Mr Jim, I do not think Rsm will be paying anything like that amount as they have already paid $20m!!,
Drilling costs are recouped via gas sales so unless Vog have spent a massive $100m on infrastructure, which they have not, then Vog will be getting a lot less. Furthermore if Rsm have been paying this years cash calls then the only dispute is over the initial $26m, of which they have paid the majority and wanted an audit for the whole of it ,so Vog may not get very much if the audit finds some discrepencies!
B I too am concerned about cash. However I assume that in the next 12 months :
1. Dangote ( 1.2 scuf - couldbe more) 2. say 5 Thermals ( 1 + scuf) 3. half of the 10 scufs for the grid Total 7 + more scufs
That certainly should ensure ongoing profits and cash generation. I dont think it will be enough to cover expensive new drilling......but VOG should be able to borrow more on future cash generation. As JimV notes - chunky cash also due from JG. You could be right about need to raise more finance. However if it is a "short bridge" to another 5 scufs for the grid, it would be surprising if VOG was not then in a position to borrow most rather than dilute. mel
voger Not burying my head in the sand but investing in a company that is performing very well , (not day trading) , no bad news today and it stopped the SP dipping with a little increase , also let some buy in before coinsolidation or sell before , most had thought the pipeline test would have been ok but the rns just rubber stamped it , also most would have thought it wouldnt have made the SP just high , pretty well factored in , it`s that 4.3 bill i want to see sorted out 109 mill will be far better for VOG . then I can see a steady rise .
I undertand why VOG isn't performing according to the Newtonian Universe. For the same reason my sleigh can fly pulled by celestial reindeer and that I can wriggle down every chimney in Christendom without getting sooty and blackened. It's all absolutely potty my friend. That's why I breed reindeer and not bother with blessed shares. P.S. Thank you for the pies and sherry, much better than what the Vicar left me last time.
steny No not saying that , the heading was right but it was saying they have just got to test the pipeline , but todays news (RNS) said testing is now complete , the news link was good but we have past that stage hense news today .
What concerns me about VOG is they appear to be running out of cash.
The money they got from GRIMM and the loan at the beginning of the year appears to have been spent on the river crossing and the connection to Dangote.
Which is all well and good but the river crossing is only going to increase customer connections by 3 and they won't be using huge amounts of gas and there are no immediate plans to expand the main pipe line to reach the 10 (alleged) further gas customers with contracts signed.
With the exception of Dangote I am unable to find any further customers due for connection in the main Douala industrial area that has the potential to increase revenue.
VOG do appear on the surface to be make progress with supplying the grid with gas.
If VOG can pull this off then all well and good but this will take time before the revenue starts rolling in.
But where are they going to get the money from to finance it because they are only just breaking even at the moment.
My view is that there may well be a share dilution towards the end of next year to fund further projects including the drilling of two further wells.
I hope I am proved wrong but I wouldn't trust FOO although I am invested in his company for my sins.
Dear Father Christmas, Please can you help me understand why progress does not equal an upward shareprice trend ? We have gas and we have pipes, we have a portacabin and a computer, we have an executive stress toy (a brick), and a photo of George Soros and we've got Beri Beri. Also Damngoat and plenty customers and some power station talks. Hope you like the sherry and the mince pies.
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.