months now... more than enough time to get funding secured for Kawa-1 and god forbid even the port. Instead, we now sit weeks away from spud and still have no clue what is happening. Hell, these fools couldn't even get a accurate ballpark estimate on how much a offshore well would cost and had to change it multiple times. Other than the team of drilling engineers at CGX, both CGX/Frontera are showing the world to be completely clueless at how offshore exploration truly works. Mr. Jagedo probably just shakes his head in disbelief.
The fact we are now back down to $1.30 is truly sad. CGX could have easily did a open-market share raise two weeks ago at $1.50-1.70 for 50 million shares and gotten the cash needed to drill Kawa-1 and even fund the port. Instead, de Alba will probably allow CGX to fall back down to $0.90-1.00 so that Frontera can accumulate more shares at a price equal to the one they paid back in April. However it unfolds, they are missing every opportunity to get cash at elevated prices. Foolish!!!
https://catcapital.com/people/gabriel-de-alba/
- Look at his profile... other than Frontera, he had zero experience in oil and gas prior to joining CGX. Frontera these past couple years has been a tire fire and is going no where fast these days. His approach to CGX has been nothing special either... oh wow, they picked a drilling location (mainly due to work Apache/Exxon have done) and had the government give them more extensions prior to finally drilling next month. Other than those massive feats, I do not count a couple updated PPTs as anything special. I guess acting in "good faith" so Frontera can continue to gain greater control of CGX stock at depressed prices is a accomplishment.
End of day, most oil executives looking at the data room and talking JV deals are probably laughing at his demands. Oil is 100% different from all his other business dealings in telecom, media, etc. Oil and gas is a different beast and has very different risk/reward structures. Unfortunately, CGX does not have two nickels to rub together and Frontera has continual year-over-year drops in oil produciton... how in the hell would either provide any cash for a multi-billion dollar development in Kawa-1 if it hit economic oil? And if Kawa-1 misses... well, I guarantee Frontera does not have cash to keep burning on exploration wells. Either way, most companies looking at doing a JV probably have a price in mind if Kawa-1 does hit oil (given the JV ability to raise cash) and are instead letting the JV take all the risk in finding oil.