i posted earlier what it said was in the bank in oct. that is what i was saying at the time $17mill in may and only $8mill left in oct. massive cash burn for what work was done. if vog had the money you say they would have bought the processing plant when foo said he planned to, 6 months ago.
You are forgetting revenue. Grims is not the only income.
Revenue to May 2014 was $14.7m on sales of 3.2mmscfd.
Now have 4.2mmscfd, so without any more sales (Dangote, Bonaberi, 10MW in March maybe) VOG will be generating approximately 4.2/3.2 x 14.7 = $19.3m in revenue to May 2015.
When you put that c.$20m with the cost of sales of c. $11m I think you will find that the "burn rate" you mention is almost non-existent, particularly when you look at Note 16 which shows (at cost) the transfer of $8,826,000 to Plant and Equipment - basically pipelaying costs (so other than pipelaying our cost of sales, exluding royalties and sales costs, is $3m a year!!).
Not much burn there.
Now we have also outsourced pipelaying so those costs will no doubt be reduced.
The only thing preventing us being Group profitable NOW IMHO is the major expense of the lawsuit in Kazakhstan of which we paid £3million to May 2014. Without those expenses we would be profitable now.
This company is paying for itself currently with money in the bank, more to come AND the ability to raise debt in a sizable amount in the not too distant future leveraging future cashflows from a massive PE company; debt is cheaper than equity let's not forget so VOG should and will leverage up to ensure EPS growth.
Had a paper loss on a few hundred quid up to Ssummer of last year but now putting 000's into this in my Stocks and Shares ISA to be joining you in the sun in 2020; Cameroon needs 3000MW of power according to some forecasts by 2020.
50MW to VOG in March is 1/60 of that (granted Hydro will provide a lot of the power).
Enough of a slice for Bowleven and GDC - i have no doubt that Actis will want more than one supplier of gas regardless....however we are first mover and so the more pipe we can get down the better!!!
Think people should say to hell with the past and just be excited about 2015 and beyond.
Oh and f*ck China......Afriiiica is the new frontier
Here is my view to Vog’s cash position. In the latest annual report to May said they had $17millions, add on Rsm’s cash $10m makes $27m. Logbaba is self funding but there may have been a couple or $3m for back office costs so cash may be $24m now??? There is a loan but that does not need to be paid back yet. Rsm may owe at most $7millions for 2014??? But we are looking at a cash position of around $30millions. Anyone disagree??? Lol
Well after operating costs they have $15mill profit , plus grimms cash $6plus mill , plus working cash , total $25mill then when they bill Grimm again about $10mill . thats why I sleep at night voger , VOG is in good hands , GL
dear me jim would you like to show us your working out how you get to this silly $25mill in the bank? i have shown you mine, now post your. yes grimm does still need to pay his cash call from feb last year, around $12mill i would say. but when will he pay it, that is the question.
Mr Jim, like you say Dangote do prefer gas for it's enviromental & reliability, however I do find it strange that Vog have not announced a Gsa to supply Dangote!! So for that reason I caution having near term expectations that Dangote will pull away from the dark side.
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