UK 17:13 Friday, 23 October 2026
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Disclosure: I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from ShareProphets). I have no business relationship with any company whose stock is mentioned in this article.
It is now more than three weeks since I passed to Green Dragon Gas (GDG) a dossier showing environmental wreckage in the US and bloodied Chinese villagers. The dossier was prepared by a former trade partner. I made it clear that I would publish a rebuttal in full. Despite promises to the contrary I have received no such rebuttal. But that is not as pressing as the cash issue and a potential $50 million black hole which could sink Green within weeks.
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Comments
Mark
I really think you are allowing yourself to be duped by whoever compiled that ‘dossier’. It looks like propaganda material of an aggrieved party or the environmentalist lobby.
Also you are taking the side of ConocoPhillips because it suits your position, not based on the merits or otherwise of the appeal. The arbitration award was made without consideration for the fact that Green Dragon’s production sharing contracts were confirmed by the Chinese government. Given that, Green Dragon have a very good chance of winning their appeal or having the award reduced. Either way, the company is in the process of disposing of non-core assets which should more than cover the cost of the award if it is upheld. Green Dragon also has other assets it can dispose of, and is likely to be heftily compensated for recent illegal drilling of 1500 wells by 3rd parties on its properties. This activity is estimated to have cost $500m. So the company’s actual cash position is not as grim you are painting it.
As regards the email from Conoco that you have seen (which I presume is a response to an email that you or a colleague sent) what else would you expect them to say?At any rate, it sounds less than confident to me.
For the record, I am not invested in Green Dragon.
Tom Winnifrith
Mark
I am not taking sides on Conoco. I merely state that if GDG wins its financial position is piss poor, if it loses it is game over.
As to the dossier – the company has now promised a rebuttal & had 3 weeks to deliver it. Some of the claims are very easily verifiable. I know exactly who put it together & they are credible. If the claims are easily rebuttal why does Green Dragon just not do that?
Tom
Mark
I have to say, I don’t agree. You are essentially saying that an award of $50m will finish a company that has cash on hand of $20m and net assets of $635m. That’s nonsense. I think that it’s the fact that Green Dragon haven’t responded to an anonymous dossier, the contents of which mostly has nothing to do with them, is causing you to go to war against them. By all means bash the PR people who have fobbed you off, but looking for reasons to bash the company because of it is pretty lame. How come you didn’t write today’s post back in July when the award was made, or the months that followed? Anyway, tick tock as you say.
Tom Winnifrith
Mark
a) the assets are not necessarily realisable. cash was only 20m at June 30th and is clearly much lower now. If GDG has to fork out 50m it has a problemo – cash mate look at the cash.
Not responding? well the PR bloke said “I am sure we can answer it all. Then we will get back to you with answers. But he has not. If I ran a company that stood accused of all of this I would issue a rebuttal…if I could.
In July I was not aware of this story. I’d never heard of GDG. I got the dossier early Oct but am now on the case….
t