MOG is sinking fast!

Oil rig and FPSO. MOG wanted to build these beautiful objects 3.5 miles from the Abruzzo coast. Shame on you!


This is hilarious - the people at Mediterranean Oil and Gas can't do simple math!

Back in June 2010, the Italian government passed a law, according to which ALL and ANY oil rig planned within 5 miles from shore, all around Italy, will not be allowed. The ban increases to 12 miles, in the proximity of Coastal or Marine parks.

MOG wants to drill their Ombrina Mare rig off the coast of Abruzzo, complete with an FPSO, an oil processing and storage ship, about 5 kilometers from shore with a mini-desulfurization facility on top of it. The area is close to the Parco Nazionale della costa Teatina and well within the 12 and 5 mile border designated by the law.

The law was passed in the aftermath of the Gulf of Mexico disaster, but also thanks to Italians protesting their government to better protect our waters.

Despite all this, MOG doesn't seem to understand and keeps thinking they can still get away with it. Maybe I have to tell them:

Dear sirs at MOG: 5 miles = 8 kilometers, and that is larger than the 5 kilometers of your oil rigs!
It is crystal clear.

What part of YOUR DRILLING IS ILLEGAL do you not understand?

The people of Abruzzo have spoken, protested and forced their politicians to say no. To this day noone supports the drilling of Ombrina Mare, except those who have vested interests in its construction.

So what business does MOG have, a British company, to still push their agenda?

GIVE IT UP - WE DON'T WANT YOU HERE!
COUNT YOUR LOSSES AND GO SOMEWHERE ELSE!

I know what their problem is, they are about to go bankrupt!

Today an article by Andre Lamberti, in Proactive Investors UK states that MOG is considering a "sale of the company" or the "divestment of certain assets", as suggested by their CIBC consultants, who obviously have no knowledge of Abruzzo, nor do they care.

To them, it is just about money, assets, speculation, drilling, a far away land on a map. To us, it is the beach we go to in the summertime, where the memories of our youth are and that we want to give to the next generation - oil rig free - thank you very much.

According to the same article, the ban has "materially impaired" MOG's ability to raise further funds required to develop its assets, as well as to meet working capital requirements.

They also are asking their loan repayments to be extended past the deadline of September 2011.

In other words: we are driving them bankrupt! They thought they could come here and do as they pleased? You obviously do not know who you are dealing with, sirs!

They continue:

“Negotiations with potential investors are on-going and the company is hopeful that one of the current opportunities will resolve the company's financial position satisfactorily. There can be no certainty that these discussions will result in a satisfactory outcome".

They know it too that they cannot win.

"The company intends to challenge any assessment that the Decree is applicable to Ombrina Mare"

Yeah right - who do you think you are kidding - you are penniless!

Dear Mr. Investor, do the right thing - take your money and run - it is good for your conscience, it is good for your wallet.

MOG is almost broke!

The news we have all been waiting for is finally here. Mediterranean Oil and Gas is counting its pennies!

The Abruzzo people recall the CEO Sergio Morandi going on TV in April 2010 telling us that they were going to start drilling in June. Instead, the hundreds of letters of opposition to the Ministry, the Gulf of Mexico oil spill, our protests and Ms. Prestigiacomo's ban on offshore drilling have stopped all of Morandi's grandiose dreams of turning a small oil company into a medium sized one, as MOG boasts on their internal documents and website.

On Spetember 30 2010 indeed MOG announced that it may

seek a sale of assets or the company if funding dries up in the wake of Italy's ban on near-shore drilling.

This is nice talk to tell their investors they are bankrupt and need to sell. This is also nice talk to say the people won, because the ban was imposed not only in response to the oil spill, but also because of so many protests, marches, letters, and communities rising in Abruzzo and Italy against offshore drilling so close to coast.

MOG lost about 5 million euros in six months, compared to 2.5 million in all of 2009.
Their revenue is halved. They claim their reserves from Ombrina Mare are double what they previously estimated but this is a moot point. Why?

BECAUSE WE WILL NOT ALLOW DRILLING OUR WATERS, WHETHER IT IS MOG PETROCELTIC OR ANY OIL COMPANY.

JUST LEAVE US ALONE!

Of course the chairman Michael Bonte-Friedheim is trying to gloss over the truth: he says that

the Italian decree in June banning exploration and production within five miles of the coast had resulted in uncertainty around development of the Ombrina Mare oil and gas field, the group's principal asset.

Sirs, it is not "uncertain", it is ILLEGAL. Do you understand what this means? You can't do it without breaking the law.

The press reports that MOG is experiencing a material adverse effect on its ability to access further funding. Of course, who would want to put their money into an outlawed operation that is also hated by virtually all local residents?

Who would be so foolish Mr. Morandi, Mr Bonte-Friedheim?

Come on, you certainly don't think that people are that stupid! I bet that you yourselves would not invest in such a loosing endeavor!

Count your losses and leave. We don't want you here. Thank you very much - now just disappear.