Providence Resources Forum

Hello there Boby101. Providence have to pay 4 millon to Tranocean in June. So I believe they have only spent a couple of million of the loan facility. They raised approx. 26m Euros. Need to pay 4m to Melody, approx. 6m to Transocean, 3m for Seismics for Spanish Point. This should leave them with at least 10m left over to run the company. So if they conserve and not spend foolishly they should be able to get to next June without having to use the loan facility from Melody and roll it over to the next year if needed. All this in the event of no Barryroe deal in advance

Bobby, $20m of the loan facility was rolled over until next year.

I see people saying that this fund raising will keep them going for 1-2 years and such but I was under the impression that this fund raising was to pay off the $24 million of 10% loan notes that come due in 2 months time. Since these loans were drawn they have become 20% more expensive due to currency changes. It's expected that the dollar will further strengthen so this loan should not be rolled over or further losses will be incurred. This means they recently raised a total of $28 million( They wanted $30+). $24 million goes to repay the loan notes plus another $2.4 million in an interest payment. That's 26.4 million. Then they also have to pay the $6 million due at the end of March to Transocean. This leaves them with not enough cash to fund their capital commitments for the next year unless they can get more new loans at interest rates of 10%+

will we ever see green in this field?

He said he would be in a position to release details of the deal. Doesn't mean a farmout will be done. Particularly liked Alpha's comment on it below. But as you say, we live in hope !!!

It will be. Should be up on the Providence site tomorrow. Hopefully we will see some household names to add some confidence. As far as I can remember Tony said that the farmout should be done in a couple of weeks, maybe a month. If that is the case we should hear something this week or next. It would be great really. We live in hope, and hopefully not die in despair.

Will be interesting to see new Shareholders Phonner

I suppose we will see these shares turning up today or tomorrow. [link]

Believe Sequa Have been playing hard ball and their bluff has Been called. Providence can now wait with finance for 1 or 2 years depending on how money is spent. This means that any interested party in Barryroe now understands that the asset wont be hands over for buttons. Oil markets Will recover as Shale and other marginal oil producers get hammered. This means that Sequa and any other interested parties now Have to decide where they think oil market is going and How valuable is Barryroe given Its low breakeven cost of Production. Bet we will Get a deal sooner rather Than later. Also believe Cairn must be now a serious contender for Barryroe. Providence could hand over considerable percentages in Barryroe and Spanish Point to Cairn for a free carry on both. Cairn need barrels of oil and Providence need Cairn. Landsdowne also has the Scottish connection. The Providence Board of management went to Scotland on Friday to See Cairn. What do You think they were discussions that could not Have been made with a phone call. Watch this space. 😄😄😄

it seems from the recent media coverage that if the proposed farminee does actually show up with the finance, TOR will be as surprised as the rest of us...