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CanAsia Energy Corp V.CEC

Alternate Symbol(s):  CECAF

CanAsia Energy Corp. is a Canada-based junior oil and gas company. The Company is engaged in the exploration for, and the acquisition, development and production of, crude oil and natural gas reserves. The Company, through its subsidiary, Andora Energy Corporation, is focused on developing the bitumen resources at the Sawn Lake property using steam assisted gravity drainage (SAGD) development. The Company has working interests in, four heavy oil sand leases with 27 sections (24.25 net sections) of Sawn Lake Alberta Crown oil sands leases within the Alberta Peace River Oil Sands area. In the Sawn Lake Central area, it operates with a 100% working interest in two oil sands leases with 11 gross sections (8.25 net sections). In the Sawn Lake South area, it operates with a 100% working interest in three oil sands leases with 16 gross sections (16 net sections).


TSXV:CEC - Post by User

Post by radcaton Jan 15, 2022 7:27am
379 Views
Post# 34319931

Concerns

ConcernsWhen management announced on October 28th their intentions to pay $0.40 cents distribution, and sell both L-53 and Sawn Lake I assumed that meant shareholders would know who the buyers are and what the sales price would be. As the latest NR says, a binding offer will not occur until reserves report in known, and that seems to be a late arrival. There was no mention who the buyer is for Sawn Lake either. 

So what we are voting on is the $0.40 cents distribution only. Voting in favour of the asset sale while not knowing who the buyer is or what price is on the table is casting a vote based on blind faith. For all we know the buyers could be insiders offering a stink bid to take assets private. Now management has our blessing to sell to who knows who and at an unknown cost? We are expected to agree to asset sales without being informed.  I would have preferred to postpone the vote until we have a firm offer for L-53 and Sawn on the table and actually know what we are voting for. To give permission to sell OUR assets at __________ cost isn't what I had anticipated. This is my concern. 



CORPORATE

Since the press release of October 28, 2021, which announced the Company's intention to initiate a process to accelerate shareholder value, the Company has been actively engaged with numerous third parties that are currently evaluating the Thailand and Sawn Lake Canada assets. It is considered highly unlikely that a binding offer for the Thailand asset will occur prior to the completion of the Concession L53 third party year-end 2021 reserves report that is expected to be completed in early February 2022.

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