It is currently Tue Apr 23, 2019 9:06 pm

World Stocks

Range Resources

AGM

(ASX:RRS / AIM:RRL / PINK:RGRLF & RGRYY)
Informed Discussion. No ramping. No deramping.

Re: AGM

Post Fri Nov 30, 2018 2:05 pm

How’d it go guys? Thoughts on management? Can’t believe they survived to be honest!
User avatar
Razzledazzle
 
Posts: 2253
Joined: May 2012

Re: AGM

Post Fri Nov 30, 2018 2:09 pm

Was any light shed on how they intend to increase the share price
kemp91
 
Posts: 1584
Joined: Apr 2013

Re: AGM

Post Fri Nov 30, 2018 2:18 pm

Couldn't make the AGM this time.

Have just seen the presentation released on ASX which I'm hoping they've gone through in a little more detail with EP / Momo

https://www.asx.com.au/asxpdf/20181130/ ... ldf0k9.pdf

Couldn't see anything positive in there!

"RRDSL is finding it challenging to secure regular contracts - due to oversupply of rigs in Trinidad and inefficient cost base"

"Some rigs require further investment to improve drilling efficiencies"
Last edited by day_tripper on Fri Nov 30, 2018 2:25 pm, edited 1 time in total.
User avatar
day_tripper
 
Posts: 669
Joined: Nov 2012

Re: AGM

Post Fri Nov 30, 2018 2:22 pm

Interesting about rrdsl not getting contracts because of the abundance of rigs in tt. Why did they buy it then. Is it just me or doesn’t every thing they try just fizzle or fail
User avatar
Razzledazzle
 
Posts: 2253
Joined: May 2012

Re: AGM

Post Fri Nov 30, 2018 5:03 pm

I needed a think before I posted as I know when I couldn't make it to an event in the past, I've read with keen interest feedback from people who went. I didn't want to post a comment that would be over analyzed or dissected (as that is what I would do). At the same time I appreciate that what I do post and that is posted by other attendees will be read by a lot of people with deep interest. I going to keep this post at a pretty high level so that it offers some feedback at least.

There were 5 share holders in attendance. The meeting was about an hour and a half long. And the shareholders were given ample opportunity to ask the questions they wanted to both within the meeting and post 1-2-1s. We did ask the hard questions if you're wondering. It will be interesting to see if those questions are given an official release (as they were 2 years ago for all to read).

The vast majority of shareholders are underwater with Range, but so are the board who hold and our keystone holders.

Range have posted the presentation now so you can see what their plans are for next year. As for the atmosphere there or nuggets of information gleaned, well not much. Because there isn't a huge amount actually going on at the moment that hasn't already been stated publicly.

It would be fare to say that discussions had a strong 'we let let you down' element to them and for a change weren't wait till xyz next year happens. The things we've discussed at length here on the board are still pressing matters - waterflood, the debt refinancing and the improvement of the personnel and equipment in T&T to get the bopd up. This time, they actually didn't offer a 1,000 bopd by date simply because it wouldn't be prudent at this stage.

To be honest I'm struggling to write this - they were apologetic and conceded failures across what they did. The also acknowledged that the sp was as a result of their not delivering on their promises etc. The take away message is we're still at it, trying to improve the T&T situation and waterflood and when the time comes will look to refinance and restructure the debt. Nothing will happen in the short term and it's looking like Q3 before anything of substance really happens.
User avatar
Momo
 
Posts: 4496
Joined: Mar 2012
Location: Relax nothing yet...

Re: AGM

Post Fri Nov 30, 2018 6:21 pm

Thanks Momo appreciate the feedback. Wish I could have gone but too far for me.
FUBAR@Birth
 
Posts: 951
Joined: Mar 2012

Re: AGM

Post Fri Nov 30, 2018 6:57 pm

Cheers for the feedback Momo, didn't expect much although when I saw the SP crash a further 99% yesterday I thought they were finally switching the lights off.
Must have been a glitch in the share app I use as it was corrected later on.
suk
 
Posts: 27
Joined: Mar 2012

Re: AGM

Post Fri Nov 30, 2018 8:20 pm

Thank you Momo.
cjv
 
Posts: 311
Joined: Mar 2012

Re: AGM

Post Fri Nov 30, 2018 10:26 pm

Momo; Thanks for taking the time to give us some indication as to how the AGM went. As expected, nothing very exciting, more jam one day perhaps. Still holding quite a few million at a huge loss but have written it off mentally.ATB to long term holders.
User avatar
Biggles
 
Posts: 603
Joined: Mar 2012

Re: AGM

Post Sat Dec 01, 2018 9:06 am

Momo - thank you for your post. Who attended for Range and other than Phil and Adept which other shareholders attended? Hopefully they will sort out the refinancing in Q1 2019. Not expecting much in next quarterlies due to weather and strikes.
Martini069
 
Posts: 60
Joined: Sep 2018

Re: AGM

Post Sat Dec 01, 2018 12:02 pm

Please ignore previous poster

He is fake
He has many many different login names
He has been banned here before

On worldstocks he logs in as
martini069
lewisyfawr
celticheart07.
qantas

He is obnoxious
User avatar
Dodge City
 
Posts: 7
Joined: Oct 2018

Re: AGM

Post Sat Dec 01, 2018 12:54 pm

Thanks for the AGM feedback Momo ... I'm getting a sense of deja vu!

Top to bottom Range have been awful for years in terms of decision making, planning and execution.

I'd be embarrassed to have such a track record of failure.

Let's see if Malcy can put some positive spin on it.
User avatar
day_tripper
 
Posts: 669
Joined: Nov 2012

Re: AGM

Post Tue Dec 04, 2018 9:44 am

Momo, thanks for the update. Out of interest did you get an impression of overall competence from the board...good at what they do but victims of some wrong decisions and circumstance....or did they fall into the nice but dim category?
User avatar
Razzledazzle
 
Posts: 2253
Joined: May 2012

Re: AGM

Post Tue Dec 04, 2018 1:24 pm

My thanks too, Momo - really appreciate you taking the trouble to go and report back.
Like Razz, I too would be interested to have your view on the level of competence (and confidence, if any!) observed.

Was there any rationale given for the purchase of a further share of the shambles in Georgia, or any explanation for not asking for the return of the £3m ‘goodwill’ (FFS!) payment to LO that we were told was available at call, rather than raising at 0.011?
Buckz
 
Posts: 195
Joined: Mar 2012

Re: AGM

Post Fri Dec 07, 2018 3:05 pm

You are welcome guys, we are all in this together.
Answers to you questions as below. Of course my views are just that. I held of a week incase Range had an AGM RNA to release.
Sorry for the typos in advance.


Range side were -
Eva, Nick, Kerry Gu, Yan Liu (CEO)
Douglas Field (Chief petroleum engineer), Sara Kelly (Joint company secretary), Theo (Group financial controller).


- Out of interest did you get an impression of overall competence from the board...good at what they do but victims of some wrong decisions and circumstance....or did they fall into the nice but dim category?

I got the impression that they were defeated and deflated, very low energy somber affair.
I liked Yan Liu I thought he presented well and despite the odd language issue did give sincere answers when asked very direct questions. Otherwise skirted around
then with long answers that were non answers.

His presentation however showed how little there was actually going on with Range, they simply don't have the money for big drills and appear to be treading water until Q3, certainly until a refinancing is done they wont do much.

It felt like this time as there was no glory to be had, so he'd been pushed forward to face the music whilst the others looked on in silence hoping to avoid having a light shone on them. It's tough at the top huh? The presentation talked about everything but the shareprice, no graph at all and no real mention of shareholder value etc There was nothing really to boast about other then the $1 million dollars earned by RRSDL. Everything was "improved" or being worked on. Actual victories seemed few and far between. Jam as always in the distant horizon, but this time they weren't able to offer 1k bopd timeframe, having been stung by past promises too many times.

I think sincere efforts were made in certain areas but as always leave you wondering why didn't you (Range) know that before? For example RRDSL - I asked if they would concerned if they had over paid for it now with hindsight - a long answer from Yan with no actual direct answer. But with reasons why RRDSL drilling services was difficult to win contracts for/use ie two long time rival companies on the island dominating the contract wins - but Range would have known about them before hand right? A low level of skill amongst the team there - again, Range would know that as it was their team they'd know it
better then most, so hire better people then? A lack of the teams understanding of the requirements from Range ie storage/volume of water required etc.
These are reasons but would a competent company not be able to resolve them quickly? or bring in experts (Landocean?!) to do so quickly.

Reasons for lack of oil production were sadly again things that have been talked about for a long time - difficult environment in T&T of oil pressure, lack of storage facilities, Petrotrin, lack of skill, spare parts etc. The same things that have been forwarded for many years. Should we conclude that Range don't learn from past mistakes or cant overcome them then? and the asset is actually crap and incapable of producing anything meaningful no matter which approach is taken?

- Was there any rationale given for the purchase of a further share of the shambles in Georgia

From memory I think the answer was that it was a very minimal cost purchase (Phil please correct me if wrong).

-or any explanation for not asking for the return of the £3m ‘goodwill’ (FFS!) payment to LO that we were told was available at call, rather than raising at 0.011?

That was asked by and I've honestly forgotten the answer now. One of the shareholders asked the specific question why decimate the sp with the last dilution when you could have used that money. I think the answer was along the lines of strategy or something (sorry I forgot - Phil?)

Below are my views. Please taken them as just that. I'm posting them openly as I don't believe in ramping or leaving out negative views. The sp is already beyond a joke as is the volume traded. So me posting my views is neither here nor there.

My personal thoughts are that this company is actually in big trouble, whilst the debt is unsecured and having a while before it is to be paid off. They have very little they will be doing prior to negotiations in order to preserve cash. Any drills they do do are just contributing to keeping the lights on. Eventually they will run out of time and or cash. It all hinges on the renegotiation and as they were already suggesting all options will be looked it, it doesn't necessarily mean a win for long term shareholders. LO are the lenders and the people holding the cards for renegotiation. Kerry said Range losing out was always a loss for Land Ocean, they do not want to see Range fail, it would be a failure for them too. But how far would LO go to keep the lth shareholder happy?

With the sp where it is, if they exchange debt for shares then long termers will be diluted to hell. Pretty much killing their investment dead. Yan said he was in at 0.8 so would be effected himself, but 0.8 seems a million miles away at this stage and really he's a Range salaried man so would that would soften the blow with possibilities to be rewarded further down the line.

The sp is where it is as Range have (in their own words) failed to deliver on their promises and put very little effort into pr. PR will remain at this level until it can be a justifiable expense (ie something to crow about, which itself wont happen till the loan deal is refinanced).

Whilst Yan thanked me for coming and that it was great to see me again. My response that this would probably be the last time as I suspect there would not be another AGM in London in 2 years time as there wouldn't be a Range then. This was greeted by a nervous laugh which pretty much summed up the whole meeting. I suspect Range already know what's in future for the shareholders and if we start seeing people exit then it's curtains, if they stay then it's probably further dilution to keep things going. Either way I don't expect to see any meaningful return from my decimated investment. I suspect the fat lady is warming up in the wings.
User avatar
Momo
 
Posts: 4496
Joined: Mar 2012
Location: Relax nothing yet...

Re: AGM

Post Fri Dec 07, 2018 7:15 pm

Cheers Momo. Sums it up well. I'll write some more tomorrow hopefully when I have some train time, suitable equipment and a stable signal, but to answer the Georgia point, seemed to be to get a more viable (whole) asset to sell, although the licence issue is with legal. A North American guy who was there we spoke to after seemed to consider there's some value in it. I didn't get the why repay answer, missed that somehow.
The only real positive was Douglas Field's obvious enthusiasm that waterflood IS working, just need the water.
User avatar
ErraticPhil
 
Posts: 1270
Joined: Mar 2012
Location: In the land of snap, crackle and POP

Re: AGM

Post Sat Dec 08, 2018 9:45 am

Thanks momo for all your hard work for those who could not go. It’s a pretty depressing read and looks like dilution is only a question of when not if.
Martini069
 
Posts: 60
Joined: Sep 2018

Re: AGM

Post Sun Dec 09, 2018 10:47 am

Martini069 wrote:
> Thanks momo for all your hard work for those who could not go. It’s a
> pretty depressing read and looks like dilution is only a question of when
> not if.


Consolidation first, probably around the 1000:1 mark and then an issue
Nedkellylandau
 
Posts: 1990
Joined: Mar 2013
Location: Lost on the Range

Re: AGM

Post Sun Dec 09, 2018 12:39 pm

Nedkellylandau wrote:
> Martini069 wrote:
> > Thanks momo for all your hard work for those who could not go. It’s a
> > pretty depressing read and looks like dilution is only a question of when
> > not if.
>
>
> Consolidation first, probably around the 1000:1 mark and then an issue

Ned - what price do you think this will be and do you think shareholders will have a chance to participate?
Martini069
 
Posts: 60
Joined: Sep 2018

Re: AGM

Post Sun Dec 09, 2018 10:46 pm

Martini069 wrote:
> Nedkellylandau wrote:
> > Martini069 wrote:
> > > Thanks momo for all your hard work for those who could not go. It’s a
> > > pretty depressing read and looks like dilution is only a question of when
> > > not if.
> >
> >
> > Consolidation first, probably around the 1000:1 mark and then an issue
>
> Ned - what price do you think this will be and do you think shareholders will have a
> chance to participate?


The price will depend on the equation for the consolidation and the price at the time. I don't know who would buy the shares but doubt if it would be existing shareholders
Nedkellylandau
 
Posts: 1990
Joined: Mar 2013
Location: Lost on the Range

Who is online

Users browsing this forum: No registered users and 2 guests

Search

User Control Panel