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Tullow are in financial trouble.
I am certain (not 100%) that they would have talked to Tullow for obvious Irish reasons, but there are other big players. If we got the shallow licence back then they would all be wanting in for reduced drill costs.
Upon ratification they need to update shareholders on the way forward and timescales and any developments.....then you will have a new batch of investors at higher share price. Am very interested to know who these majors are in which they have talked with.....a big name then 15p+ is very possible short to medium term.
Freeshare I get it but we are talking about a block in a proven area in the Tano basin, a sweet spot in Ghana. Multi-billion potential that is the difference. Exploration Drilling could start this year.
Bridges you are comparing 20,000 bopd to none....
Cash to non upon ratification that is.....
Anyhow I would be more than happy with 80-100m cap.....I think any more would need further added value.
Fingers a good summary, as per usual and a good indication of the potential value in Clon. I also like to draw comparisons with RockRose energy which is a is an emerging junior oil and gas company with a MC of c. 250M producing 20,000 boepd compared to Clon MC 8m. With a potential to produce much much more. IMHO on ratification of our original Tano 2a block and potentially a further block the MC should be between 200 and 300 M. 25- 35p with current shares. GLA
Yes, agree, Fingersandtoes,.......as you say, CLON directors have the options, here at CLON,,.....I have always thought, PET Billionaires, could be interested in Ghana (PET already have 30% of Tano),........guess we will soon find out.
BW
Could be very exciting over the coming days and weeks. Ghana's Parliament opens on Tuesday 28th Jan. On Dec 23rd 2019 the motions were put forward regarding amendments to the TANO licences. The ones we are interested in are below. It is interesting that CLON directors chose CLON rather than PET to take options in - probably due to CLON's 60% ownership of the licences.
i) Report of the Amendments to the Petroleum Agreement as Amended among the Government of the Republic of Ghana, Ghana National Petroleum Corporation (GNPC), GNPC Exploration and Production Company Limited and AGM Petroleum Ghana Limited in respect of South Deepwater Tano Contract Area dated 10th September, 2013. on the Amendments to the Petroleum Agreement as Amended among the Government of the Republic of Ghana, Ghana National Petroleum Corporation (GNPC), and AKER Energy Ghana Limited (formerly Ameralda Hess Ghana Limited) in respect of Deepwater Tano/Cape Three Points Contract Area Offshsore Republic of Ghana dated 8th February, 2006.
ii Amendments to the Petroleum Agreement as Amended among the Government of the Republic of Ghana, Ghana National Petroleum Corporation (GNPC), GNPC Exploration and Production Company Limited and AGM Petroleum Ghana Limited in respect of South Deepwater Tano Contract Area dated 10th September, 2013.
https://www.parliament.gh/epanel/docs/pb/ORD.%20PAPER-23%20December%2019%20(Mon).pdf#viewer.action=download
Just for clarification in terms of profit to Clon if we get our licence ratified - if we assume 1B Barrels
PMO recently farmed in to 88E Alaska field (where they assume at least if not more than 1BB) where they will fund the well drill to $25M and they have taken 70% of the well for that, leaving 88E with 30%. If we assume our licence will have 1BB and collectively (CLON, PET and the other partner totalling 100% currently) have to give away 80% of the licence to a farm out (as Clon says it could cost $30-40M to drill the well - so a bit more that 88e's well by PMO) then we will have collectively 20% remaining i.e. 200MB. If CLONs share of that is 60% then we would have 120MB. If we have a profit of $20 per barrel (with oil at current $55/b) then we would have a profit of c$2,400M. Cl says that the field could be multi Billion Barrel - so even better.
As we have the PET billionaires owning 30% (if they sort out the court issues in PET) they may decide to fund the well so as to achieve a bigger share of the profits - if they wanted to go down this route then it would be best for them to own 90% of the licence I am sure. A takeover may be paid in PET shares but that may dilute their own holdings in PET too much so may decide to pay in cash. If not I would thin Tullow or another large oil company would want to farm in - especially if we get our shallow drill oil licence back.
All pure speculation on my part and all dependant on Ghana ratifying the licences. Please Do Your Own Research before investing ......