Post from Raging Bull!!!
whynag
Reply To: 792 by petrosee
Thursday, 6 Jan 2000 at 6:31 AM EST
Post # of 801
As the Editor of the ADMIRE investors private email
club covering members from all over the UK and Ireland,
I proposed ARXA six months ago around the time of the
takeover of ARXA by the present management.
The consensus among our 2500 members was to defer any investment decision until we could see the PROMISES
by the new owners being fulfilled.
Yesterday, I had a long conference call with the ARXA
management and I spoke with Norris Harris-President and
Chief Executive Officer,and, Jack Durland-Vice President and Chief Financial Officer.
I was delighted to discover that in addition to Mr. Harris's extensive worldwide experience in the Oil
business, (he spent considerable time with MOBIL in
Europe), his Great Grandfather was an Irish Emigrant
to America in the late nineteenth century, and was a
member of the Fitzgibbon clan from County Kerry.
Contrary to what cynics would say, I have never
experienced being told a lie by a fellow successful
businessman of Irish descent....truth has always gone
with this territory.....we all want to come back to
Ireland at some stage, even if only for a visit,
and it is such a small place!!!!!!
Mr. Harris then asked what I would like to know, and I asked for an update on the hopeful scenario of his
coming to ARXA which was followed by stoney silence
ever since!
Whereupon, he gave me this update, and I do my best
to report it as accurately as I can, from my notes,
but i should advise you, HE IS FOLLOWING THIS UP WITH
A LETTER TO ME BY MONDAY WHICH WILL BE CIRCULATED TO
THE SHAREHOLDERS AS WELL!
I am sending my EMAIL address to him this morning!
And so........................
At one point in his career he was involved in buying a shell company like ARXA but it did'nt have a clean
reporting record and was full of little skeletons,
so to speak, when he bought it, and he lost some money as a result.
Learning from his error, he was doubly cautious with
ARXA to be sure to allow some time to closely inspect
its CLEANLINESS before putting all the eggs in the basket.
We all know that ARXA was his choice for its clean and up to date EDGAR-SEC filing record, but understandably there
were a number of minor discoveries which perhaps displayed
former close relationships leading to a priority to relocate ARXA
closer to home, and cutting ties with the former scenario,
and the former President's bailiewick...e.g. Denis McGrath
was kept on as a consultant on the company's finances for
a time and he was let go(a very nice guy...but?) and the business of the 5 year office lease which WILL
be resolved satisfactorily imminently, agreeing on a settlement(number of months rent in lieu). It became clear that Mr.
Haris would have his own view of the previous
management's competence and ability to spend shareholders funds, although he said nothing specifically derogatory.
Maybe HEIN could have asked more questions than
they did during their time as ARXA's auditors...but then,(I surmise here)if they had ARXA might not now have new
management.
There is no doubt in my mind that maintaining the relationship between the new management and HEIN would
have been fraught with difficulty, particularly in view of the geographic separation.
So we have a new AUDITOR, and he is down the road, and he is highly thought of, and is not a yes man, he is his
own man, and has never been associated with the new ARXA
management's business interests on any occasion heretofore!
Good!
I then asked Mr. Harris as to when he would be ready to commit to the plan as outlined at the takeover date, in full.
He gave me every assurance that the ball is in play, and
all the players, and the the game is on!!!
He apologised for his public reticence and the lack of
share promotion, and PROMISED UNEQUIVOCALLY to communicate
with the shareholders directly on MONDAY NEXT...........
when he will confirm that...........
NSA, highly credible throughout the industry, will report
on the asset transfers, which have not changed, and they
will be complete in the next month or so.
The $30mil Ordinary Share (plus $35 mil warrant) placing is complete(please wait for his letter to correctly explain how this
was done, as I lost a little of the technicalities in listening), and the important thing to know is that it is not a paper tiger, but
that it is real, and will be confirmed.
The company is moving ahead NOW with its exploration
program, and interestingly he says, including a VERY SWEET
foreign deal.
He is a DEALMAKER, of that I can have little
doubt after listening to his cautious but BUBBLING
ENTHUSIASM, and I just loved his saying " When did you hear
of a successful oil company that was built on low risk
prospecting?"........Said it all for me...I love to gamble,
but doing it with EXPERTS and COMPETENT MANAGEMENT does
help to reduce the risk!!
ARXA as a company has been "picked clean" of any legacy
unseen baggage from its former life, and the man is
ready to go!!!!!!!!!!!!
I saw nothing in what was discussed except positive value
for my bet which I placed last year, and the 20k stake
bet yesterday, and I think my return will be at least a double, certainly at these prices.
Nothing was said to me, obviously, that he is not prepared to repeat on Monday........
CRUCIALLY...I expect that the next EDGAR filing from ARXA will not disappoint will confirm everything that needs
to be confirmed.
Neither will Norris Harris's letter to shareholders
next Monday dissappoint, and I expect further news of the drill deals and program to be ongoing, and hasten imminently a
return to $2+ which is where it belongs!!!
Caveat Emptor!!!! |
