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all points of merit Zengas..
but my hope is that sellers would - based on strong poo rally - revise up asking prices even when negotiations are in advanced stages... hence why many such asset sale processes have become drawn out .. and why AK , if involved in any such negotiatons, might walk away in the end instead of completing (as what he saw as a compelling buying opportunity at for sale prices quoted in 2020 is no longer such for revised for sale prices quoted in 2021 for eg )
Whatever.. que sera , sera..
That would be fine but it's part of their core strategy to pick up new assets and have said so umpteen times and AK also giving it as one of the reasons to invest in some of the media interviews.
In his letter to shareholders last year under 'New Projects' - "our business development efforts are now ***firmly focused*** around cashflow generative, or near-term cashflow generative assets which significantly enhance our ability to commence the payment of a progressive dividend to our shareholders. I believe an abundance of robust, cashflow generative and high-quality assets will potentially become available for acquisition over the course of the next 12 months." - That was almost 12 months ago.
Also last July , Boru Energy, Vitol and Save amongst others were mentioned as being in the running for the Ghana assets of Occidental. Preferred bidder later rumoured to be Boru. But still -10 months later and still no winner known yet. Yesterday Oxy state they have discontinued operations there so just look how long any deal can take. Almost a year gone by so any deal could be going on for months and months in the background, ceratinly a year almost if it's Boru and recently reported by Reuters as in the process of close to a deal. AEI were able to name Save as a contender just as they did for the Niger blocks and again for Seven Energy before Save said anything first. Panoros recent West Africa acquistion was going onfor 7 months before announced and this was with a partner already involved in the same assets.
Imo if Save were in the running a year ago for Ghana or looking at any other assets since, then financing any deal would have been sounded out many months to maybe a year ago so if this has any bearing on the state of the share price this past year only time will tell ?
In light of what Save say themselves, press reports etc i don't think anyone is reading too much into talk of an acquisition. Imo be prepared for one at any time.
I think people are reading too much into an acquisition, some will recall the SAVE tweet a few weeks back about ramping up Niger operations - a country where French is the language spoken. The job description says a working proficiency of the French language is essential (appreciate that other west African countries have French as their national language).
I think it's interesting that the new post for Senior Treasury Manager at Save requires someone to be able to start ASAP and substantial short-medium term growth is given as the reason.
"The management team are fully committed to creating substantial growth in the short to medium term and to support this growth ambition we are looking to increase the depth of the team in the Treasury function through the recruitment of a Senior Treasury Manager"
On the subject of West Africa acquisitions which we know Save are pursuing, Boru Energy formed by ex Tullow executives and backed by $1b from Carlyle Pvt Equity Group. They were supposedly top of the pack for Occidentals near 30,000 bopd Ghana assets but no word yet, though last nights earnigs from Occidental show that Ghana is now discontinued and the buyer imo should soon be announced. ("... included $445 million loss in discontinued operations related to Ecuador and Ghana").
Panoro, a much smaller company than Save recently bought 6000 bopd production for $140m and looking to pick up more in West Africa.
Also another set of Tullow Execs have in recent weeks bought out the old Sterling Energy board/sharehlolders and renamed Afentra "
5/5/21 - 'Former Tullow Oil executives have launched their Afentra venture, focused on production up and down West Africa. Paul McDade, Afentra CEO, explained the company is focused on opportunities arising from the exit of majors from the region. “That transition is based on maturing assets becoming marginal for the majors." Afentra has big plans. “The primary focus is on material production. We don’t want 1,000-2,000 barrels per day, we’re looking for multiple tens of thousands". https://www.energyvoice.com/oilandgas/africa/ep-africa/320392/afentra-mcdade-esg-producing/
One would think that with Save being previously mentioned in the running for Oxys Ghana assets of cica 30k bopd that any acquistion could be fairly substantial this time around ?
“We are a fast growing and award winning company expected to significantly increase in size and scale over the coming years on top of our US$4.3bn of existing contracted revenues.”
Sounds good on paper let’s hope he can deliver.
https://www.savannah-energy.com/careers/