Hi
@Waltonlodge50A quick update on the proposed resolution to CUE Energy. While the wording is being finalised the essence of the resolution is that
CUE Energy allocates a percentage of operating profits to the payment of a dividend or other method of capital return
CUE manages its capital and exploration budgets to preserve this percentage of operating profits.
We require 5% of SH's in order to put forward resolution. Currently we have commitments from 4.19%. I'm waiting on responses from a few more Top Twenty SH's which should will take us to 5%.
We have the choice to either
- put forward a resolution and call an EGM or,
- put a motion to the board to advise them we will put a resolution up at the AGM.
At this stage we are proposing to put the motion to the board for a resolution at the AGM. The thinking is more SH's will consider and vote on the resolution at an AGM.
A number of SH's we have spoken with have either written or spoken with CUE with regard to need for some form of capital return rather than continuing to commit all profit to capex and exploration. This resolution provides an opportunity to formally register these concerns with CUE. By voting it also provides CUE with a measure of how widespread this concern is.
I will post another update in the next couple of weeks as things progress.
