Register for free to join our community of investors and share your ideas. You will also get access to streaming quotes, interactive charts, trades, portfolio, live options flow and more tools.
Register for free to join our community of investors and share your ideas. You will also get access to streaming quotes, interactive charts, trades, portfolio, live options flow and more tools.
BLACK GOLD
Nice try but the actual wording is drilling in 1958 proved a thickness of over 3m of coal.
Nothing in that about three individual 1m thick seams. In any case the best seam was only 1m thick and the rest were well less than that.
The reader of the release is intended to think a single 3m thick seam was intersected. It's a scam and everything said about My Lloyd is pure puffery.
Or is it 3, metre coal seam intersections lol
Have a look at the size of this tricone rotary drill bit:
http://imagesignal.comsec.com.au/docserver/01277699.pdf?fileid=01277699&datedir=20120312&edt=MjAxMi0wMy0xMisxMTowNDoxOCsxMjArMCtjb21zZWMrcmVkaXJlY3QrL2ltYWdlc2lnbmFsL2Vycm9ycGFnZXMvUERGVGltZW91dC5odG1sKy9pbWFnZXNpZ25hbC9lcnJvcnBhZ2VzL3BkZmRlbGF5ZWQuanNw
If you are hoping to see Empire Energy and its buddies exporting 10 million tonnes of coal a year from Tasmania then you are going to be waiting a very long time.
Life is hopeless without hope isn't it. Empire will succeed.
Or puff PRs?
3 metre coal seam intersections, coking coal and Brazilian bulk carriers come to mind.
trenham and ,or,shell re eegc?
DS
Some past exploration licence applications spoken of as having been made sank without trace. They never even made it onto MRT listing for further consideration. Some applications that did get listed were later declared refused. MRT does not comment and Empire does not mention them again (standard practice for failures in all areas).
Among other details an applicant is required to give details of present holdings. One would guess if performance on them has been unsatisfactory there would be reluctance by MRT to grant new licences.
MRT may require more details from an applicant than have been provided which would cause a delay in assessment.
BLACK GOLD
Section 25 of the Act concerns a continuation of an EL after it has run its term and does not consider an "early" extension being determined and notified before that time. It is variously referred to as an extension and a renewal in the Act and MRT publications. How long an application is lodged before the expiry date does not see any advance determination being made.
GSLM's best hope at this stage might be to try Section 27 'Exemption from conditions of an exploration licence' ahead of a later Section 25 application. However, with that there could be difficult questions about why the firm funding that was stated to be available to carry out the exploration (the rights issue underwritten by Bendall's line of credit) did not materialise. The global financial crisis sank it? Good luck with that explanation.
That is not news but wishful thinking.
The best news ever..,,........,............................ Is that empire WILL succeed and will drill, mine coal etc etc. Malcolm will deliver HUGE shareholder value. Money will come and they will role [sic] out their business plan. SP will explode IMO
The two coal exploration licence applications in the Mt Lloyd area reported as having been made in the 10 February PR still have not been listed at MRT website. It would seem all is not plain sailing with them.
BLACK GOLD
Sorry, I don't follow you, OEH has not done seismic surveying over Bellevue but on their own EL in the north of the State.
I don't know that they would be interested, I just suggested the name of another party who is interested in oil exploration in Tasmania. And they have ACTUALLY DRILLED A WELL which is a great deal more than Empire has done. Maybe their wealthy backers would be prepared to give a 2% COS a go (or hey, maybe they have done their own CPR like you say NBD Partners might have done).
BLACK GOLD
As has been previously commented the exploration licence was only granted on the understanding that Malcolm's $50 million line of credit would provide the required funding to carry out the work program. It would seem to be a long stretch that it fell through because of the Smart Win action. His $50 million was implausible right from the getgo but MRT acquiesced in the charade and played along to give GSLM a last chance to put up or shut up (you may not be aware that MRT has had many years of exasperating dealings with Malcolm).
It may be that another party would be prepared to complete the drilling of Bellevue which has already been pre-collared to 273 metres. Overseas Energy Holdings (Brits who you could check out) who have previously drilled in Tasmania and recently done more seismic surveying might be interested in completing it.
BLACK GOLD
It is an exploration licence (EL 14/2009) and the work and expenditure conditions are as follows (provided on request from MRT):
Terms and Conditions of the EL14/2009
Item 1
Mineral Category: Category 4- Petroleum (oil &gas) excluding coal seam gas.
Item 2
The Expenditure Commitment for the first two years of the Term is as follows:
Year 1: $3,025,000
Year 2: $4,525,000
Total minimum expenditure for the first two years $7,550,000
The Exploration program for the first two years of the Term is as follows
Year 1: Completion of the Bellevue #1 well with a petroleum industry standard drilling rig to a depth of 2800m
Year 2: Completion of the Thunderbolt #1 well with a petroleum industry standard drilling rig to a depth of 2600m.
Item 3
Deposit: $75,000.00 prior to issue of the license; to be raised to $200,000.00 per drill site before approval to drill will be given.
Item 4
Term starting date: 17/5/10
Item 5
Public risk insurance cover: $10 Million.
BLACK GOLD
Thank you for pointing out Section 25. However, I see that under 25-(4)(a) GSLM could be on rather shaky ground since none of the work commitment has been carried out after 22 months of the 24 months term.
BLACK GOLD
I order to assist you in your indefatigable search for the facts I take the liberty of posting Empire Energy's original PR of 3 June 2011 concerning the 49% sale of something (as it is so voluminous I have highlighted the words in question that particularly interest you).
Empire Signs USD $5M Convertible Loan Agreement for Bellevue #1 Drilling, Gas to Liquids & FASER Technology Development MOU, ...
Date : 06/03/2011 @ 12:41AM
LEAWOOD, Kan.-( Business Wire )-
Empire Energy Corporation International (Empire) (Pink Sheets: EEGC) and its wholly owned subsidiary, Great South Land Minerals Limited (GSLM), announced today Empire has secured several strategic commercial partners in the United Kingdom to complement Empire’s development and expansion of its international oil and gas and technology businesses while retaining a 51% majority interest. Libertas Capital Corporate Finance Ltd, a UK private investment bank, Nomad broker and partnership, has been retained to assist Empire with financing the Bellevue #1 oil and gas well, the gas to liquids and FASER technology and other related projects of Empire.
Empire has sought to implement a key industry partnership to fund and assist in the drilling of GSLM’s lead oil and gas prospect, Bellevue #1 well, through an Alternative Investment Market (AIM) listed London entity which holds established producing international oil and gas assets and interests in a waste oil processing business that may benefit from our technology. Empire has sold a 49% stake in return for USD $5 million funding by way of a convertible loan agreement that is part of the larger joint venture partnership. As part consideration and in exchange for the partnership interest, Empire is to be advanced approximately USD $1 million to supplement operational costs and GSLM’s current drilling program, and USD $100,000 was paid upon the signing of the agreement. It is proposed that in exchange for the 49% stake, Empire will be able to exploit the technical and exploration know how of its joint venture partner in addition to approximately USD $4 million in order to recommence on-site drilling operations at the Bellevue #1 site.
Simultaneously, Empire has executed a MOU in respect to funding for early stage development and market implementation of a gas to liquids (GTL) process technology for which Empire holds exclusive marketing and development rights in North, South and Central America. The transaction to finance and develop the gas to liquids technology allows Empire to retain a 51% interest in the project, while facilitating ready to market commercial application of the technology. Empire has previously validated the business case and has obtained an independent opinion providing forecast revenues based on an estimated regional market of approximately USD $2.7 billion per year. The joint venture will enable Empire to implement the business plan within 3 years. Empire considers the business case for the patented process technology to reside within its ability to convert gas to liquids at substantially lower capital and operating costs than are currently being experienced using the standard Fischer Tropsch process, including a smaller plant footprint and the inherent mobility of a 40 foot container.
Empire is also intending to develop its FASER (Force Amplification by Stimulated Electron Resonance) technology that has many applications, including as a possible application supporting the enhancement of the power supply and the productivity of the gas to liquids technology. Another exciting application for this revolutionary power supply under development is that it can be used in a method as a treatment system for chronic disease conditions. The invention has been designed using theoretical concepts of quantum biology. The principles of operation are based on the device's ability to stimulate a Bose-Einstein condensate and excitation of the Frolich resonance in living tissue. The wave numbers necessary for this excitation are derived from the solution to the equations for optical photon scattering in living tissue generated by optical photon excitation. The establishment of this superconducting state facilitates DNA replication, transcription, and translation, thereby allowing the proper formation or regeneration of healthy tissue. This superconducting state provides the conditions necessary for establishing the violation of time reversal invariance in living tissue. Arrangements are currently underway to do supervised medical trials of the technology both within the USA and Europe as a precursor for the global commercialization of the unit.
Empire and GSLM CEO Malcolm Bendall said, “First and foremost I would like to assure shareholders that Empire’s board has remained focused with success on the two top priorities, to protect and fund its Bellevue and Thunderbolt wells. Empire has determined to fearlessly and aggressively deal with and make accountable those who have conspired to delay and detour our single-minded objective to complete the drilling of the Bellevue well; those who continue to stand in the way of the drilling program can be assured that Empire will strike back and will not go silently into the night as our complaint to the integrity commission clearly demonstrates. Empire has undergone a significant review of all platforms for potential financing and development of assets under management, including the FASER and gas to liquids process technology. As a result of the last six months' review, London was identified, and has since proved, as a more successful early stage exploration and technology funding source. The Company now has the necessary resources in place and at its disposal to advance the development of those assets, with strategic partnerships playing a key part, along with a proactive methodical approach to risk reduction and management that has been adopted and funded. These actions have called for a renewed commitment from management and the alignment of the Board of Empire with these new directions which has prompted some recent changes with the acknowledgment and acceptance of resignations from James Leach, David Villarreal Jr. and Tad Ballantyne from their respective positions as Directors of Empire Energy Corporation International to focus on other personal business interests. Empire thanks them for their contributions and wishes them every success in their new endeavors on which they will now be able to exclusively focus.”
In early 2008, a Chinese company, Smart Win International Limited, entered into commercial agreements with Empire for the financing of exploration and drilling in Tasmania, which included the funding of Bellevue #1 well and other identified, undiscovered prospective resources as located within GSLM’s former tenement Special Exploration License (SEL) 13/98.
Empire alleges that in 2009, Smart Win breached its contractual and fiduciary obligations to Empire after failing in its continuing obligation to provide finance for drilling. In 2010, Smart Win lodged a motion of summary judgment against Empire and Empire’s CEO, claiming events of default in respect of the 2008 agreements and the call on monies advanced under those arrangements.
On May 20, 2011, Empire confirmed the filing of affidavits in support of legal action against Smart Win International Limited and its corporate officers in the Supreme Court of the State of New York. Empire is alleging that Smart Win has materially breached its contracts with Empire which resulted in significant delays and economic costs. Empire is committed to pursuing Smart Win and any and all related parties and is seeking damages. However, Empire has received an offer to settle the matter and is considering its legal rights and is performing financial and legal due diligence prior to accepting any offer. Empire, mindful of the need to conserve finances for drilling, has also sold the rights to 50% of the proceeds of the Smart Win action in return for an obligation to fund, up to a certain level, the costs of the action, relieving Empire of the stress of funding the ongoing case.
Further, today GSLM lodged with the Tasmanian Integrity Commission documentation representing a summary of matters GSLM believes worthy of investigation, concerning our belief that there has been collusion in the act of improperly allocating a portion of our Tasmanian oil and gas assets, in part now Exploration Licence Application (ELA) 30/2011. GSLM has a right in contract and in law to this property and the allocation may constitute a loss which we believe will be subject to the outcome of current legal action over the 10 structures defined and valued by Empire. This action now quantifies a loss to GSLM, which is a pending matter of legal claims in the Magistrates Court in Tasmania. The 10 structures are outside of granted exploration licence area 14/2009 covering our most prospective areas, the Bellevue and Thunderbolt structures. GSLM has proceeded to summarize those beliefs in documents which have been lodged with the Tasmanian Integrity Commission detailing several complaints. The Commission was formed on the basis of legislation passed in Tasmania to raise the standard of conduct, ethics and propriety within the public sector and applies to state & local government levels, including Parliament. The investigation is being initiated to ensure that appropriate discretional and ethical conduct has been observed concerning these issues. The Tasmanian Integrity Commission has acknowledged that many complaints have been reported about members of the Tasmanian government, with over 100 complaints being lodged with the Commission in its first six months of operation.
As a separate legal matter, and in part, as related to the improper sale of the Empire GEFCO Drill Rig and other matters by previous management in 2008 and in an ongoing effort to protect the integrity of Empire’s assets and for the protection of its officers, directors and its corporate oil and gas assets held by GSLM, Empire has directed its retained legal counsel to file civil actions against certain entities and individuals relating to acts of tortious business interference both within the United States of America and overseas. Additionally evidence is being gathered which we intend to use to lodge complaints with the appropriate USA authorities against certain corporations and individuals relating to the US Federal Foreign Corrupt Practices Act of 1977 (FCPA) and the US Federal Racketeer Influenced and Corrupt Organizations Act (RICO). Empire is also investigating the nondisclosure of the selling and exchange of securities by disqualified persons and entities in California, and the accumulation of an undisclosed position by the same group acting in concert.
Empire Energy Corporation is an international oil and gas exploration company, focusing on developing assets in one of the world's last virgin basins and to become a leading low-cost finder of hydrocarbons. The Company is currently operating in Tasmania's central basin.
For those who are interested in finding out facts they might be interested to know that the Tasmanian Mineral Resources Development Act 1995 can be accessed online and they can verify for themselves the conditions under which an exploration licence can be extended (see Section 31). There is no provision for extending the term that a licence was granted for.
A renewal of a licence can be considered when it has run its first term.
It was obvious (or should have been obvious) that I was speaking about another one of Malcolm's proprietary technologies which he is so adept at producing at will.
Why the expensive route of coal to liquids conversion when the plan is to export Tasmanian coal on 400,000 tonne Brazilian bulk carriers?
I know such a technology exists, it has also been used in South Africa (Sasol) since pre-independence times. But you miss the point that the claim was made that Malcolm has his own technology for it. And what has it got to do anyway with Malcolm converting Tasmanian high-ash thermal coal into high value coking coal (or is it blending Tasmanian and Appalachian coal at the point of sale?).
Oilsleuth, nothing new in turning coal into liquid fuel, us Brits were doing that during the Second World War (Fischer-Tropsch)
I take it you refer to the RPS Energy CPR?
Having read it through and also often seen them named on this board it's a little strange that you continually call them HPS.
Having read the RPS Energy CPR you should also know that the 2% COS for Bellevue is not merely rumour. I suggest you include the 2% figure in your fact-finding file.
I have read the HPS CPR
You don't realise how wildly funny that is. EL 14/2009 was only granted on the basis of Malcolm's claimed $50 million personal line of credit being the evidence of funding required by MRT for the work program on the licence to be carried out. MRT would only accept another of his personal guarantees the day Hell freezes over.
Proof funds could be via Personal Guarantee or proof of funds in an Escrow Account, depedns what MRT would accept.
Anybody reading the 8-K would believe that a 3 metres thick coal seam had been intersected in the 1958 drilling. When I read it I thought the MRT reports had said 1 metre was the best intersection made and I wondered if I had missed something extra in them or misread them.
Bendall has had opportunity to correct an inadvertently erroneous statement (i.e. not 3 metres but instead 3 feet) and has not done so. The 3 metres was intentionally misleading.
"the proved thickness of over 3m of coal" at Mt Lloyd was not an innocent mistake
It is necessary to first hold an exploration licence then to drill test and find CBM in commercial amounts before it can be developed. Empire Energy hasn't yet left the dugout let alone made it to first base.
Empire Energy Corp to Develop CBM in Tasmania
There is no possibilty at all that drilling can be in progress BY 2 April. The rig could be being mobilised to Bellevue and even set up there but it will not be actually drilling by that date.
This might already be the "pop" territory you have been waiting for.
One thing is for sure - it is late in the day for GSLM and the whole thing looks like it has degenerated into one godawful mess.
And if (as seems to be the case) an extension of the term of the licence is not possible under the Act then that is one more fly in the ointment.
I think I understand the reality of Empire's situation rather better than you do.
Not possible. From the low point of 0.0031 if you got them then (dubious) to the present 0.023 is an appreciation of around 650%. (Now tell me you reduced your average purchase price with trading profits.)
BobSinCA
It is not at all clear in the Mineral Resources Development Act 1995 that an exploration licence can be extended during its term.
Section 31 allows the Minister to vary a licence in specified terms of adding or reducing the area of land, or by adding or removing a mineral or category of minerals. There is no provision that would allow the extension of the term of a licence.
It would therefore seem that the licence can only wait to be renewed at the end of its two year term, and that would be dependant on the work program having been satisfactorily completed viz. the drilling of both Bellevue and Thunderbolt.
If it is already too late for Thunderbolt to be drilled by mid-May (and it is difficult to see now how it could be) the potential funder is faced with drilling Bellevue and taking pot luck that a renewal would be granted after May. That isn't likely to happen.
IMO drilling permits are not being held up by MRT, they have been through it all before and obtaining permits was first spoken of by Empire last November. I don't know that an actual rig must be approved in advance as it would still need to pass inspection on site and it would be in Empire's interest to make sure that it would. I think MB might be preparing the groundwork for blaming MRT when the whole thing falls apart and the big move into coal is the backup plan.
Perhaps a way around that could be real investor money in an escrow account with tight conditions about its removal by the supplier -- with release to EEGC dependent upon MRT granting whatever licensure is required.
There goes another week without confirmation that the Second Tranche of $9.9 million is a reality.
I predict with complete confidence they will be 100% successful in finding coal at Mt Lloyd .... but as for seam thickness, quality and quantity that is another matter entirely.
UK firm Alpha Prospects has established a new Australian subsidiary to explore a 500sq.km area prospective for coal and coal bed methane at Mt Lloyd in southern Tasmania.
It is necessary to first hold an exploration licence then to drill test and find it in commercial amounts before CBM can be developed.
Empire Energy Corp to Develop CBM in Tasmania
Regardless of how the figure was arrived at we are in agreement that "the proved thickness of over 3m of coal" at Mt Lloyd was not an innocent mistake.
oilsleuth and I disagree on whether they added 3 individual 1m seams together to create the fabrication or whether the 3 feet in the report referred to just got fabricated into 3m - it does not change the fact that it is a complete fabrication does it?
If the sarcasm is lost on you I'm sure it won't be on Simon Lee.
Oil Sleuth, very good, am sure it will be of great help to persuade him to go the whole hog on the $50m!
The fact finding mission is apparently still in its early days.
they rate the chances of GS somewhat more than 2% as is rumoured to be the case.
Pitts
As you know there were even more abortive would-be fund raisers before those ones.
It might amuse you to hear of a personal experience I had before GSLM merged with Empire in 2005.
In 2002 GSLM sought to raise $5 million from the public through an Offer Information Statement with subscriptions invited for 5 million shares of $1 a share. A road show to sell them was put in train with public meetings held in large centres in Tasmania and there was even a selling foray made to the mainland.
At a meeting I attended in Tasmania which was addressed by a representatve of GSLM (I had better not name him for fear of inviting a legal writ but I leave it to your imagination to guess who) it was claimed that an (unnamed) investor had offered to take up the the whole of the Offer for $2 a share i.e. a total of $10 million. It was said the offer had been rejected because the Company wanted all Tasmanians the opportunity to participate in their own magnificent project.
In the washup when the Offer closed it had raised only $1.3 million of which I imagine a reasonable percentage went to settle Directors' outstanding expenses. The unknown investor who it was said had been eager to put up the $10 million did not even take up the unsubscribed shares at a $1 (for only $3.7 million) and was never heard of again (why was I not surprised?).
I raised the matter with the Australian Securities Commission and they acknowledged they have it on file.
Lets put it this way - here are a few recent names mentioned by EEGC in connection with funding:
DS
I think Black Gold's point was that releases by every company should be treated with some degree of caution. Fair enough, unforseeable factors can come out of left field and legitimate expectations not be realised, but where there is good management of proven integrity and ability that considerably lessens the caveat emptor factor compared to the speculative outfits that are run by sharpies and spielers.
How is an emptor supposed to caveat if they cannot make contact with the other end of the chain and confirm they exist and are of the same mind?
Mine is merely a congratulatory e-mail complimenting them on their business acumen.
how do you think your email to Simon Lee will help?
DS
I have sent this e-mail to Simon Lee:
Dear Simon Lee,
It is wonderful news that NBD Partners Energy, Korea will be soon entering a JV arrangement to develop the extraordinary quantities of oil and coal believed by Empire Energy to exist in Tasmania. It is especially gratifying in view of the several other large financing entities that have shortsightedly declined to participate in this marvellous investment opportunity. It is not every day that 49% of oil assets conservatively valued $2.2 billion (some put the figure much higher) are offered for the relatively trivial sum of $50 million with an equal interest in Tasmania's bountiful coal resources concealed beneath the dolerite capping of the Central Plateau thrown in as well (and not to forget the highly valuable coal bed methane which is sure to be present also). The attraction of high-ash thermal coal that is easily convertible into very valuable coking coal is readily apparent.
Arrangements have not yet been formally announced for the disposal of the copious amounts of natural gas that will inevitably be produced along with the oil but it is expected they will be fed into the existing Duke Energy pipeline which was farsightedly constructed from the mainland to Tasmania with that object in view. However, if that does not prove possible Empire Energy has access to an innovative and patented flare gas recovery technology for which it is expected the Australian rights could easily be obtained.
As a shareholder of Empire Energy I look forward with great anticipation to the day when the first barrel of oil ever produced in Tasmania will be taken on board a supertanker and the first tonne of coal ever to be exported from Tasmania will be loaded by a 400,000 tonne Brazilian bulk carrier at the port of Hobart with its major new infrastructure development.
Not all caveat emptors are equal. Many managements are scrupulously honest and honourable.
It is all caveat emptor anyway be it EEGC or any other share
It is blindingly obvious that drilling will not commence on the Bellevue #1, Thunderbolt #1 and Mt Lloyd prospects on or before Monday, 2nd April, 2012
Drilling is planned to commence on the Bellevue #1, Thunderbolt #1 and Mt Lloyd prospects on or before Monday, 2nd April, 2012
Coal in the Appalachians, oil in the African Rift Valley, oil AND coal in Tasmania (including abracadabra conversion of thermal coal into coking coal), Missouri awash with his wonder technologies - shouldn't that read MB has been working his tales off?
It shows MB has been working his tail off!
I believe I descry your enigmatic meaning.