Would you Adam & Eve it yes folks Andalas Energy & Power (LON: ADL) are already at the bolloxs trying to organise yet another ramptastic set of RNS’s to shore up their ever decreasing share-price which is now below 0.065p. This is being done to keep the SP up. If it stays below 0.065p then the placing is dead in the water it will have to be re-jigged downwards. That’s a fact.
News has also reached me that their bucket shop broker Beauforts time as ADL broker maybe coming to an end. Andalas are after yet another broker having exhausted the Beaufort clients (sucker list) they need a new brokers’ client list to rape. Hey Ho here we go. You can expect nothing other than total failure from CEO Whitby who has no regard whatsoever for the ‘Dumb British POMS’ and has rinsed huge amounts of cash out of ADL via Corsair Petroleum. ‘Fill ya pockets Dave’ one last time because your reign is coming to an end soon enough.
But that’s not all. Yesterdays kick in the balls, teeth and anus for the ‘Melts’ who’ve consistently been serially buggered by Whitby and Co’, yet refuse to accept the truth, are very telling. The RNS reads as if Directors are ponying up for 900,000,000 shares with £585k of their own money. Or are they? No they are not. Now here’s the heads up and BMD opinion the majority of those shares will NOT be paid for directly via cash from the Directors it would be in lieu of Director fees if they buy into or take part in the placing. Which they won’t. Hey Ho yet another good rodgering….
Yesterday I officially put Andalas Energy & Power to the sword. The CONpany were made to ‘fess up’ that ‘Jambi 1 IPP’ doesn’t exist in any way shape or form other than on a piece of Indonesian toilet paper and admit that they were desperately seeking cash (Placing) Both of those RNS’s came because of the official complaint lodged with the regulatory authorities.
The Nomad forced the clarification so that every single ADL follower & share-holder now knows exactly what Jambi 1 IPP is and more importantly the mine-field of regulatory and financial hurdles ADL have to navigate over a number of years before I repeat ‘BEFORE’ it can get onto the RUPTL Indonesian Electricity Plan. What the Nomad, Cantors, has done is very important. It allows them to say when ADL go tits up, “Everyone knew and we announced it to the market openly even via a ‘Clarification’ that Jambi 1 IPP was in actual fact a ‘Paper Project’ without the $15,000,000 of finances in place”. This allows them to walk away with legal coverage. That is exactly what yesterdays forced ‘clarification’ RNS was all about.
Moving on. I now expose exactly what in my opinion went on yesterday behind the scenes. I’d already contacted Beauforts and put them on notice that an expose was on the way, Sandabel had also been contacted. I knew this would force their hand re the placing and put pressure on the Aussie shysters. I now declare that I was actually in Indonesia Jakarta, and Sumatra last week gathering evidence. I have world class sources within PERTAMINA and the Indo’ oil & gas community. To all the ‘shrills’ Do not think that I make these things up in a drunken stupor. I get about and if it means going to Indonesia or any other place in the world, then I go.
Make no mistake the Andalas placing, should the idiots vote it through and the idiots taking part cough up, will leave them with circa £300k. That’s about 12 weeks before we’re at it yet again with the Hotpoint rinse repeat cycle. The next placing will be at yet another huge discount. The RNS’s only came because of two things. 1/ They had to get the placing out before their Nomad and the regulatory bods had made direct contact with the Indonesian authorities. Once the Indonesians are made aware of exactly what’s been going on in Andalas and declare exactly what the regulatory and financial progression is then ADL will be suspended. They had to get the placing announced asap. Otherwise it was dead. 2/ Cantor Fitzgerald hastily cobbled together a ‘Clarification’ which is crystal clear and gets them off the regulatory hook once ADL go tits up. They don’t want another African Potash shafting… That’s how I see it in fact that’s how it is.
It’s with fits of laughter I write on the latest ‘hocus pocus’ now coming out of the beleaguered corporate shysters that are Andalas Energy & Power (LON: ADL). In response to my article this morning they’ve hastily clobbered together an RNS. You can read the bullshit HERE
In that RNS released at 1:32pm this afternoon Andalas confess that ‘Jambi 1 IPP’ is now a ‘Paper Project’. What that means is that it is an ‘idea’ or as I term it a ‘CONcept’. As proven today ‘Jambi 1 IPP’ does not exist in any way shape or form in any Indonesian government department or state run/controlled company! Of course the RNS Clarification is any thing but a ‘Clarification’ where are the costings and the funding?
This from the RNS is very telling:
* Jambi-1 is the name used by Andalas for the project. This is an admission that ‘Jambi 1 IPP’ doesn’t exist other than on paper. Take a bow Neville Chamberlain..
* The “key contractual, technical and financial project milestones to be achieved prior to the consortium making its final investment decision” referred to in the Announcement include: None of the ‘Milestones’ can be achieved as there is NO MONEY
+ completion of the front end engineering and design study: Can’t be paid for without a Placing
+ execution of gas sales and power purchase agreements: Can’t be progressed unless they have $12,500,000-$15,000,000 in the bank
+ execution of an engineering, procurement and construction contract: Can’t be executed as they have to have the funds in-situ
+ contracts for the purchase of the power packs and other equipment: Again can’t be executed as they do not have the funds
+ execution of debt finance agreements: No one is going to give this lot $12M-$15M. So it’s a massive diluted #Placing to keep the lights on
+ execution of operating and maintenance contracts: More pieces of ‘Paper’.. Can’t be executed as all of the above have to be paid
+ licences relating to the facility and transmission lines: Again licenses will not be granted as there is no cash.
* The consortium expects the project to be included in Indonesia’s electricity supply business plan (‘RUPTL’) prior to execution of the power purchase agreement.PLN nominates projects to the RUPTL annually.However, the Minister of Energy and Mineral Resources may direct PLN to include projects on the RUPTL at any time: The ‘CONsortium’ can’t expect the ‘Paper Project’ to be incorporated into the RUPTL as the conditions precedent can’t be foreseen 3-4 years hence. Not forgetting that little bug bear of zippo cash! Hocus Pocus! And none of the above can get onto the RUPTL before 2020 and that’s only if they’ve spent at least $15,000,000. Money they simply do not and never will have.
What todays RNS tells us is that Andalas are about as far away from an IPP as I am from going to the moon in my car and that Cantor Fitzgerald has got them to spell it out in ‘Corporate Speak’ terminology to try to get them off the hook and limit todays damaging expose by Yours Truly.
Make no mistake both AIM and The FCA as well as their Nomad will now be doing there own ‘Due Diligence’ on exactly how this ‘Paper Project’ can advance without financing. That will or should entail making direct contact with all the relevant Indonesian Authorities. Which will be most enlightening.
As for Andalas and their hoards of BB poltroons they’ll be screaming just how super dooper this RNS is and how a CONpany with less that $100k & circa $1,000,000 in liabilities is the best thing since sliced bread. Hey but hang on a ‘Nuttals Momento’ Except the one big fat question that none of them can and wont answer but needs answering.
Today I expose the truly dreadful deceits perpetrated by the well known Aussie’ Shysters Controlling Andalas Energy & Power (LON: ADL). I urge every ADL Muppet, Poltroon and ‘Melt’ as well as Genuine Investors/Traders to read this and take a look at the RUPTL Indonesian National Electricity Plan at the end of this article.
The sooner you all come to terms with the Truth the Better. You have been sold a ‘pup’.
At 8am today a full complaint was lodged with ALL the relevant authorities. The Nomad Cantor Fitzgerald, they of African Potash infamy, have failed once again to pick up on the true situation within ADL. The company are bust and attempting to artificially inflate their SP prior to placing.
Open Letter to Aim Regulation and The Financial Conduct Authority
The Andalas Energy & Power Fraud.
Dear Sir/Madam
I wish to bring to your attention what I believe and documentary evidence as well as Indonesian sources supports, a deception/fraud that is being perpetrated by Andalas Energy & Power (LON: ADL) a London listed Alternative Investment Company. This is very serious.
On the 8th August 2017 Andalas released an RNS to the market and investors that contained material inaccuracies regarding a Jambi 1 Independent Power Plant (IPP) to be constructed in the Indonesian province of Jambi, termed ‘Jambi 1 IPP’.
On investigation by myself and others it is apparent that no ‘Jambi 1 IPP’ exists in Indonesia at any government, national or regional level or within any state-owned company in any way shape or form. In order for one to exist it has to be registered on the RUPTL which is the Indonesian Government National Electricity Plan. A copy of the National Electricity Plan is attached, you’ll note that there is no ‘Jambi 1 IPP’ listed. Indeed, there is no entry on the Regional (Jambi) Electricity Plan which must follow the National Electricity Plan.
There is only one 30 MW IPP listed and that is PAYOSELINCAH which is owned by the state run Electricity company PLN. The date of construction is 2020.
The agreement trumpeted out on 8th August was, like other RNS’s released by Andalas, an attempt to artificially inflate their share price so that they could raise cash. The number of shares traded on 8th August was circa 1,000,000,000, the share price rose some 65%. This also needs to be investigated.
Investors daft enough to have bought stock have been misled in many respects insofar as how an IPP is progressed to its ultimate conclusion. The deliberate omissions of the structure, regulatory and funding requirements of progressing an IPP in Indonesia as well as the inferences of how this agreement would bring value to shareholders and the company is wholesale market abuse. The CEO of Andalas, Whitby, has stated that the construction of ‘Jambi 1 IPP’ can bring in revenues of $10,000,000 per annum for the next 20yrs. This is yet another desperate attempt by Andalas to mislead investors so that they can get away a placing.
RUPTL Indonesian National Electricity Plan up to 2026. Where is ‘Jambi 1 IPP?’
I repeat no ‘Jambi 1 IPP’ exists in any way shape or form on official government registers, national plans or state-owned companies, other than the newly formed small subsidiary PPE which has just started into Upstream Investments. The agreement isn’t with the State-Owned Construction Company, PT PP (Persero) Tbk, it’s with a very and I mean a very small newly formed subsidiary. It has been confirmed to me that Indonesian Due Diligence performed by the ‘Sub’ has only considered that Andalas are a London listed company. That is, it. The subsidiary and the national state-owned construction company as well as Pertamina and PLN the state-owned electricity company, are not aware that Andalas Energy do not have the funds to progress a sweetie shop, let alone 49% of a $25,000,000-$30,000,000 IPP funding requirement.
The progression of the non-existent ‘Jambi 1 IPP’ in Indonesia is wholly dependent on funding. No deal struck with PPE can advance because their partner Andalas Energy has no cash. Andalas must have known this.
At the time of writing ADL have less than £100,000. As well as an outstanding £600,000 loan note that keeps having to be extended at £50,000 per ‘pop’ to keep the holder of the Loan Note, Sandabel Capital, at bay, not to mention the usual costs incurred by an AIM listed company. For any company to enter into an agreement that they do not and never will have the finances to fund is fraud. Andalas are insolvent.
A 49% funding requirement for the ‘project that doesn’t exist’ is $12,500,000- $15,000,000. Money that ADL simply do not have and never will have. Ergo it is a bogus RNS specifically designed, like many other ADL RNS’s, to artificially inflate their share price adding momentum to the SP so that they can raise cash. It is disingenuous and highly misleading for the company to suggest that this is a ‘Value trigger’. Andalas know full well that this is not the case.
The regulatory hoops in Indonesia require a KSO contract with Pertamina as well as a bank guarantee and a down payment to Pertamina. In-order to get the KSO Andalas have to prove that they have their 49% of funds in place. If ADL can’t get a KSO agreement with Pertamina then they have to obtain a Gas Trading Licence from SKKMIGAS to buy gas from Pertamina. Again, proof of funds is needed, as is a gas storage facility costing $2M-$3M. With no funds, they can’t approach Pertamina to buy gas, which again is dependent on proof of their funding as well as a fully funded completed feasibility study. No funding means, no KSO, no deal with Pertamina, no deal with PPE, no deal with PTPP, no gas sales licence and certainly no deal with PLN. That is the stark reality of the situation as of today. Andalas deliberately misled by omission on the above.
Furthermore, if Andalas won the euro millions and were awash with cash and could progress the fantasy that is ‘Jambi 1 IPP’ on passing and jumping through all the hoops the project would then, under Indonesian National laws go out to public tender. That is to say that ADL would then have to openly bid against any and all other companies to secure the rights to the ‘Non-existent Jambi 1 IPP’.
Whitby has stated that ‘The project is expected to qualify for direct appointment (i.e. without public tender) under Regulation No. 11/2017’ this is sheer fantasy and highly misleading as regulation No 11/2017 has four prior conditions which must be met in-order to avoid Public Tender which are thus;
1/ The natural gas price shall not exceed 8% ICP/MMBTU;
2/ The period of the guarantee of availability of natural gas should be equal to the period included in the SPA’s sale and purchase provision;
3/ Power plant investment cost calculation shall be depreciated with a minimum period of 20 years;
4/ Efficiency of the electric power and the specific fuel consumption (SFC) shall be equivalent to a high-speed diesel (HSD) of 0,25 liter/kWh.
None of those four conditions can be extrapolated several years ahead. Especially the natural gas price NOT exceeding 8% ICP/MMBTU. If you could extrapolate this one condition alone with any degree of certainty several years prior you’d be a multi billionaire! The ‘project’ cannot be “expected to qualify”, that is subjective supposition and yet again highly misleading, based on a crystal ball mentality. Andalas must know this and have not declared it.
As for the timeline of 2019, it’s my understanding from very well placed Indonesian sources, that this could not happen in 2019. It would be after 2020 at the very earliest. The reason for this is that it doesn’t exist on the RUPTL and could never get on the RUPTL until at least 2020. Andalas must have known this.
I now turn to the role of the Nominated Advisor (Nomad) Cantor Fitzgerald. Firstly, I must make it clear that I do not seek to apportion blame, merely to assist Cantor in understanding why they failed to pick up on all the above. I believe that just like the shareholders, the Broker and the Loan Note Holder Sandabel Capital, Cantors have been spoon fed misleading information that could only have been discovered by a ‘physical presence’ in Indonesia, Jakarta and Sumatra as well as the correct contacts within the Indonesian oil & gas community. Cantor Fitzgerald are on the whole victims of a complex series of deliberate manipulations.
Nevertheless, you as the regulators need to compel Cantors to explain why their safeguards and due diligence failed to pick up that ‘Jambi 1 IPP’ does not exist and has never existed as well as the deliberate misleading claims by Andalas. The questions are myriad and I do not propose to go through them, suffice it to say that a full in-depth investigation by the Nomad with the appropriate action taken to safeguard not only shareholders but the integrity of the AIM is now warranted.
At the very least Cantor Fitzgerald should make direct contact with the State owned Indonesian companies; Pertamina, PLN, PT PP (Persero) Tbk and their subsidiary PPE to seek clarification. Not least informing each party that Andalas Energy & Power does not have the funds and will never have the funds to build an IPP.
They should also clarify exactly what each company does or does not know about a ‘Jambi 1 IPP’ and what Indonesian regulatory National procedures with finances and timelines required to advance an IPP.
At the same time action needs to be taken to protect stakeholders and shareholders against further “Neville Chamberlain” pieces of paper of which there have been many, promising the earth and delivering nothing, as well as a thorough re-visitation and examination of all past agreements that have never amounted to anything other than failure to deliver, not so much as a ‘Hill of Beans’ but have facilitated highly dilutive capital raisings which have allowed the corporate shysters controlling Andalas to fill their pockets with UK share-holder cash.
My conclusion and opinions on Andalas Energy are well known. What we have here is a bunch of Aussie’ corporate shysters who think they are smart enough to manipulate and fool the Indonesian Authorities as well as the UK London Stock Market using deceptions and highly misleading claims.
Daniel Levi
RUPTL Indonesian National Electricity Plan up to 2026 Where is ‘Jambi 1 IPP?’
As most of you already know Nostra Terra Oil & Gas (LON; NTOG) CEO Matt Lofgran is now mired in a shorting scandal. That scandal in a nutshell is thus; Lofgran borrowed money from Yorkville (Known Death Spiral Shorters) to buy shares. Having bought the shares he then lent some of them to Yorkville. Yorkville shorted those shares using the CEO’s loaned stock and when they closed their short positions returned some (but not all) of the shares back to Matt. The shares which Yorkville kept they sold and ML didn’t have to repay the loan he took out. Not one single penny came from Lofgran.
At the time of the shorting Lofgran was heavily promoting NTOG. Knowing full well that Yorkville/YA Global were shorting them using his ‘loaned stock’. At the time of the warrant exercise Lofgran stood to make close to £1,000,000. In the RNS of 7th October 2013 Lofgran again lied to the market, which declared an increase in Lofgran’s holdings of 83,956,296 when in fact his holding had decreased by 71,043,704. You can confirm that HERELoaning 155,000,000 shares then getting back 83,956,296 shares isn’t an increase in your holdings it is a DECREASE.
There are other details / strands to the story not highlighted above, but in a nutshell ML facilitated and was complicit in the shorting of NTOG for his own personal financial gain to the financial detriment of shareholders. You can read the facts HERE That makes his position as CEO UNTENABLE. He has to RESIGN.
Now some where along the line over the last few days, Nostra Terra contacted Tom Winnifrith or TW contacted them. In their attempts to spin their way out via a damage limitation exercise. It matters not who initiated. Listening to Tom’s bearcast yesterday, on ShareProphets which you can HEAR HERE. It became apparent that TW had not cross-referenced the evidence against Lofgran before coming out to back him. He had taken the word of NTOG/Yorkville as the truth. After an email string of 28 emails between myself and Winnifrith the penny finally dropped. He now has some of that evidence. I have written confirmation from the FCA that Yorkville/YA Global placed those shorts and that those shorts were LIVE. Whoever from Nostra and Yorkville it was that tried to mug Winnifrith off with lies regarding the Yorkville shorts should take note.
A pissed off Tom Winnifrith is not a man any tiddler on the AIM casino can afford. Lying to cover up lies never works. Winnifrith is far more adept and experienced than myself at exposing corruption.
Shareholders should be under no illusions, these are gravely serious matters and ones which require due attention by the relevant authorities.
Contravention of Directors’ duties:
The nature of the transactions / events are in contravention of the legal and fiduciary duties which the director(s) involved have toward the shareholders of the company. I refer in particular to (but not limited to) Sections 171-177 of Companies Act 2006.
Further, and for the avoidance of doubt, it is considered that the CEO had established ‘special factual relationship’ with the shareholders in this case. It is apparent he held a duty of disclosure of material facts to the shareholders and that he had an obligation to use commercial and financial opportunities, which had been acquired by him in office, for the benefit of the shareholders, and not to prefer and promote his own interests at the expense of the shareholders.
Prior to the provision of the personal loan, YA had signed a SEDA with NTOG. It is understood that because the market price had subsequently fallen below floor price per the SEDA agreement, YA was unable to execute on the SEDA. The Loan Shares were used instead as a mechanism to enable YA to secure NTOG equity, leading to their shorting the stock.
The apparent misalignment of the interests of ML with those of the shareholders. ML made personal gains (he profited from being able to exercise warrants because of the finance provided by YA, who in turn profited by using the shares he provided to destroy company and share holder value) whilst the share price dropped c. 30% during a year in which the oil price increased c. 20%;
Share holders are now calling for an RNS from Nostra to do what they have been trying to do behind the scenes and that is to explain exactly what went on. Winnifrith has now asked for the Company to issue a statement and inferred that if the facts are as set out then Lofgran has to Resign. I have to tell investors that no RNS or statement will come. Because Nostra/Lofgran would have to impugn the integrity of the FCA. In other words they would have to call the FCA liars. The facts are crystal clear. Yorkville/YA Global placed shorts on Nostra using the CEO’s ‘Loaned Stock’ Lofgran made huge personal financial gains and was complicit in that shorting, furthermore Lofgran yet again deceived the market in the Holdings RNS of 7th October 2013.
In my experience, when CEO’s are exposed for malfeasance within their Company they will twist and turn at every opportunity to try to deflect away from that malfeasance. Which is exactly what’s happening right now.
There will be no RNS because Lofran cannot get the FCA to lie. And it is only official FCA confirmation that counts, such as the official FCA confirmation that I have in my possession that confirms that Yorkville/YA Global placed those shorts and those shorts were LIVE.
Would you Adam & Eve it yes folks Andalas Energy & Power (LON: ADL) are already at the bolloxs trying to organise yet another ramptastic set of RNS’s to shore up their ever decreasing share-price which is now below 0.065p. This is being done to keep the SP up. If it stays below 0.065p then the placing is dead in the water it will have to be re-jigged downwards. That’s a fact.
Viva!
