More confusion over so-called PL Agreement

[wind.talker]

Yeah, I know, I know: PL admin will stop at nothing to help "develop" northeastern Somalia. But someone please explain how a company with a $20 million budget will somehow explore for oil, natural gas and other minerals in PL, and make multi-million dollar payments to the PL admin. At the end of the day, the question marks over this PL Agreement ain't going away.

 

Somali Government weighs in on mining deal

 

October 17, 2005

 

SOMALIA'S Government has raised concerns with the Australian Stock Exchange over a mysterious deal involving a small Perth company that claims it has secured the exclusive mineral and oil rights over a large slice of the war-torn African country.

 

In a letter to the ASX, Somali Prime Minister Ali Mohamed Gedi offers to co-operate in any investigation into the company's claims.

 

The letter, a copy of which has been obtained by The Age, said the deal with the regional government in the eastern Somali state of Puntland was invalid because only the country's transitional federal government had the power to negotiate the sale of mineral and oil rights.

 

The letter was sent on October 6, a day after Range Resources Ltd announced that it had entered into a conditional heads of agreement with an overseas company, Consort Private Ltd, to buy 50.1 per cent of the sole and exclusive rights to all mineral and oil exploration and development in Puntland. "We understand that this event, if not stopped on time, will have an impact on Range Resources Ltd and the market of the Australian Stock Exchange and we ask you as a matter of urgency to inform your market of this event," the letter says.

 

Shares in Range Resources, which plans to fund the deal through a $3.45 million rights issue, were heavily traded after the announcement, and jumped about 30 per cent to more than 4¢. They closed on Friday at 3.8¢.

 

Consort Private, which is believed to be registered in the Maldives and operates through a London law firm, signed a contract with the Puntland government on August 30 at the Hilton Hotel in Dubai.

 

The deal between Puntland and Consort has been the focus of intense public debate in Somalia, where it increased tensions between the regional and federal governments.

 

Civil war between rival clans have raged in Somalia for more than a decade, with a federal government being elected only last year. On August 28, just two days before the contract was signed, Somalia's prime minister warned foreign companies and investors in a press release to stop trying to make deals for mining rights with regional governments such as Puntland.

 

"Any violation against this statement will result in negative consequences and the external and/or internal culprits will take the responsibilities on their shoulders," it said.

 

After announcing the deal between Consort Private and Range Resources on October 5, Range's Melbourne-based executive director Jim Marinis said he knew little about Consort Private and could not explain why it had chosen to approach a small and virtually unknown company such as Range Resources, which has a market capitalisation of just $20 million.

 

However The Age has learnt that Range Resource's new executive chairman, Michael Povey, travelled to Somalia in April with Terry Donnelly, the Perth businessman who put together the deal between Consort Private and the Puntland government.

 

Also on the trip, which was arranged through Mr Donnelly's charity Kids In Need Inc, were Perth consultant geologist Malcolm MacLeod and lawyer Anthony Black, who is a director of Consort Private.

 

Mr Povey, a mining engineer, joined Range Resources on August 26 — four days before the contract between the Puntland government and Consort was signed — and was given 1,125,000 share options in the company.

 

Mr Marinis said Mr Povey had been appointed as Range Resource's executive chairman because of his knowledge of Somalia and not for any links he might have with those behind the Consort Private deal. "He was not the go-between," Mr Marinis said.

 

He also said Mr Povey had no financial interest in Consort Private. "Absolutely not," he said. "There's nothing to hide on that one."

 

Mr Marinis denied there were any problems with the legality of the deal, despite Mr Ali's letter to the ASX.

 

He said Range Resources had gained separate written assurances from Somalia's transitional federal government that it would not interfere. On October 10 the company wrote to the ASX saying the federal government had provided "written approval with regards to the validity, operation and effect of the Puntland agreement".

 

Mr Marinis said the government of Puntland was democratically elected and independent and had the power to negotiate and sign the contract with Consort Private. An ASX spokesman confirmed it had received the letter from Mr Ali.

 

"The company was aware of the claims in it too," he said. "We understand they sought to address those in the announcement of October 10."

 

There is confusion surrounding the roles Terry Donnelly, Michael Povey, Malcolm MacLeod and Anthony Black played in putting together the deal that saw the exclusive rights over Somali minerals and oil given to Consort Private and then sold to Range Resources.

 

Under the terms of the agreement, Range Resources will pay Consort Private $US2.5 million ($A3.3 million) and make a further 17 monthly payments of $US200,000. Consort will also be given 85 million Range shares and 85 million Range options.

 

According to Range Resources, Mr Donnelly worked as a consultant to Consort, but Mr Donnelly denies this, saying he received no financial reward for putting the deal together.

 

Mr Donnelly says his only interest was in helping the people of Somalia through his WA registered Kids In Need charity. He told The Age his memory of exact dates and events was not good because of a recent illness.

 

Documents posted on Range Resource's website show Mr Black and Mr Donnelly were present at the signing of the contract between the Puntland government and Consort Private in Dubai. During the signing ceremony Puntland's state president praised the two of them, pointing out that Mr Donnelly "introduced us to Consort".

 

Mr MacLeod confirmed he had visited Somalia in April as a consultant to examine "certain amounts of data" but denied any direct involvement with Consort Private or Range Resources, and refused to comment on the deal.

 

 

Source: The Age, Oct. 16, 2005

[uchi]

Dont worry wind talker, these little boys wont get nowhere - we held this long from explotation, and we aren't giving up now.

[Thankful]

Read this if you have question about financing of the deal.

 

http://www.allpuntland.com/eng/news_item.asp?NewsID=1830

 

Of course it wont go away, Geedi and his people do not want to see Puntland Succeed, that is why he is complaining, because he knows there is absolutely nothing he can do to stop the deal; he has no power over Puntland. Thats why when the delegation went to Jowhar, he was forced to approve the deal. Cause he knew, either way Puntland is going through with it.

We will see how successful things turn out, but regardless Puntland is doing things and will continue to.

[indy7424]

Could you tell me if this BBC article is valid? It seems to say that the TFG and PL have agreed that things are ok. Your help in explaining this would be good. Thank you.

 

Somalia: Rift over oil exploration in Puntland reportedly resolved

 

BBC Monitoring Africa

English

8 October 2005

 

© 2005 The British Broadcasting Corporation. All Rights Reserved. No material may be reproduced except with the express permission of The British Broadcasting Corporation.

 

Excerpt from report by Somali independent Shabeelle Media Network website on 7 October

 

A disagreement which has been going on between the Jowhar-based faction of the Transitional Federal Government of Somalia [TFG] and the [breakaway] Puntland administration, with regards to Puntland's decision to carry out oil exploration, is said to have been resolved.

 

A six-day meeting between TFG officials and some Puntland ministers was today concluded in Jowhar, HQ of the Middle Shabeelle Region. The meeting focused on how to resolve the rift which had cropped up between the TFG and Puntland on a [foreign] firm reportedly interested in oil exploration in Puntland regions.

 

In the end, the meeting was attended by the TFG prime minister, Prof [Ali Muhammad] Gedi, who stated that the disagreement has been sorted out. He said the issue was merely about how to reconcile some constitutional clauses on exploration and distribution of the Somali [mineral] resources in general and, in particular, an oil exploration deal signed between Puntland and foreign firms.

 

Mr Gedi underscored that the discussion has finally come to fruition, adding that the agreement would be included in what had already been agreed upon between Puntland and the oil drilling companies.

[Thankful]

This is what happened, Geedi claimed that the protest letter that his people in the TFG had signed "Somali Government weighs in on mining deal". Was written before they had meet the Puntland delegation. Even though that is a ridiculous excuse in my opinion, Geedi knew he and his people could never stop it.

[uchi]

Well, whatever your opinion may be, it will indeed be stopped I can promise you that.

 

The Australian stock exchange is investigating the matter, after geddi had a lengthy conversation with the governemnt of Australia. Believe me no-one will be selling any land that belongs to the Somali people, no-matter what tribel affiliation.

 

And please stop this nonsense about Puntland's succession and how Geddi's out to destroy it, we have passed this blame game allready.

 

Let us be more intelligent about this.

[indy7424]

Could you please explain how Range could publish this announcement without the ASX approval. It would seem that the ASX would not let them put this out to the australian people if they had a problem. I am confused. Some help please.

 

********************

 

10 October 2005

Manager

Company Announcements Office

Australian Stock Exchange Limited

20 Bridge Street

Sydney, NSW

By E-lodgement

 

GOVERNMENT SUPPORT FOR PUNTLAND AGREEMENT

 

In reference to the Company's announcement last Wednesday, 5 October 2005 and following a number of shareholder and media queries in respect of the regulatory approvals required from relevant Somalian and Puntland government bodies in order for the Heads of Agreement to take effect, the Company is pleased to advise the following:

 

􀂾 the Puntland Government has already provided Consort with in principal approval for the deal as contemplated by the Heads of Agreement with Range. Range and Consort are currently procuring the formal mechanical approvals required under the Puntland Agreement itself but does not see the process as potentially affecting any of the material terms contemplated by the Heads of Agreement; and

 

􀂾 the Transitional Federal Government of the Republic of Somalia has provided Consort with written approval with regards to the validity, operation and effect of the Puntland Agreement subject only to amendments being made to the Contract of Work to reflect the constitutions of both the Puntland and Transitional Federal Governments. The Company views these amendments as more mechanical in nature and does not foresee any major problems in satisfying the regulatory approvals required as conditions precedent under the Heads of Agreement.

 

The Company looks forward to updating shareholders as to the progress of the Puntland project and the satisfaction of the various conditions precedent.

 

Yours faithfully

 

PETER LANDAU

Company Secretary

[Thankful]

indy7424 brother, believe me you can research everything I mentioned about and the deal. And you will see that the TFG has given full support and that what Geedi and his people wrote to the australian stock exchange were supposedly done before the delegation went to Jowhar. This deal could never be stopped, I mean what can Geedi do, send forces to Bosasso port to prevent it? There is nothing he can do about it. He knows and thats why he had to sneak around and write the letter. He cant get his act together in the south and has little to no control of it and wishes to see Puntland staying where they are. What I can promise u is, that Puntland will continue moving forward(the airport is proof) and that this deal has recieved HIGH INTEREST FROM ALL OF THE WORLD.

So we will see what happens to Puntland

[wind.talker]

by somalipride:

 

Geedi and his people do not want to see Puntland Succeed...I mean what can Geedi do, send forces to Bosasso port to prevent it?

What are you talking about? PM Ghedi is absolutely correct in going against some shady deal signed OUTSIDE of Somalia. The Somali people deserve better than to be left in the dark when their future is on the line. To date, Gen. Cadde Muuse hasn't spoken publicly about the deal he's signed. The "deal" hasn't been brought into the PL Parliament so that it can be debated and everyone can see it tenets. Everything about this "deal" is shady - it goes far and beyond the powers of the PL Presidency for Cadde to sign an international agreement. Period.

 

You can disrespect PM Ghedi for all of eternity, but I'll trust the judgment of an apt academic than that of an aging and ill military man any day.

 

As uchi says, no matter how many fancy signitures Cadde gives out, PL isn't for sale. And you (and the White boys who wanna risk their life and come to PL for illegal business) will see the determination of PL citizens in protecting the gifts Allah SWT has endowned upon their land (their Somalia)! Never question their perseverance - opposition to this "deal" is not just from PM Ghedi, its from within PL.

 

And what can PM Ghedi do? As the Somali Prime Minister, I imagine he can do a lot. Or are you one of those demented souls who believe Ghedi is just the PM of Shabellaha Dhexe? I guess Ghedi is no longer Col Yeey's "child," is he? So far, he's done a wonderful job stopping hungry PL ministers from selling our land to careless Gaalo.

[indy7424]

wind.talker how would describe Dr.Ali Abdullahi M Barkadle and what he is doing in PL?

 

See his website:

 

http://www.amsasconsulting.com/index.html

 

http://www.amsasconsulting.com/oil.html

 

The state of Puntland on the northern parts of Somalia has agreed to work with Amsas Consulting on the best ways of bringing investors into the Oil and Gas sectors of Somalia.

 

In a closed door meeting between the President of Puntland HE Adde Muse Hirsi and the Chief executive of Amsas consulting Dr.Ali Abdullahi they came to the conclusion that new concession proposals will be passed to investors in the Oil and Gas sectors. The federal government and the state of Somaliland are also having contacts with Amsas Consulting on the best ways to bring investors into these sectors.

 

Amsas Consulting are experts in Project Management in the mining and upstream oil industry. We have done projects in Zambia, Zaire, and Kenya with other activities on the pipeline in Somalia and Sudan.

 

Puntland was at the center of oil explorations in the 80's when Conocco, Amoco(now PB), and Agip had concessions in Blocks 27,28,31,32, and 35.

 

According to experts in the fields of oil and gas, Somalia is going to be where the next big oilfields are possibly going to be discovered. The country has not seen any exploration since the mid to late 80's.

http://www.amsasconsulting.com/index.html

 

Dr.Ali Abdullahi M Barkadle is a Resource and Management consultant to Lundin Petroleum AB and other International organizations he is also the Chief Executive of Amsas consulting, and was a former Presidential candidate for the Federal Republic of Somalia. He can be contacted at

info@amsasconsulting.com

http://www.amsasconsulting.com/contacts.html

 

Amsas Management Consulting

Welcome, this is the Official Home page of Amsas Management Consulting, we can assist you with Public Relations, Project Management, financial Management, Research, Information Technology.

 

We can be reached on the shown details 24/7. Just try our services and you will appreciate our customer service that comes second to none

 

Australia

 

Head Office: Suite 27 144-148 Nicholson Street,Footscray, Victoria 3011 Tel:613-96879996 Fax:613-99236149

 

Hiedelberg W.:Tel 613-94577639 Fax:613-99236149

 

Mail:P.O.Box 1026 Ivanhoe, Victoria 3079, Australia.

 

email: :info@amsasconsulting.com

 

[Thankful]

Very interesting, I will keep this short and sweet GEDI HAS OKAY´D THE DEAL, do you understand that? He gave his so called approval of it, so what is the issue here? PUNTLAND GOING THROUGH WITH IT. He knew he could never stop it, Gedi when he goes to Mogadishu there are bombings and attacks, and he needs an army to protect him and must leave the same day, AND THOSE ARE HIS OWN TRIBAL PEOPLE, he cant even lead them. President Cade Muse is building a multi-million dollar airport and paying teachers saleries....lets look at what gedi has accomplished for Somalis and what President Cade has. Look regardless of what you may believe Siad isnt coming back and his place in history is secure and where he ended up.

There is no need to say anything else or, but i´ve said it once and say it again.....WE WILL SEE HOW THAT DEAL GOES THROUGH.

[indy7424]

Hi Somalipride I found this to day. It looks like PL is going forward one way or another.

 

 

www.somaliatalk.com/terry/ggbspeach.pdf

 

http://www.somaliatalk.com/

 

 

Ministers Speech

 

Good evening to all of you distinguished guests. Tonight the 30th of August 2005 we

signed a historic contract here at the Hilton Dubai between Puntland Government and

Consort. This contract, like Dr Black, just mentioned went through a lengthy 7 month

discussion between the parties, tonight is the conclusion of that hard work. The contract

is based on the exploration and exploitation of the minerals in Puntland.

 

Our country needs a lot of development and there is been a lot of speculation for quite

sometime that we have a lot of wealth in our subsoil, and because of our limitations to

research it or even dig it, we decided to give to a company that can help us develop it so

that our people can take advantage and move forward like other countries did in the past.

The people that worked to make this night possible showed us a lot of strength and

courage, they were a lot of lies said about them, not only in Somalia but also abroad. It

involved foreign countries and companies whose sole interest is to keep Puntland as a

reserve and come and develop it as they please. Consort and Dr Black are showing the rest of the world that Puntland is open for business. They saw with their own eyes that

what is on the newspapers is not the whole truth. The picture that they give about

Somalia is inaccurate, and based on their experience in Puntland, Consort is willing to

come and do business with us.

 

As the Government of Puntland we have no intention of taking anything that is not ours,

we only want to develop what belongs to Puntland.

 

I want to thank everybody who worked towards the realization of this contract, beginning

with the president, Consort people, and other dignitaries of the government.

A special thanks to Liban Bogor, who for the last six mont hs forgot about his family, and

put aside his own work to make this concession agreement something that both parties

agree on.

 

I want to tell you distinguished guests, that as of today there is a mountain of work

waiting for Consort and the government, but I am confident that we are both going to rise

to the challenge. As a government will promise all our efforts to help Consort do their

work.

 

Thank you, and now let me welcome the president to the mike.

[wind.talker]

GEDI HAS OKAY´D THE DEAL...He knew he could never stop it, Gedi when he goes to Mogadishu there are bombings and attacks, and he needs an army to protect him and must leave the same day, AND THOSE ARE HIS OWN TRIBAL PEOPLE, he cant even lead them.

Obviously, you don't understand the intricate politics of Muqdisho and southern Somalia in general. "His own tribal people" - are you a freaken caveman? You seem stuck in a past life where everything revolved around tribes. The issues in Somalia have largely surpassed that of the primitive tribal talk - its now about strategy: political and economic. The PL admin wasn't built in a day - so why would you expect PM Ghedi to build a federal Somalia in such a short time?

 

Secondly, if PM Ghedi is such an insignificant figure, why did the PL admin send a ministerial delegation just negociate for his OK? Thirdly, you seem to miss the bigger picture, read my words carefully. No one is against PL developing (believe me, not even Ghedi). But everyone wants to avoid any chance of more bloodshed amongst Somali folk - these people have fought and killed each other in the name of dead men, what do you think they'll do for millions of dollars? :confused: I think Cadde's admin is trekking over dangerous waters by going through with a deal not supported by all of PL and the federal gov't. But to you, its all about how Ghedi and "his people" don't want to see PL develop.

 

President Cade Muse is building a multi-million dollar airport and paying teachers saleries....lets look at what gedi has accomplished for Somalis

Once again, your level of ignorance on the subject is highlighted. Cadde Muuse inherited an already-established government from a previous admin. PM Ghedi has to start from scratch. How can you compare the two? And we know Cadde is building an airport and paying for salaries. Good for him. But that's not the subject at hand here. I'm criticizing one of his policies - not him.

 

Look regardless of what you may believe Siad isnt coming back and his place in history is secure and where he ended up.

Trust me, Siyad Barre's (allaha u naxaristo) place in history is printed in books and in blood. Just look at Somalia without strongman Siyad - we've been reduced to our animal insticts! Ask the Ethiopians why they fear us. Ask the average Somali citizen how important the north-south highway in Somalia is (built by strongman Siyad). No other man has done for the Somali people what Siyad did. He's human and he made regretable mistakes - but in the long run, there's only one question: What has Somalia become without Siyad? I rest my case.

 

P.S. Stick to the topic, fadlan.

[Thankful]

Just by your response and personal attacks I can tell that I hit a nerve. Let me enlighten you about a few facts. .

Siad is a great leader??? Wow, if you took a poll of most Somalis and whether he was a great leader or not, the vast majority will say he was not. Allah will judge his actions. When he took over Somalia it was already unified and during his term HE WAS DEFEATED BY THE ETHIOPIANS and The North fought a civil war and now wants to split away, because of him. (brief history lesson).

OF COURSE THE PUNTLAND ADMIN will send a delegation to explain the deal. Because we are still part of Somalia. But did you notice the deal was signed before they met with Gedi??

As you see and if anyone does research the deal is commencing. Let me tell you this, in less then a year, the PL administration has gotten a lot done, if this little thing caused this much of a stir, from what I hear there´s a whole lot more coming.

I am for all of Somalia developing and hopefully Geedi will concentration on his people in the south and get their act together.

[Sky]

Trust me, Siyad Barre's (allaha u naxaristo) place in history is printed in books and in blood. Just look at Somalia without strongman Siyad - we've been reduced to our animal insticts! Ask the Ethiopians why they fear us. Ask the average Somali citizen how important the north-south highway in Somalia is (built by strongman Siyad). No other man has done for the Somali people what Siyad did. He's human and he made regretable mistakes - but in the long run, there's only one question: What has Somalia become without Siyad? I rest my case.

Its like the pot calling the kettle black.

 

Your level of ignorance of Somali politics and history is just as low as that of Somalipride. Siad Barre didn't build those roads, foreign countries did. So Siad Barre or not, those roads would have been built in Somalia either way. And ironically it was Siad Barre who has reduced the Somali people into butchering each other on basis of clan membership. Ask yourself; What would Somalia have become without Siad Barre? I rest my case. And I wish for Siad Barre Alle ha uu naxariisto, that his misdeeds will be forgiven in the afterlife, for he was human and above all a good man who was victimised by the absolute power that he posessed for two solid decades.