Sorry...... to answer the question, by this time next year we could have both wells drilled and almost in production, if this is planned out correctly. Regards takeover offers.......I would be dissapointed with 10p if we get the results !
So clearly that's rather subjective but lets use the lower end of predictions to keep all happy. So with both N2 and N3 successful we could expect to book 1P reserves of between 300 to 500 bcf, but more impressive would be the 2P reserves figure of circa 1.5TCF. Now when we sold Kiliwani to Solo we gained a price of $1.3m per 1bcf. So just using the 1P figure we would be worth $390 - $650m. Those figures would just be valuing the 1P reserves on the lower amount Solo paid. There is huge upside possible on both flow rates and reserves but also a good deal of risk as drilling is never straight forward. The income we could gain from Ntorya would be also very impressive with N1,2&3 online we could expect to earn around $4m per month pure profit.
I'm still working on these figures so will get back to you with some more accurate values. Meanwhile I'm sure others will have plenty to add.
I don't think there's any question that there will be plenty of demand for our gas. Demand is growing by the day both for power and industrial use. We've shown we can get gas to market and the demand was there. The big upside for use now is proving our gas exists in huge volumes at Ntorya. By drilling N2 it will allow us to begin production infrastructure with a spur line being built to the main pipeline or to industry at Mtwara, both will require supply. However, by drilling N2 and N3 successfully we will bring a huge amount of resources into reserves category. That should increase our MC to 10 times todays values, at least, and bring about some takeover offers !!
The daily news article mentions construction of new 220/33Kv stations at Madaba and Songea (power stations?), the Tanzaniainvest article mentions that Kinyerezi II project is one of four gas fired power plants meant to add over 1000 mw to the national grid.....are Madaba and Songea part of these four? or are they substations?????
Datafeed and UK data supplied by NBTrader and Digital Look.
While London South East do their best to maintain the high quality of the information displayed on this site,
we cannot be held responsible for any loss due to incorrect information found here. All information is provided free of charge, 'as-is', and you use it at your own risk.
The contents of all 'Chat' messages should not be construed as advice and represent the opinions of the authors, not those of London South East Limited, or its affiliates.
London South East does not authorise or approve this content, and reserves the right to remove items at its discretion.