Roundtable Discussion; The Future of Mineral Sands. Watch the video here.
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Someone else besides me is indicating they may have had the nod - "(Alliance News) - Aminex PLC on Tuesday said it has heard positive noises from Tanzania over projects held in the country.
Aminex back in July 2018 signed a farm-out agreement for the Ntorya gas project with Zubari Corp LLC. Ntorya is covered by the Ruvuma production sharing contract.
In exchange for 50% of the Ruvuma contract, ARA Petroleum Ltd, who Zubair assigned its interest in the farm-out to, will become operator.
Confirmation of the farm-out from Tanzania has still not yet occurred, but Aminex on Tuesday said there are "positive indications" coming from the country."
All beginning to look very promising
Regarding the perfectly reasonable speculation that today’s RNS may be a pump before a raise (CrustyPete and dunderhead), the following information should help. According to the Half Year Report:
Page 22 - “Cash at bank and in hand” as at 30 June 2019 was $2.028million”.
Page 2 - “we are pleased to report a reduction of 20% in the current half year costs from those incurred in the corresponding period in 2018 with further cost reductions expected as the changes made unwind through the remainder of 2019.”
Page 4 - "the Group’s gross administrative expenses for the period under review were US$2.05 million, a reduction of approximately 20% from the gross administrative expenses of US$2.54 million for the six months ended 30 June 2018. The reduction reflects the initial phase of cost savings which have continued into the second half of the year. Management has continued to maintain strict expenditure controls and, where possible, to reduce overhead costs".
Page 6 - "On 24 September 2019, Aminex and ARA entered into a binding heads of terms whereby ARA has agreed to provide a US$3 million advance in instalments to the Company, prior to the Completion of the Farm-Out".
Page 6 - "Based on the binding head of terms for the advance, the Directors concluded that the Group would have sufficient resources to continue as a going concern and meet its obligations as and when they fall due for a period of not less than 12 months from the date of approval of the condensed consolidated financial statements".
So, based upon the information above, I’d estimate that the $2.028m of cash at bank and in hand would be exhausted by about now based upon the administrative costs burn rate and we must be starting, or just about to start, to use the $3m by installments. All other things being equal, that should keep us going until around the end September this year.
By then of course we should have completed the farmout (resulting in a further $2m cash) and hopefully the tax dispute will be resolved (resulting in a further ~$3m net to Aminex). So, it doesn’t look like we would need a raise to keep the lights on IMHO.
I know that ttrime... I've been here years myself.
But NT3/Chikumba or whatever you want to call it was supposed to be done years ago... not months - YEARS!
Remedial works/ progress has been going on for 2 YEARS now....
We've had placings which were to "speed up and fast track" goings on in Tanz.... since then - absolutely NOTHING has happened except more delays and waiting...
Meanwhile what are we actually paying a team or directors and advisors for? what do they actually do 40 hours per week? Just sit there waiting for the Tanz gov?
It's ridiculous however you look at it
As positive as people are trying to be about this, there is actually nothing of substance in this RNS.
Every bullet point ( as usual ) is 'awaiting confirmation, under review, making good progress' etc....
The comments regarding comments in the media being positive are just laughable...
For years now we have been awaiting signing off from Tanz and RNS like this have just become the norm
Looks positive to me and I particularly like this bit "A meeting has been scheduled and we hope to be in a position to update shareholders soon" Although this is reference the Kiliwani receivables, (which would be great to get in the bank), it wouldn't surprise me to find meetings taking place over the other PSA & licence issues while we have representatives are in country. I find it interesting that they speak of awaiting "formal approval" on three occasions and although they have the same access to press rumours that we do, I get the feeling that they may well have received an in-formal nod! GLA
I wonder why AEX/ARA decided to move the contingent elements of the 2020 work programme into the firm budget, and i'm thinking that this was part of the final Ruvuma PSA (work commitments) negotiations to secure the licence.
my brackets
"APT and Aminex have agreed, (subject to the requirements of the Ruvuma PSA) and Joint Operating Agreement ("JOA"), that upon completion of the Farm-Out and the transfer of operatorship to APT, to request approval from the Joint Venture and the Tanzanian authorities to move the contingent elements of the previously approved 2020 Work Programme and Budget into the firm budget for the year"
With all due respect there is not much in the rns that people did not know. Where is the real progress?
CP you are of course very correct. I didn't dare mention that issue as would have got accused of de ramping "good" news.
Let's hope this kick in the bottom / political carrot is a pre cursor to Government moves so AEX don't need the begging bowl again.
Best of luck all and as ever all imho.
Interesting indeed dunder; a cynic with a long memory might infer that it suggests a "pump" ahead of a fund raise.... ;0)
How much of APT's "advance" still remains in the bank account? How much longer before the license extension? Maybe AEX running out of patience or, more poignantly, cash flow.....?
A nice flurry of buys giving support to the RNS, would be nice to see 10% today.
dunder the official news is slow and hard to come by, so I look for and post news that I find in the press. It normally gives a good indication of the direction and what's happening. Surprised they did not wait another week or so to see if the draft PSA lands on their desk. I was expecting any RNS to include this.
Something else to look forward to soon if the press is correct I suppose.
Crusty. You had the patience of an angel buddy.
Imho, very interesting rns today especially in how it has been written.
It could be Buffett loading up.
Indeed dunder, indeed. And yet I was the evil purveyor of lies and misinformation... how how different things look when viewed through the rear view mirror eh?
For crying out loud CP where is this detail validated by senior govt rns?
They should have the PSA terms by the end of the month according to this article earlier this month.
"The PSA report was completed early Jan and companies should receive the text by the end of the month!
https://www.ippmedia.com/en/features/tanzania’s-natural-gas-sector-%C2%A0elusive-economic-game-changer
Well blackgold, that was one of the other very interesting points. To me, the message was clear. After the farmout, Aminex and APT will hold a 75% interest and under the terms of the JOA, they will be able to push ahead with plans...they don't need approval from Solo. My interpretation of that is that Solo are not ready to move at the speed that Aminex and APT want to and they are not planning to wait for them. Solo will need to make sure they have their $10.36m ready to go, otherwise they risk defaulting on the agreement. By the way, that is not a situation that I am wishing on Solo or their shareholders. Just how I interpret it
Tend to agree Sambo, particularly pleased to see the oustanding royalty issue is still in play and the language around this seems more positive than i can recall. Although as this goes back so far that's not saying much..! GLA
Apologies last message from me directed to CP!!
I'd go by what was in the RNs which gas obviously been written in full co-operation with APT and u think they "may" have mentioned it lol!! As I say a very very dwerky remark but no problem.
I am surprised at the "strength" of the message in what was released.
As ever all imho and dyor.
yes maybe Ufufuo, bot i'm wondering if Aminex has been in comunaca with Solo?
"The intention would be for the seismic acquisition to form part of the immediate work programme and no longer be contingent upon the award of a Ntorya Development Licence. Under the terms of the JOA, approval from two parties holding at least a 65% participating interest in the licence will be required to move those elements into the firm budget."
Just trying to tie it back to what has been reported in the Tanzanian press dunder, although it was unclear if it was by the end of this month or last.
Peking, I believe we will get a tsunami of positive news and updates once the govt to press the button.. I’m pleased with the update. Good that all parties remain positive. A bit longer to wait, but the important phrase is “when” not if .. ! GLA
Crusty FGS man please NOT the list!!
Good to see vindication of the many hours of your time wasted "back then" lol.
If everything that is 'due soon', 'imminent', 'awaiting approval' and 'is just around the corner' happens in the same week our PR company will go into meltdown... !