Dear shareholders,
I'm going to hold a conference call via Skype on Friday the 13th at 6pm to share our thoughts and discuss options moving forward to extend the life of our company beyond this year. I believe this is feasible while I'm not prepared to accept the real liklihood of entering into insolvency at the hands of this Board and CEO!
It's incomprehensible the position we find ourselves in today. It's tough, challenging times for human life on earth at the moment, making it very difficult to go about business! The LNG industry, in particular proposed US liquefaction developers have faced major head winds over the last 5yrs however, it's impossible to ignore the factors "within our control" that have unequivocally brought about the downfall of LNG LTD.
It's not over yet, we are debt free and sitting on a valuable asset in Bear Head, in which case the possibility remains to sell for maybe USD $12m (AUD $19m based on current exchange rate) if the site has retained its value since being acquired in Aug 2014. In turn this could keep us fuelled for another minimum 3 Qtrs, buying us time to source additional capital and hopefully see a vast improvement in SPA contracting in 2021. I can not comprehend why the Bear Head sale proposition has not been seriously entertained considering Micah + BOD have been unresponsive to my repeated requests for an answer since first posing the question late last year while also on the verge of going broke!
I can not comprehend why the Company on the verge of seemingly banking their first ever SPA if the following media announcement was to be believed, would not fight to finalise this contract then in turn roll the dice and back our chances other buyers will jump off the fence when the market takes off again.
Oct 11 2019 both DeltaOE and LNG LTD agreed to extend the validity period of their MOU to 1 July 2020, using reasonable efforts to negotiate a definitive SPA by 31 May 2020. Released 27 Dec 2019 headed “LNGL Comments on Vietnam Power Development Plan 7 Approval”... "As we have previously disclosed, the approval of the amendments to Vietnam’s Power Development Plan 7 was the prerequisite for execution of our binding sales and purchase agreement with our partners, Delta Offshore Energy, for 2MTPA from Magnolia,“ said Greg Vesey, Executive Chairman, Managing Director, and CEO of LNG Limited. “We thank Prime Minister Phuc and members of his Cabinet for their supportive efforts, and will immediately begin completely the terms of what will be the first long-term sale and purchase agreement for LNG to Vietnam”. Just another meaningless statement, a mirage, that not surprisingly appears to hold no clout... simply "smoke and mirrors"!
In the event capital is somehow raised over the next couple of weeks, it's imperative we take steps to remove GV from his post. Our trust, faith, support, loyalty has been taken for granted of as evidenced by his actions or lack there of, empty words and having sold us a dream that was destined to become reality. It's a matter of... " Not If But When", our leader's famous defining quote! 4yrs to prove his worth with a completely de-risked, shovel ready project, unfathomable we've been unable to secure a single SPA!
I hope to garner plenty of support through attendance on the call, please find and add jkerr79 or reach out to me at
[email protected]. If the time arrives to take action and force our agenda to be heard, it would be great to know who I can count on to go on the offensive with, to battle for staunch, long investors who certainly deserve to see the Magnolia story be realised!!
Best. JK.
