A Letter to the Stockholders and Friends of Eden Energy Corp
The Eden Energy stock chart of the last 8 years displays the catastrophic history of an oil exploration company once valued at over $200m, but now, as of this writing, is valued at $200k. The Eden management lost $52,000,000 of stockholders money through dry wildcat holes and perhaps, more than a few questionable decisions. The stock has collapsed 7000 fold from the split adjusted high, ($8.45 nominally) on 1st August 2005 of $211.25 to the recent 3 cents per share, a 99.76% decline. Our 5000 shareholders have been rolled back 25 times and they hold no hope whatsoever for the future of their investment.
As the new CEO, appointed on 21st August 2012, I am planning for the stock to perform somewhat better than this. Via a Promissory Note due to be settled on or before 3rd August 2013, I have acquired 52% of the stock from Don Sharpe, and have negotiated to acquire an additional 18.9% from the ex-directors Bill MacDonald, the current SEC Attorney, and Sean Dickinson, the ex-CFO and Larry Kellison, the ex-geologist. These deals, have not been closed, and have been delayed for a number of reasons, including the raising of investment finance to take the company forward. If these funds are not raised in time, and no extension is agreed with Don Sharpe, the 52% controlling stock will revert back to him, and thereupon I will resign appointing him as CEO in my place. When I took over the company last year, it was on a “no guarantee” basis, consequently, in not concluding these stock acquisitions by early August, I will be able to walk away with no liability, and Don Sharpe will then have to assume management of the company.
Currently, the company is not in good standing, as a consequence of not keeping up to date with audited filings. Primarily, this has been due to the lack of funds, and therefore our inability to pay our accountants, attorneys, the stock transfer agent and other suppliers. All the documentation for the company is in storage and to save money we do not have a corporate office location, in Vancouver.
Subject to my raising the necessary funding, my plans for Eden Energy are to return to Nevada and wildcat the Great Basin for oil. I have been negotiating for leases for which we are in the vicinity of the Noah Project that was previously explored by the company.
With respect of the share structure, I have no plans to sell any of my stock and for the foreseeable future I plan to neither issue more stock, nor options nor warrants, I will keep the issued and outstanding at 6,629,528 until further notice.
For nearly 7 years, I have been in contact with Don Sharpe and Eden Energy as I was sold on the original vision of the company of finding a substantial oil field in Nevada. And over this period I had tried on numerous occasions to negotiate deals to get an exposure to this oil play even after it was announced that Fasken Oil and Ranch was to be the JV partner on the Noah project. I met with Don Sharpe in London, and several times here in Vancouver, but we never managed to find a deal with which we would both be satisfied. I waited a few years and that wait was eventually rewarded with my acquiring his stock and control of the company, on 21st August 2012.
I am hoping with the fund raising to have enough money to purchase and wildcat our own Nevada leases, and return to the original vision for the company.
We will then be relocating to new offices, and after it has been rebuilt I will use this web site to communicate with stockholders and friends of Eden Energy Corp to update all new developments, including announcing an AGM in late Summer of 2013. In the meantime, I thank you for your patience and request that you only call the office for both urgent and important issues until we are fully staffed and operational.
All Eden Energy news and developments will be posted on this web site in the future, so please keep visiting us.
My Best Regards to you all,
Anthony Allenby CEO
Eden Energy Corporation
Contact Tel: 604-568-4700
All the usual disclaimers apply