Lansdowne Oil & Gas - LOGP Stream Log

One of Britain's richest hedge fund managers has pledged to invest €22m in Oisin Fanning's San Leon Energy. SHARE Martin Hughes' Toscafund will own a 41.5pc stake in San Leon if the deal comes through. Hughes was recently named the UK's 9th richest hedge fund manager, with a fortune of £510m (€700m). The move comes as San Leon has agreed to raise a total of €40m in a share placing that is subject to shareholder approval, a capital reorganisation and the granting of a Rule 9 waiver by the Irish Takeover Panel. The waiver would allow the deal to proceed without Toscafund having to make a takeover offer. Fanning's firm is raising the money to allow it hold on to a 4.5pc net profit interest in the Barryroe field off Cork, the flagship asset of Tony O'Reilly Jr's Providence Resources. "The company expects to benefit from considerable cash flow arising out of the net profit interest, in excess of $700m over the field life," San Leon said in a statement. Fanning, the former chief executive of Smart Telecom, said "the proposed significant increase in Tosca's interest speaks volumes about their belief in the company's future and growth prospects. "The funds will help transform San Leon into a cash-generating producer, and will bring other assets towards development." San Leon made headlines last week after it was hit with an €18m judgment by the International Court of Arbitration of the International Chamber of Commerce. The company was brought to arbitration by Dutch investment company Avobone, from which San Leon subsidiary Aurelian Oil & Gas aimed to buy the final 10pc of a Polish asset that Aurelian already 90pc owned. San Leon said it will appeal the ruling to the UK Commercial Court. "San Leon contested these claims robustly at the hearing of the Court of Arbitration and believed it had a material advantage in the case," the company said. "In Aurelian's view, this loan was a standard industry practice mechanism that was used to fund Avobone's share of the drilling and other field-related costs in a tax-efficient manner - and should only have been repayable had Avobone exited after the field had generated sufficient cash-flow to repay the loan. "As of the timing of Avobone's exit in early 2013, the field had yet to generate cash-flow. Following consultation with counsel, the company remains convinced that Avobone's case is substantially without merit... the company is thus filing an immediate appeal to the UK Commercial Court".

Following the suggestion in the ST that there was a "major" back in discussions re BR. I wonder if its possible that the re entry of the major coincided with the open period commencing on LOGP.Major returns, enters discussions with PVR whilst commencing buyout discussions with LOGP....wishful thinking?!!!

[link] deal done for Sequa

got another 20k on the death GLA

sequa Price been moving up lately [link]

LOGP Merger or Sale Believe that Barryroe Farmout will go ahead and that the possible sale or merger of Landsdowne is likely part of the process. The likely buyers of Landsdowne Oil and Gas are 1: Fastnet (This would be a merger) 2: Cairn Energy (Also a Scottish outfit). 3: Sequa (As part of Barryroe Deal) 4: Petronas Believe Fastnet under Carol Law can see the synergies between them and LOGP. After a merger the two would have a very commanding position in Celtic Sea. A merger followed by a farm out on Barryroe would give the company some cash to thereafter drill deep Kinsale and possibly Amergin. If middleton gas field is successful with PETRONAS you might see Petronas or and American Major expressing interest in the combined LOGP / Fastnet Operation. This would be enhanced if a drill at Amergin or Deep Kinsale comes up a success. Cairn Energy also a very likely suitor. Cairn could buy LOGP for lets say 80 Euros by issuing approx. 30m shares. Thereafter could give some up front cash payment to Providence for a Farm in to more of Barryroe. This cash could then be used by Providence to drill Spanish Point with Cairn. Providence could pass additional % holding of SP to Cairn before drilling there. Cairn need to add to its reserves. An easy way and a very high chance of success for them would be to take the path mentioned. Watch this space. Finally Sequa and Petronas must be in the picture as well

Shares my rise as well as fall...

SEQUA PETROLEUM, a publicly listed specialist oil finance company, is poised to take a stake in Providence Resources’ Barryroe field off the south coast — the most advanced oil exploration project in Irish waters. Neither company would comment this weekend on the proposed farm-in deal. Speculation rose last week when a new company, Sequa Petroleum (Barryroe), was registered in the Companies Registration Office. The new company has listed its place of business in Ireland as “c/o Providence Resources”. One source said the company was still talking to “a number of interested parties”. Sequa Petroleum is a subsidiary of Sapinda Holding, an investment company established by German business prodigy Lars Windhorst. Sapinda Holding is reported to have invested €2bn since it was established in 2009, with oil and gas assets taking up a large proportion of those investments. According to the Sequa Petroleum (Barryroe) memorandum of association, the company goal is “to exploit natural resources of every nature including oil and petroleum”. The company’s website states that it specialises in completing farm-in deals of between $100m and $500m (€80m-€400m) to bring assets up to first production. Sequa Petroleum’s participation in Barryroe is likely to help fund the drilling of further appraisal wells that are needed before the Celtic Sea field is taken to production stage. Tony O’Reilly Jr, the Providence chief executive, told investors in September that negotiations “are now at an advanced stage and we are working hard to satisfactorily conclude this with the objective to return cash to the business and obtain capital funding, while also ensuring that Providence retains a material stake in Barryroe”. The negotiations will not have been helped by a plummeting oil price that has dented the stock market valuation of exploration companies. Sequa Petroleum has a market capitalisation of €608m. According to a presentation on its website last month, the company is pursuing significant farm- ins and joint ventures in northwest Europe. It has identified an undervalued asset, built a relationship with a local partner and is qualifying as an operator

Sad response to that RNS. 1 minute spike or thereabouts. I'm out.

So another free exploration play for an already extremely cheap company. Nice!