Mesa Offshore Trust Announces Proposed Settlement Agreement, Including Resignation of Trustee and Appointment of Temporary Trustee Thursday December 13, 12:39 pm ET http://biz.yahoo.com/bw/071213/20071213005820.html?.v=1
Summary:
Mesa Offshore Trust operates as a trust company in the United States. Its principal assets consist of a 99.99% interest in the Mesa Offshore Royalty Partnership, which holds a net overriding royalty interest in 10 producing and nonproducing oil and gas oil and gas leases offshore Louisiana and Texas. The trust is entitled to its share of 90% of the net proceeds, realized from the sale of the hydrocarbons produced from the properties. Mesa Offshore Trust was founded in 1982 and is based in Austin, Texas.
posted
From yesterday's PR, also in the 8K. This could be big
Plaintiffs in the Lawsuit shall request the Court to appoint a successor or temporary trustee, who shall determine whether to pursue the remaining claims in the Lawsuit against Pioneer and Woodside, for the benefit of all Unitholders. The decision whether or not to pursue such claims shall be entirely within the discretion of the successor or temporary trustee.
BTW, the plaintiffs (MOSH unit holders) have been begging for them to get their own trustee for years to go after PXD and Woodside full force since JP Morgan Bank (former trustee as of yesterday) was perceived to have a conflict of interest since they have a major banking relationship with PXD. So, with that being said there is no doubt that the new trustee will pursue the case against PXD and Woodside like a pitbull!
-------------------- Men lie......Women lie........numbers don't......... Posts: 526 | From: Atlantic city | Registered: Mar 2006
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posted
A post from Yahoo on the lawsuit!! Interesting!
Lawsuit update 13-Dec-07 04:24 pm Here is a post from the plaintiff MOSH.OB message board after the news release this afternoon:
low_float Re: Good news out today for MOSH... 33 minutes ago You ask, "How much is MOSH asking for? What are the chances of a settlement? And most importantly, how much would that mean for unit holders? MOSH's damage claims are for $1.2 billion, or over $16 per Unit. Good chance for a settlement. Amount per Unit depends on negotiating skills and how much faith they have in a jury decision going their way. Some of us are trying to get a handle on a probable sedttlement range by going to this linked website and following the directions to pull off and read the key court filings.
In a court ruling just posted on the Harris Co. TX court e-clerk system, the judge ruled in favor of the plaintiffs again, as she has consistently done in her past rulings. Each time that happens as this case winds down, the price the trust unitholders should get would likely go up.
The news release today summarized where the case stands now, and it looks like the judge will approve the settlement with our co-defendant trustee, JPMorgan Chase Bank, and the new successor trustee at a hearing set for 1/14. pxd has to wonder how they can expect to win at trial, if the second biggest bank in the country opted to settle off and allow the new trustee to go after pxd in order to get around pxd/Woodside's defense that only the trustee can sue them under the original trust documents. It looks like church is about out for the surviving defendants, from where I'm sitting. The upside for MOSH.OB is huge, and the downside for pxd ranges from huge to moderate, depending on their negotiating skills. IMHO Rating : (1 Rating)Rate it: nhydro
-------------------- Men lie......Women lie........numbers don't......... Posts: 526 | From: Atlantic city | Registered: Mar 2006
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Mesa Petroleum was Boone Pickens's company. He spun off a part of the company to his shareholders. The spin off was called Mesa Offshore Trust.
The 2nd biggest bank in the country, JPMorgan, waited 2 years to settle after being named a defendant, so they gave the original defendants, pxd and Woodside, plenty of time to get the lawsuit settled. The wheels of justice turn slowly, but they turn relentlessly, and JPM could tell that mosh was positioned to win at trial. I've read the lawsuit filings, and anyone else can too by going to this website,
"In June and July 2007, Pioneer and Woodside filed motions with the Court that argued that the claims against them did not have merit as a matter of law. Pioneer's motion included an argument that the Plaintiffs do not have the legal right to sue Pioneer because the claims belonged to the Trust, not the beneficiaries of the Trust. The motions are still pending before the Court. On October 19, 2007, the Trustee offered to assign to the Plaintiffs the Trust's claims against Pioneer and Woodside. Through their counsel, the Plaintiffs and the Trustee also began negotiating a resolution of the claims pending between them, and on October 26, 2007, the Trustee and the Plaintiffs informed the Court of an agreement in principle to settle."
"Since October 26, 2007, the Trustee and the Plaintiffs have been working to document that settlement agreement, which would include as part of that settlement a plan for JPMorgan Chase to resign as Trustee and for the Plaintiffs to seek Court appointment of a substitute or temporary trustee. The Trustee also anticipates that the agreement will contain a provision for the payment by JPMorgan Chase of an amount to cover certain out-of-pocket legal expenses of the Plaintiffs and an agreement by JPMorgan Chase to continue to extend some credit to the Trust for a specified period of time in exchange for a complete release of all claims against JPMorgan Chase individually and as Trustee. The Court has temporarily stayed the case pending this final agreement. This settlement agreement, when
-------------------- Men lie......Women lie........numbers don't......... Posts: 526 | From: Atlantic city | Registered: Mar 2006
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posted
This is going to fly on Monday. Rumours of BIG money wanting some lotto tickets for the ride.
Posts: 249 | From: PA | Registered: Feb 2006
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Guys, this is what I have found and put together so far. This represents the most accurate info that I am aware of, please add anything that I have missed. Thanks.
MOSH (Mesa Offshore Trust) .20 is a massive lawsuit/settlement play against PXD (Pioneer Natural Resources Co. market cap $5.6 BILLION) and Woodside Energy (Australian oil and gas giant with a market cap of $30 BILLION USD). MOSH unit holders are asking for $1.2 BILLION in damages from PXD and Woodside Energy for allegedly fleecing, neglecting, and basically trying to kill the trust to gain control of the trust's assets and interests. MOSH is an oil and gas trust, so any settlement win would be distributed directly to unit holders!
Great news out Thursday for MOSH, JPMorgan Chase Bank (the current trustee) agreed to let MOSH unit holders name a new trustee, pay MOSH's legal expenses, and give them a $3M line of credit... this opens the door for MOSH to go after PXD and Woodside Energy. This move by JPMorgan Chase Bank basically throws PXD and Woodside Energy under the bus and clears the way for MOSH unit holders to aggressively pursue a settlement or trial for damages. PXD and Woodside's main defense was that MOSH unit holders (trust beneficiaries) could not sue them, only the trustee could sue... well guess what? MOSH unit holders now have a trustee of their choosing since JPMorgan Chase Bank is turning over the trusteeship to MOSH unit holders
MOSH could be the mother of all settlement plays IMO and everything seems to be pointing towards a MOSH victory. Check out the MOSH and PXD yahoo boards as well as the IHUB board
MOSH has only 72M shares/units outstanding... * .20 that is only a $14M market cap. If MOSH got the entire $1.2 BILLION, that would be nearly $17 a share/unit. Now if they were to settle for just $300M, that would still be $4.25 a share/unit! And once again, this is a trust... they have to distribute this cash to holders... and better yet, the distribution is taxed like a dividend * only 15%
The next hearing is set for January 14, 2008 to name a new MOSH unit holder selected trustee... and from there I would expect a trial date to be set rapidly, and then a settlement could come at any time if PXD and Woodside want to avoid trial. At trial Woodside Energy and PXD are risking losing the $1.2B and punitive damges on top of that.
posted
Actually Ill prob play real quick just for the momo and pull out ASAP...I really dont think the settlement would pay out to current shareholders, I think its to pay back shareholders of the past.
-------------------- Disclaimer: Not accountable for anything I say Posts: 6266 | Registered: Jun 2004
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quote:Originally posted by stocktrader22: I'm buying at open tomorrow...will sell later to cover my principle and let the rest ride for a miracle...dont trust anything after CSHD.
I agree...You can't trust any penny stock these days!
What's been working for me is throwing $300-$500 at anything with decent trade volume on the top percent gainers at microcaptrade! If it doesn't go like I expected, I sell quickly! I try to come close to break even as possible.
You only need to be right on one stock a day to make money! I used to put more money than $300 at a time, trying to guess which one is the hot stock of the day, but this way has been more consistant for me. If you diversify long term on Big Boards...it makes to do the same during the day, daytrading penny stocks...split your money up during the day between the top 3 candidates for that day...and you might be lucky enough to grab the few hundred percent gainer that day ....the risk reward is sweet! Posts: 2321 | Registered: Aug 2006
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quote:Originally posted by stocktrader22: scottrade was down...missed it...i hate scottrade.
Heard that, I have been gradually pulling money from Scottie and dumping it into my Choicetrade account...Might be time to consider another option for my secondary account...You still rolling with Prodigy trading Ace???If so, how they treating ya???
Posts: 2383 | Registered: Apr 2006
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quote:Originally posted by stocktrader22: scottrade was down...missed it...i hate scottrade.
Heard that, I have been gradually pulling money from Scottie and dumping it into my Choicetrade account...Might be time to consider another option for my secondary account...You still rolling with Prodigy trading Ace???If so, how they treating ya???
Yeah prodigy is awesome!
Posts: 2321 | Registered: Aug 2006
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posted
Would anyone have an idea on how much a royalty each unit/share would recieve per month?
Posts: 14 | From: madison,wi | Registered: Feb 2005
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In reply to: None Date:1/6/2008 11:20:19 AM Post #of 113688
MOSH-reasons why this could be the play of a lifetime..
MOSH (Mesa Offshore Trust) .20 is a massive lawsuit/settlement play against PXD (Pioneer Natural Resources Co. market cap $5.6 BILLION) and Woodside Energy (Australian oil and gas giant with a market cap of $30 BILLION USD). MOSH unit holders are asking for $1.2 BILLION in damages from PXD and Woodside Energy for allegedly fleecing, neglecting, and basically trying to kill the trust to gain control of the trust's assets and interests. MOSH is an oil and gas trust, so any settlement win would be distributed directly to unit holders!
Great news out Thursday for MOSH, JPMorgan Chase Bank (the current trustee) agreed to let MOSH unit holders name a new trustee, pay MOSH's legal expenses, and give them a $3M line of credit... this opens the door for MOSH to go after PXD and Woodside Energy. This move by JPMorgan Chase Bank basically throws PXD and Woodside Energy under the bus and clears the way for MOSH unit holders to aggressively pursue a settlement or trial for damages. PXD and Woodside's main defense was that MOSH unit holders (trust beneficiaries) could not sue them, only the trustee could sue... well guess what? MOSH unit holders now have a trustee of their choosing since JPMorgan Chase Bank is turning over the trusteeship to MOSH unit holders
MOSH could be the mother of all settlement plays IMO and everything seems to be pointing towards a MOSH victory. Check out the MOSH and PXD yahoo boards as well as the IHUB board
MOSH has only 72M shares/units outstanding... * .20 that is only a $14M market cap. If MOSH got the entire $1.2 BILLION, that would be nearly $17 a share/unit. Now if they were to settle for just $300M, that would still be $4.25 a share/unit! And once again, this is a trust... they have to distribute this cash to holders... and better yet, the distribution is taxed like a dividend * only 15%
The next hearing is set for January 14, 2008 to name a new MOSH unit holder selected trustee... and from there I would expect a trial date to be set rapidly, and then a settlement could come at any time if PXD and Woodside want to avoid trial. At trial Woodside Energy and PXD are risking losing the $1.2B and punitive damges on top of that.
$220,595/month from West Delta + est. $270,000/month from Hydro Nimitz = $490,595/month or $1,471,785/quarter or .021/quarter distribution/divy per unit/share or .088/year distribution. That is a 33.2% divy at the current pps... not too shabby IMO.
Keep in mind, these figures DO NOT include the Midway discovery well (the subject of the lawsuit with PXD and Woodside). The Midway well was estimated to have 100 BILLION cubic feet of gas by Woodside or $800,000,000 worth of natural gas at current prices in that one well alone. If MOSH plaintiff's win, then MOSH will get back their 50% interest in this well due to the illegal farmout. There are two additional wells to be drilled near the Midway discovery well on the Brazos A39 block, so were are talking about Billions of dollars worth of natural gas.
Also, the above figures do not include the additional wells to be drilled near the Hydro Nimitz well or the additional wells to be drilled by the West Delta wells.
Most importantly, none of this takes into consideration the potential for a simply massive, lump sum, distribution based on a lawsuit judgement or settlement. Plaintiffs are asking for $1.2 Billion and if this goes to trial, that could be tripled when you add on punitive damages. If MOSH receives the damages they are asking for through a settlement or judgement, the cash distribution would be in the range of $12-$15 per unit/share after expenses.
So many ways to win big, very big here IMO.
Up again today. Hoping to break .3.
-------------------- Be kind, just learning! Posts: 130 | From: CA | Registered: Oct 2007
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posted
Am I the only one watching this?? 50% gain in three trading days with huge news due out and a great chart. I've already taken decent profits and it doesn't show signs of slowing. I see this thing going at least to .4 IMO. Anyone else??
-------------------- Be kind, just learning! Posts: 130 | From: CA | Registered: Oct 2007
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posted
Now up 100% from four days ago at .40. This is the next resistance point. If it passes .4, it could run into the .60s, if anyone's interested.
Posts: 130 | From: CA | Registered: Oct 2007
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If it doesn't go like I expected, I sell quickly! I try to come close to break even as possible. ![[Confused]](confused.gif)
but this way has been more consistant for me. ![[Cool]](cool.gif)
