Ann: Share Purchase Plan , page-19

These guys have dodged and weaved court cases and non payment for years now.
There is also great risk they could lose their leases for non compliance.

One of the ASIC conditions of a share purchase plan is that the company is in full compliance with continuous disclosure. There is grave doubt in my view that this company has met continuous disclosure laws.
We know nothing officially about court cases between landholders and site access.
Nor were we told about a court case which claims that Marion falsified land access agreements.
There is nothing about the $2.2M Payout to Iowa Tanklines
Nor is there anything about the pending court case with Lobo Well Service where there are many millions at stake.
The half yearly completely underestimates legal liabilities of the company.

Previous Auditors were removed.
Why?
Numerous directors resigned.
Why?

The company is now 4 months behind in submitting gas production records to the state of Utah.
We should be able to see Production figures for January but we cant.

The company cant raise $6M via an SPP without an EGM, because its significantly more than 15% of the company.

An EGM will mean 30 days notice..

What is happenning with the Bank? It appears they have not taken up their $5M convertible note. Why?
Conditions needed to be met for the continued support of the bank. We dont know what the conditions are. The bank not taking up the $5M in convertible notes is a bad sign.
The interest clock also starts up again on June 30.
The bank has security over the leases, and Marion owes the bank. If the bank pulls the pin its all over.

If another company wants to buy in, the best option for the bank is to pull support, and take control of the leases, and sell them to a new company. Millions of debts would be written off and the bank would maximise its returns.
The debt burden is so huge I find it difficult to see how this company can ever climb out of the hole without debts being written off and starting again.