Sonoro Energy Ltd. V.SNV

SNV Forum

[MJB4231]

This forum has become a dumpster fire of chats. Can we please get some news or update of any kind so this can be about OIL! I look forward to the talk being about barrels of Brent estimates per day and drilling new wells. This is what happens without regular updates.... Simply bush league

[copperplay]

These are my opinion only and can't confirm any of it but here is how I piece this puzzle together  Sonoro owe SGE about $2.2 million with interest and part of signing JOA and starting this project this debt needs to be converted to SNV stock Any logical business person would want these shares at cheapest possible price...this is why there is no updates on progress, work at the site

[SubinC]

What you have written here makes sense. But you must understand the management we have.  they are capable of failing even when things are straight forward.

[SMlachake]

Sub, does that include Kirk in your opinion? Are we painting him with the same brush due to association if we believe there could be a reason for silence?. Anyways, now a question for Copper, why would SNV cooperate to devalue themselves if they are to convert dept to equity? But even if they did, and they still get an additional stake, upto another 24% with reserves report, should they not just

[copperplay]

SMI  I agree 100% with you and if up to me Sonoro would play hardball and make SGE convert this debt at 20 cents after what they did to us  How else can you explain this silence for 3 months and not promote the stock?? This is why I speculate current situation 

[copperplay]

SMI how do you explain the lack of promotion and news in order to keep stock at current levels?  Nothing else makes sense 

[SMlachake]

From where I sit, I can only assume we have an extremely arrogant management that don't feel the need to update shareholders any more than to fulfill legal obligations. Probably reasoning that they are working for their benefit and deserve to be left alone, probably pinching the few pennies it costs to release an update. That is the optimistic me. As well, I think the eventuality for this

[StratCap]

  Throw in a partner that wasnt willing to even meet about the project for years, we have a very unstable environment for shareholders with many variables causing our grief. I still maintain Migas has endorsed SNV's ownership in the PSC which has somehow pushed the parties to the table. The MOU was the first date before full on marriage so to speak. Hopefully that date goes well and the

[ark88]

Facts as we know it: SGE holds Convertible Debentures covering the bulk of our debt which can be exercised at $0.085 during the first year and $0.10 during the second year. SGE signed a MOU reaffirming SNVs rights to the additional stake if certain deliverables were completed.

[copperplay]

Ark88 we are now past the 3rd year so these prices go out the window...or stock would trade at 10 cents 

[StratCap]

  You would think that being overdue on the maturity of the debenture is material news and the company should update shareholders on how its being handled between the two parties. The monies owned under the loan and debenture represent over 20% of the current market cap of the company. I find that very material and long over due for an explanation.  Continued Good luck to all.

[ark88]

Well we do know the status of the Debentures by way of a Notice of Default from SGE to SNV, which was released publically via NR. I'm very mindful here of Confirmation Bias, which is an ever present danger with penny stocks with little news. I try to stick with what I see as the most probable given the available information. I remain hopeful. GLTA!

[StratCap]

  Yes Ark, we went from a notice of default by the partner and asking SNV to relinquish their 25 % interest in the PSC to a MOU where SNV will receive a further interest in the PSC upon SNV commissioning and completing a reserve report. So i can only assume the debenture and loans have either been extended or renegotiated by the parties. I would just like to know the details around that as

[ark88]

Yes you can assume that, but one can also assume that it remains unresolved.

[StratCap]

  Correct. 

[copperplay]

$2.2 million converted at 6 cents is 37 million shares 

[StratCap]

  Yes, thats a large incentive to The partner to help create value for SNV so that they participate in the upside in SNV and in their own ownership of the PSC. Thats the marriage I am hoping for.

[copperplay]

  And one can only assume they tell two friends, who tell two friends and so on...big money from Singapore and Indonesia 

[ark88]

Is it though? if SGE retains 51% ownership of the PSC, then why wouldn't they own 51% of SNV?

[copperplay]

That is way too much dilution at 6 cents make them buy stock at market for additional 20% or a financing at much higher price  now just resolve the debt, sign JOA and Boom!!

[SlyFox1]

Also can explain the reason things are taking longer. If the existing debt is revalued to say 6cents, this would now result in SGE exceeding 20% ownership in SNV. This threshold being exceeded opens up a whole new realm of obligations with CSE for SGE. Have to think that was why the original issuance was only for 19.9%. 

[copperplay]

I think this is exactly reason for delay but should be resolved any day Monday would be a great start to Q4 

[StratCap]

  20% and above will require a special meeting of the shareholders to approve that issuance. So yes, lots of variables to consider.

[SubinC]

All these variables can be put into a document and submitted as news so that shareholders can know something is happening. Thats all i am asking. I am in no rush to produce oil. 3 years and these guys still behave the same.  Sonoro if you dont have money, use my credit card to pay for the news release.

[StratCap]

  Or updated in the quarterly filings where it would cost nothing extra other than effort.

[ark88]

I could never understand this line of thinking. How would you phrase it? Please try. I dying to learn.

[SubinC]

You dont understand my line of thinking... watch the stock go back to 2 cents when there are no updates for months..  

[ark88]

That's precisely my point. I know your belief is that if management did what you say that the SP will be stronger. My experience is that fluff NRs do not but erode credibility in management. A NR stating that they're in negotiations to resolve A, B and C but then nothing happens adds no value but in fact negate any value in future NRs. This is why I noted previously that our situation is

[MJB4231]

Looks like MM took us down and capped the stock @ 0.055

[copperplay]

  maybe debt conversion at 5.5 as management are desperate