Welcome!

News Feed Item

Natlata Questions Petroneft Resources Funding & Operations Update

LONDON, March 17, 2014 /PRNewswire/ --



Natlata Partners Limited ("Natlata"), the private investment company that is the largest single shareholder in Petroneft Resources PLC ("Petroneft" or "the company") (AIM: PTR) is surprised by the Funding & Operations Update that was announced this morning by Petroneft.

On 11th March 2014 Natlata delivered a requisition for an Extraordinary General Meeting ("EGM") to be convened to give shareholders the opportunity to consider the replacement of five members of the existing board and give directions to the board to: 

  • investigate why Petroneft has not performed as it should (so this can be rectified for the future); and
  • consider all possible options in relation to the refinancing of the loan due from Petroneft to Macquarie Bank Limited (the "Macquarie Facility"); and
  • require shareholder approval for the farm out of Licence No. 61.

Over the past year we have made a number of financing proposals to Petroneft, in both writing and at a number of meetings, which we believe are in the interests of all shareholders.  All have been rejected or made dependent on unrealistic conditions. Our latest proposal in January 2014 was rejected without any discussions.   In the meantime the significant underperformance of Petroneft has continued.  We consider that such measures that have been proposed by the existing management to address this will only cause further damage to Petroneft and its prospects. 

We were surprised that no mention of the EGM requisition was made in today's announcement.  We therefore ask the Board of Directors of Petroneft to clarify:

  1. Were the subscribers to the Placing made aware of the fact that Natlata had requisitioned an EGM?
  2. Was Arawak Energy made aware that Natlata had requisitioned an EGM?
  3. Has Macquarie Bank Limited been informed of the EGM requisition?
  4. Has "the large international oil and gas company" who is considering the farm out of Licence 61 been informed about the EGM requisition?
  5. Why is the EGM requisition not even mentioned in today's announcement?
  6. Why was Natlata as the largest shareholder in Petroneft, with almost three times the size of holding of any other shareholder, not consulted in relation to the proposed Placing?  Had Natlata been approached we would certainly have considered participating in the Placing, and this participation might have been at a price that was more in the interests of all shareholders.  
  7. Why is the Company paying Macquarie $2.5 million ahead of the agreed repayment schedule ($650,000 per month) when the money is needed for operations and the farmout is almost completed?
  8. "Under the Macquarie agreement, the bank will have the right from 15 April 2014 to ask for Licence 61 to be put up for sale in its entirety in a competitive process (as well as their other normal rights as lender) if the farmout of Licence 61 is not completed at that date." Why is the Company not considering other refinancing options available? Why did the Company agree to put Licence 61 up for sale in April 2014 whilst the loan is to be repaid in May 2014?
  9. We note that today's announcement describes the current production figure of 2,400 bopd as an improvement, when as recently as 30th September 2013, production of 2,500 bopd was claimed. The 100 bopd production increase from 2,300 bopd in January to current 2,400 bopd, i.e. still below September level, is attributed to successful completion of several workovers. What is the oil flow rate of well Lineynoye No.9? Why is there no impact on production figures? When does the Company expect to put the well into production?
  10. The winter season in Tomsk region will be over in a couple of weeks. Does the Company have all contracts and money in place for all of the necessary supplies and equipment to be moved into place in time? Has the drilling contractor been selected?

Commenting on the announcement, Maxim Korobov, Natlata's controlling shareholder, said, "Today's announcement by Petroneft demonstrates once again that the board is not acting in the best interests of either the company or all its shareholders.  We therefore feel that it is only right and proper that all shareholders are given the opportunity to consider an alternative direction for their company's future at an EGM, which we firmly believe will help to recreate and exceed the significant shareholder value that has been destroyed under the existing management."

About Natlata Partners Limited

Natlata Partners is a private investment company that seeks out investments with a focus on Russia and CIS countries that appear to be distressed or are at an early stage of development and which will clearly benefit from effective management and proven sector experience.  For more information about Natlata and our investments please contact [email protected]

For media enquiries please contact:
Stuart Leasor
[email protected]
+44(0)7703-5377211
or
Tom Blackwell
[email protected]
+7-919-102-9064

More Stories By PR Newswire

Copyright © 2007 PR Newswire. All rights reserved. Republication or redistribution of PRNewswire content is expressly prohibited without the prior written consent of PRNewswire. PRNewswire shall not be liable for any errors or delays in the content, or for any actions taken in reliance thereon.

Latest Stories
The IoTs will challenge the status quo of how IT and development organizations operate. Or will it? Certainly the fog layer of IoT requires special insights about data ontology, security and transactional integrity. But the developmental challenges are the same: People, Process and Platform. In his session at @ThingsExpo, Craig Sproule, CEO of Metavine, will demonstrate how to move beyond today's coding paradigm and share the must-have mindsets for removing complexity from the development proc...
Customer experience has become a competitive differentiator for companies, and it’s imperative that brands seamlessly connect the customer journey across all platforms. With the continued explosion of IoT, join us for a look at how to build a winning digital foundation in the connected era – today and in the future. In his session at @ThingsExpo, Chris Nguyen, Group Product Marketing Manager at Adobe, will discuss how to successfully leverage mobile, rapidly deploy content, capture real-time d...
In his session at 18th Cloud Expo, Andrew Cole, Director of Solutions Engineering at Peak 10, will discuss how the newest technology advances are reducing the cost and complexity of traditional business continuity and disaster recovery solutions. Attendees will: Learn why having a full disaster recovery strategy is more important now than ever before Explore the key drivers of a successful disaster recovery solution Achieve measurable operational and business value from a disaster recovery ...
The cloud era has reached the stage where it is no longer a question of whether a company should migrate, but when. Enterprises have embraced the outsourcing of where their various applications are stored and who manages them, saving significant investment along the way. Plus, the cloud has become a defining competitive edge. Companies that fail to successfully adapt risk failure. The media, of course, continues to extol the virtues of the cloud, including how easy it is to get there. Migrating...
SYS-CON Events announced today that Hanu Software will exhibit at SYS-CON's 18th International Cloud Expo®, which will take place on June 7-9, 2016, at the Javits Center in New York City, NY. Leveraging best-in-class people, processes, and technologies, Hanu provides high-quality, high-value software development and business process outsourcing services to independent software vendors (ISVs) and enterprises.
As organizations shift towards IT-as-a-service models, the need for managing and protecting data residing across physical, virtual, and now cloud environments grows with it. Commvault can ensure protection, access and E-Discovery of your data – whether in a private cloud, a Service Provider delivered public cloud, or a hybrid cloud environment – across the heterogeneous enterprise. In his general session at 18th Cloud Expo, Randy De Meno, Chief Technologist - Windows Products and Microsoft Part...
SYS-CON Events announced today that ContentMX, the marketing technology and services company with a singular mission to increase engagement and drive more conversations for enterprise, channel and SMB technology marketers, has been named “Sponsor & Exhibitor Lounge Sponsor” of SYS-CON's 18th Cloud Expo, which will take place on June 7-9, 2016, at the Javits Center in New York City, New York. “CloudExpo is a great opportunity to start a conversation with new prospects, but what happens after the...
What a difference a year makes. Organizations aren’t just talking about IoT possibilities, it is now baked into their core business strategy. With IoT, billions of devices generating data from different companies on different networks around the globe need to interact. From efficiency to better customer insights to completely new business models, IoT will turn traditional business models upside down. In the new customer-centric age, the key to success is delivering critical services and apps wit...
Join us at Cloud Expo | @ThingsExpo 2016 – June 7-9 at the Javits Center in New York City and November 1-3 at the Santa Clara Convention Center in Santa Clara, CA – and deliver your unique message in a way that is striking and unforgettable by taking advantage of SYS-CON's unmatched high-impact, result-driven event / media packages.
In his keynote at 18th Cloud Expo, Andrew Keys, Co-Founder of ConsenSys Enterprise, will provide an overview of the evolution of the Internet and the Database and the future of their combination – the Blockchain. Andrew Keys is Co-Founder of ConsenSys Enterprise. He comes to ConsenSys Enterprise with capital markets, technology and entrepreneurial experience. Previously, he worked for UBS investment bank in equities analysis. Later, he was responsible for the creation and distribution of life ...
SYS-CON Events announced today that BMC Software has been named "Siver Sponsor" of SYS-CON's 18th Cloud Expo, which will take place on June 7-9, 2015 at the Javits Center in New York, New York. BMC is a global leader in innovative software solutions that help businesses transform into digital enterprises for the ultimate competitive advantage. BMC Digital Enterprise Management is a set of innovative IT solutions designed to make digital business fast, seamless, and optimized from mainframe to mo...
SYS-CON Events announced today that Super Micro Computer, Inc., a global leader in Embedded and IoT solutions, will exhibit at SYS-CON's 18th International Cloud Expo®, which will take place on June 7-9, 2016, at the Javits Center in New York City, NY. Supermicro (NASDAQ: SMCI), the leading innovator in high-performance, high-efficiency server technology, is a premier provider of advanced server Building Block Solutions® for Data Center, Cloud Computing, Enterprise IT, Hadoop/Big Data, HPC and ...
In the rush to compete in the digital age, a successful digital transformation is essential, but many organizations are setting themselves up for failure. There’s a common misconception that the process is just about technology, but it’s not. It’s about your business. It shouldn’t be treated as an isolated IT project; it should be driven by business needs with the committed involvement of a range of stakeholders.
SYS-CON Events announced today that MobiDev will exhibit at SYS-CON's 18th International Cloud Expo®, which will take place on June 7-9, 2016, at the Javits Center in New York City, NY. MobiDev is a software company that develops and delivers turn-key mobile apps, websites, web services, and complex software systems for startups and enterprises. Since 2009 it has grown from a small group of passionate engineers and business managers to a full-scale mobile software company with over 200 develope...
SoftLayer operates a global cloud infrastructure platform built for Internet scale. With a global footprint of data centers and network points of presence, SoftLayer provides infrastructure as a service to leading-edge customers ranging from Web startups to global enterprises. SoftLayer's modular architecture, full-featured API, and sophisticated automation provide unparalleled performance and control. Its flexible unified platform seamlessly spans physical and virtual devices linked via a world...