Been on vacation for the last 10 days. Here is my 2 cents. I have no special insider info just my reading of the tea leaves. Phil resigns, why? Lets go back 10 or so years ago. After the financing of the refinery was done the refinery was built IOC purchased all of the BP and Shell commercial properties. 60% of the PNG gas retail stores are owned by IOC. The BP negotiations went OK but the Shell talks were difficult. Shell was very unscrupulous in their dealings. They thought they had a inexperienced management team in IOC and hoped to screw them out of what was agreed to. They thought wrong, IOC came VERY much on top of the talks and both parties would remember this occasion. Here is my take. Shell is the partner. Shell came in with an offer that the IOC BOD could not ignore. Phil basically said BS I'm not going to deal with these AHs.. My guess Shell came in at about $2.00 mcf +..Taking a lower offer would have made the share holders very angry, justifiably so. The PNG Govt loved the decision, a very good anchor against XOM and of course the markets will like this as well. I expect XOM and others will also have some involvement in the sell down as well. What could muck up the works? Some SM who did not get the deal may just buy IOC out right. I doubt that would happen but the BOD was concerned enough to put a poison pill in place. There is a lot of history to this company many are not aware of. Shorts are clue less even many longs have no idea whats really going on. We will know soon if I'm right or not.
** Shorts are clue less even many longs have no idea whats really going on. **
Was preceded with this:
** I have no special insider info just my reading of the tea leaves. **
Don't worry, we see what you did there. Nice try though.
Wow, did not know that history. Thanks for sharing. Any insights as to what is taking so long to announce the deal? And/or how much longer we will have to wait to hear?
Sentiment: Strong Buy
It's a multi billion dollar deal with multiple parties, govts and other issues. Gets done when it's done. People think they are waiting for a permit to open up a 7/11 store. Me, I believe its done and just waiting for the i s to be dotted and the t s to be crossed.
I LOVE this Telenovela!! You made me drop out of my chair, I laughed so hard.... But I have to give it to you. It was very creative. Does it come to you naturally? I am jealous.. I really wanna come up with this type of BS. Shell was obviously scared of IOC and Phil. The PNG government's "anchor" is IOC, against Exxon. HEHEHHEHEHEH. :)