NZ Oil & Gas (NZO)

[fabs]

WITHOUT PREJUDICE:

BALANCE:
POSTED ON THE FORUM 14/12/2010
My sentiments now for at least more than 12 months.
22 Staff a board with supposed 200 years experience
A head Honcho on wait for it 1/2 mil. per ann. only a question of time before he leaves on his own accord i guess, although would not hold my breath, will have impeccable timing to milk this to the hilt.
Tony is the only one in that mix that can claim and be credited with meaningful contribution

[Beagle]

I called him a very poor CEO quite a number of times on this thread and sold out on the strength of my conviction of exactly that. Keep your chins up guys, its great news he's leaving, he's been a complete failure, lacked vision or leadership and collected a fat pay cheque for doing very little. Lets hope this company finds a good new CEO and cleans out all the other dead wood in the company.
Put this company back on my watch list, with possible interest to re-invest if it starts to be run properly again.

Not sorry I sold out months ago in the early 80 cent range and invested in Ryman at $2.30, now $2.76. Good management add value not destroy it. Harsh reality I know, but true and these two contrasting companies are a classic case in point.

[peterfindlay]

It is inappropriate to single out the CEO, as distinct from the NZOG Board of Directors, and attempt to crucify him in this forum. If concerns about Pike are an underlying issue for members of this forum, the simple question that may provide some direction regarding the burden of responsibility is: who were the NZOG representatives on the Pike River Board of Directors.

It simply doesn't help anyone, and adds nothing to a greater understanding of NZOG, and the wider issues facing NZOG, to wrongfully accuse people of matters for which they are either not responsible, or based on known information, it is not reasonable form the conclusions that have led to the accusations made in this forum.

My experience and involvement with NZOG over many years strongly suggests that NZOG is held in far higher regard than it was when Tony Radford was CEO/MD, with Gordon Ward as GM. I am sure that those well acquainted with NZOG have cause to thank David for installing a professional culture and professional processes within NZOG, and for perhaps interrogating and challenging some of the thoughts, decisions, and actions of the NZOG Board of Directors over recent years.

I think that it is highly commendable that David has given 6 months notice. A lot can happen in that time, and it shows whose interests David has at heart.

Attached is Mcquarie Equities current view of NZOG.

Macquarie Equities Research

Event

David Salisbury, CEO and MD of NZO, has resigned for personal reasons. His last day will be the 29 December 2011.

Impact

Highly regarded CEO will be a loss: Mr Salisbury was highly regarded in the industry and has led NZO through the most traumatic period of its existence. Following the success of the Tui field he has dealt with the GFC, extreme oil price movements and the Pike River Coal disaster. He has guided the business with care and conservatism, avoiding too many expensive mis-steps. The recent acquisition of acreage in Tunisia could herald the start of a successful secondary exploration opportunity for the company. Mr Salisbury has left for personal reasons and a desire to spend time with family before looking at other opportunities.

Hand over period looks good: Given the six month notice period we see limited risk to NZO in the short term. The business has good opportunities and is well capitalised, which should prove attractive to an incoming CEO. With no drilling planned over the next 6 months and plenty of projects to progress over the period (Kaupokonui, Tunisia, PRC) NZO will continue to move forward.

Pike River Coal still important: NZO has retained $45.6m of PRC debt on its balance sheet, worth 11.5cps. We do not include any value for PRC in our $1.21 target price, but consider there is potentially significant upside from the mine sale process, which is currently underway. Further information may be forthcoming in the next few months.

Action and recommendation

We remain comfortable with our Outperform recommendation and $1.21 target price for NZO. ·

[Beagle]

To be fair Peter, I was equally scathing of the board and especially the conflict of interest so readily apparent that Tony Radford has. What have they done with all the cash flow from Tui and Kupe ?, any way you slice and dice it NZO has been a woeful underperformer, especially measured in the context of record oil prices in recent years.

[Bixbite]

We don't need a new CEO, what we need is just a predator.

[fabs]

PETER
PRC is and was the pet of T/R,
never blamed D/S for what went wrong there other than the buck stops with the one that collects 10 grand every week.
TUI & KUPE where not only there before D/S but quite well handled by 2 other companies, as to anything else well big deal, not all that impressive really, but who is in charge of the big TEAM in the end?
This co. was in exceptional shape 4 years ago, reduced my holding to less than half long ago, for more than double what it is worth now and although got also rid of any PRC.s long ago stayed in NZO because what i always considered a big gamble [ Pike ] seemed that close to success.
As you can see from above posting on this forum 14/12/10 now more than 6 months ago my prediction of present events where bang on, so draw your own conclusions.
But to each his own.
BIXBITE PRECISLIE

[Balance]

Squandered - cash coming from Tui and share conversion.

Squandered - the great investment opportunities during the GFC.

What else needs to be said?

[Beagle]

Squandered - cash coming from Tui and share conversion.

Squandered - the great investment opportunities during the GFC.

What else needs to be said?

Seems an appropriate time to reflect on how D.S. has on more than one occasion referred too how he's continued to "strengthen" the management team with this appointment and that, all those overheads and travel and what exactly have they achieved ??, oh yes I nearly forgot, there was there wonderful multi million dollar "donation" to PRC when it was readily apparent to everyone on here that they were insolvent, which we've covered in detail previously. That was quite "THE ACHIEVEMENT" The whole team and board really thought that one through "carefully". Look at the share price relative to how properly managed resource companies in Australia have performed during this oil boom. There, vented frustration, nuff said.

[777]

As a holder of over 200,000 NZO shares at the the time of that "carefully thought through donation" I am more than happy that it was made. Money was required in an attempt at saving lives an as a major shareholder (read owner) in Pike River they fronted up.

[neopoleII]

yeah..... i have to agree...... nzo had to stump up.
but........ this co and pike and ppp were and / or are dominated by TR.
the board is there only as a legal requirement and pretty much chosen by him.
i still find it hard to believe that people here think the board, ceo and management can move the co in directions that TR doesnt want it to go. the board, ceo and management is what TR uses as tools and hides behind.

i read on one of the websites..... either NZO or PRC that TR used to sit at the base of the ridge and look at the coal sitting there in plain view and wanting to get it........ so almost 1/2 his life later..... and all your money....... he got it.... and blew it.

in the meantime...... no one is knocking on his door for answers regarding the explosion, that is left to the mine manager.
imho..... everything that has played out should go back to TR, not voted board members or employed ceo's or managers.
because none of the fore mentioned have any choice but to tow the line.