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I noticed on the essar website there was was some contact information there , probably would get anything, but ???? Anyone
Apart from the Oil trickle flow is the way to go with all our news
keep the momentum to establish and maintain an ever increasing
trading range :))
Good conversation from a couple of months ago , kola emphasizes how important the PIB really is , huge refinery plans , going in the right direction for 2021 https://www.cnbcafrica.com/2020/what-lies-ahead-for-nigerias-oil-and-gas-sector-in-2021/
Lol. How many headers for a perfect storm ?!
We are still sitting with some additional artillery available:
$20M accordian loan for ‘development purposes’
$9M left-over from most recent (£13M) placing
$8M from warrants (2.25B x 0.26p, £5.8M)
$7M from NOP IOU
$5M from Dec.1st till May.1st revenue
Guessing: Am will wait till May 4th, confirm his cash flows, then...pounce. (with a meaty “Grrrrrrr”)
The oil and gas sector only contributed 44% of Government revenues last year and
the President and Minister have been screaming want more yesterday for several
months, the above is currently expected to drop to around 40% this year
There are some 50+ OML/OPL licenses in the same boat as us EXPIRED or about to
the people at the top have firmly blamed NNPC for the lack of progress/production
The long awaited PIB which has been progressing for several years, had its 2nd and
successful reading in Parliament in November 2020, latest news articles are expecting
the 3rd and final reading (to become law) THIS MONTH
A major part of the new PIB is the reformation and restructure of NNPC, who many have
referred to as TOXIC, they will have a lot of regulatory functions removed, so guess that
puts DPR firmly in charge, they also want NNPC run as business and Gov control reduced
to a non controlling share interest (anti corruption measure - we will see :)) )
Talk of outside businessmen/entrepreneurs taking the helm like a semi privatisation
(hm now where is Kola lol)
Think this has probably been the hold up for many outstanding licenses, so if it does
go ahead this month (this week would be good lol ) the timing could be perfect for
our return to market
Arty could be setting up another hat-trick , Return to trading, Nigeria news
and a header'line Miscible has massive increase in flow rates :))
Early news maybe on BFU flow rates this Thursday & guessing it would mostly be dependent on the reservoir pressures & the *cough* completion of AOG audits. The presentation graph shows the timeline for injections and then the delay for uprated flows, but they do appear to start from a zero pressure point yet we now know the pressure was kept fairly constant (c.1300psi?)
There then appears to be a few discrepancies (lol, more COPL word salad) in what the initial $9M deposit covered :
16th December RNS highlighted
‘Initial debt-financed payment: $8M for 15% of AOG’s WI..’,
followed by Cathy (Feb.) who replied that
“ the funds ($9M) were utilised to reduce Atomic’s working capital deficit which was $16M at the time. This was at the request of Atomic’s lender.’
Then RNS 18.03.21 which appears to contradict both of the above
“The Company, through its recent equity financing, has provided SWP with $9M of working capital”
which possibly highlights how the reservoir pressure was able to be nicely maintained & which then suggests the planned increase in injections possibly started earlier than initially decreed...
Thursday just might be interesting but i’ll still appily aim for a May 4th whoopee.
I have pointed out this before. However, I will do it again.
Nigeria government like many others have been smashed by the crash in oil price, firstly to blame was Russia and Saudi price war which ran into the global pandemic known as covid.
The government main revenue comes from its oil & gas, I would expect it to tap in to its reserves by issuing licences etc to increase revenues from export taxes and cost of licences etc.
I am expecting a massive shift in sentiment from them.
Essar are on a big drive in the UK currently, opening many, many Petrol under their franchise scheme.
Certainly going places and will need plenty of petrol in the future.
That handshake is so very significant. Nigeria will not want to upset an important country like India. The fallout would hurt Nigeria's future trade relationships with India. Not a good idea.
Conclusion. We get the Licence
Yes , take a minute and click through the website, they have a lot going on , I’m sure they are beyond frustrated with 226 , they’ve had it since 2010... time to start drilling
Essar having just spent almost $700M in India on a new downstream gas pipeline providing energy directly to the cities, then being given handshakes by India’s Prime Minister Modi at the opening ceremony, are perhaps on a very good footing at the diplomatic level. Should assist massively to then see that their OPL226 $70M investment does not get forgotten. Essar M’s new E&P boss in early 2020 then oversees the settlement of Essar & Shoreline conflict, within 6 months of being in office. Thinking now that a few diplomatic ears are perhaps being spoken to & also that post-covid, no further excuses from Nig.gov will be entertained.
News could surely drop at any time.
Nice find Guitar.
Iggy Pop’s rendition of Gold “hail to the thief & we’ll keep what’s left tonight” rattling inside ma heed & that quote from the movie of the same name, where Wall St Senior chews off junior ‘..that 15% sounds like nothing But!! it’s 15% of $30B.. & you’re fired..’
lol, perhaps a few parallels here.
https://www.youtube.com/watch?v=rvs30Ad94xo
Hello everyone :-) It's been a while! I've been reading the research with interest but haven't had much to add. Yes this could be a perfect storm but I feel very confident that Wyoming has got a great deal further upside (and we have the funds to develop!) and Nigeria looks increasingly likely to happen. Throw in some healthy sentiment and we could hit 5p easy. Very exciting and I am sure Arthur will want this new entity to take off like a rocket!
Agree Shaa can't issue a license for a company that doesn't exist wink.
I will be looking to buy more on the open of the new COPL definitely a five year hold for me or longer.
Thanks for sharing Guitar... I think the corridors have woken up and business is restarting... the timing could be just perfect for us... happy days...
Art will be all over this in terms of maximum SP movement on news.
IMO, he has already pulled off a stupendous deal, the rest will fall into place.
Definitely adds some realism back to 226 , and sounds as though essar haven’t just been sitting on there hands on this and in fact have been doing what they can to be ready for this to go ... I agree this would be huge for us to get the green light
What Essars new website seems to be suggesting is that OPL 226 is very much part of their forward planning. This is a recent update and would not in my view have been given such prominence without tacit assurances that Nigeria will give the necessary permissions to go ahead.
The recent signs in Nigeria are increasingly positive ( Thank God) so we could see rapid movement soon. GLA
Having said that, just had a thought.
One of the conditions of DPR to extend the license was that Essar and COPL are in agreement between themselves.
Despite everything else, they are on the ball with developments.
Maybe, just maybe they aren’t going to extend until COPL have de-listed and are up and running again.
Probably not a bad thing if it’s the case, imagine COPL re-listed, good news regarding Miscible Flooding, buying frenzy and the SP touches 2.5p.
Then we announce all systems are go in Nigeria.
Nice spot Guitar.
Despite what our views are regarding Nigeria, Essar have spent nearly $70M on OPL226 and have had ZERO returns so won’t let it go.
Atomic is great but will be easily dwarfed by OPL226.
Movement on Nigeria on top of atomic will send this into orbit..... just need some positive news on opl226 before we return and things will get even more crazy
Well done Guitar.
Looks like Nigeria could very well be back in play.
If we get that Licence Extension then all hell will break loose with the SP.
Great find Guitar, latest ESSAR website with media updates as recent as 17 Feb 2021, inc. last year’s new appointees of a E&P boss who’s ex-Cairns Energy & hopefully now looking to make his mark.
OPL 226 with a recorded 4 prospective areas of interest & as jiving just posted ‘ESSAR sees one prospect with a planned 18 development wells’.
Does appear that way !
Great find Guitar, it looks to be a new or at least totally revamped Essar oil website. A sign of life & maybe progress. Key quote on OPL226:
"The notional development plan for one of the prospects include drilling of exploration wells followed by 18 development wells is currently being worked upon."
Yes - thats 18 planned wells!