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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

Post by YancyDerringeron May 11, 2022 11:28am
289 Views
Post# 34674103

# Unanswered Questions

# Unanswered QuestionsI have been invested in CGX since 1998. They have tremendous political capital. That's why they survived. There are 3 unanswered questions from the recent presentation. Which company is going to JV or get a farmout with CGX? Why would they not state this is a commercial find? What are the estimated oil/gas reserves found? When you have a find, such as this, with 228 feet of oil sands etc, generally you would see a reserve estimate of approximately 300-500 million barrels of oil ,etc. Prior to Kawa success, CGX concessions was worth,in my opinion, $2-3 Billion US, considering the immediate region's success and proven finds. Once Kawa was proven a success, that estimate,in my opinion is $6-7 Billion US. Hell, Apache got $7.5 Billion from Total on the first successful well. So what is Frontera up to? In their presentation they eluded to not answering what the potential reserves are in Kawa even after drilling Wei ! I have seen over the years keeping the information close to the vest, so to speak, but this takes that saying to a whole new level ! So, I think from what Frontera has placed in writing regarding the monies lent to CGX when they cannot pay they will buy shares at $2.40 US tells it all. They most likely will buy out the remaining shareholders at or about that price. Getting a $6 Billion concession for a total of about $400 hundred million US. If they were to do a JV they would have to disclose to the potential partner what the reserve estimates are and once we know what the contribution is by the new partner we would be able to figure out approximately the reserves. So they don't want anyone to know, they don't want the effects to their consolidated balance sheet/ income statements fluctuating wildly with a 75% stake in CGX. I am not sure how they can make the minority shareholders an offer to buy us out with out knowing the potential value of the reserves. So only time will tell and we will see what they do since they really don't tell us anything and this keeps the price surpressed.YD
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