Longford Energy Inc V.LFD

NEWS ON PSC Contract

[taxdemicco]

Hello Everyone:

Today someone posted on this MB about a PSC contract being posted on Sedar.   I verified this information and indeed the PSC contract was posted on October 4, 2011.

A question haunted me as to why the company would post the PSC Contract a 2nd time.  There is only an obligation to disclose it once.

The PSC contract was signed on June 11, 2009.

I found the inital PSC contract that was posted on Sedar and it was on February 28, 2011.  It was in PDF format and was of size 4280K, it had 116 pages.

I verified the PSC contract posted on October 4, 2011 and found that it was 4499K and 115 pages.

I said, what the heck????

So what I did is I downloaded both on my computer on PDF format, putting them side by side to verify why there was a difference.

In the original PSC contract disclosed on February 28, 2011 I noticed alot of areas blacked out.   On the new PSC of October 4, 2011 I saw no blacked out area but each page was initialed by 3 persons.

This means that PSC was changed.

Since it is legal jargon and previous PSC contract had areas blacked out, it was difficult to understand what was going on exactly.

The changes seemed related to percentages, amounts to drill, and certain obligations.

What I gather from it is that LFD has unloaded some of its obligations to another party, I don't know who.   In particular it looks like it will not carry the Kurds interest, someone else will.   The terms are different too.

This new PSC appears to be in place and, by conclusion it means that financing issue has been resolved since another party will carry this obligation.

I presume it is similar deal like VST did.   In this case it would make sense that Genel carries the weight, they have the funds, they have the experience, they can make this discovery profitable.

Again, my analysis is done from these public documents and it could be different from what you read.

Please verify it yourselfs and any feedback is apreciated.  

We should be getting a detailed press release explaining these changes shortly.

Just my honest opinion.

[vmldem]

Link please?

[vmldem]

I verified Sedar.com and the last filling for LFD is May 2nd,2011.Unless I'm doing something wrong here how can I get this new PSC contract?

[taxdemicco]

The modified PSC contract was posted on Sedar on October 4, 2011 under the heading Material documents.Amazing that none of the bashers have made any comments.Given that it is described as Material document, it does mean material changes.LFD still has 40% however, it looks like Kurds share is taken out as an obligation since it was too heavy for them.Logical choice would be Genel whom is now held

[coolrunning]

They posted the original signed contract without any blacked out portions.  How can you call this a material change?  There is no news release to say that anything changed, so you are confused.  Not suprising though....