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CGX Energy Inc V.OYL

Alternate Symbol(s):  CGXEF

CGX Energy Inc. is a Canada-based oil and gas exploration company. It is focused on the exploration of oil in the Guyana-Suriname Basin and the development of a deep-water port in Berbice, Guyana. The Company, through one of its subsidiaries, holds an interest in a Petroleum Prospecting Licence (PPL) and related Petroleum Agreement (PA) on the Corentyne block in the Guyana Basin, offshore Guyana. The Company, through its subsidiary Grand Canal Industrial Estates, is constructing the Berbice Deep Water Port. This facility, located on the eastern bank of the Berbice River, adjacent to and north of Crab Island in Region 6, Guyana, is being constructed on 30 acres with 400 m of river frontage. Its subsidiaries include CGX Resources Inc., GCIE Holdings Limited and CGX Energy Management Corp. It is the operator of the Corentyne block and holds a 27.48% working interest. Its Wei-1 exploration well is located west of the Kawa-1 discovery in the northern region of the Corentyne block.


TSXV:OYL - Post by User

Comment by Gphillips50on Feb 03, 2022 12:10pm
143 Views
Post# 34393499

RE:CGX is a milestone around FEC's neck. CGX has no cash

RE:CGX is a milestone around FEC's neck. CGX has no cashDoes anyone understand the financial liabilities that CGX has with FEC.  I have read that FEC owns at least 72% of CGX's stock.  I also see warrents, loans and options that FEC holds. I doubt FEC will allow dilution to pay for the next well as it would be coming out of FEC majority holdings.  It appears the simplest remedy would be to merge the two companys.  Looking at the finances, that look tangled, from a JV's position the issues would be resolved in the merger.  A direct sale would be much simpler but may not bring the best price.
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