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Thanks , Topprize, Danker & E_AL for sharing IR communication experience .
Shareholders /investors entitled to ask questions from IR , if as some here suggest that LEK are in a closed period we should be informed by RNS
I specifically referenced “Update on Otakikpo Operations” ----“A further update on the progress of this project will be provided shortly.” Trusting they were making progress on that particular item .
Anyway official RNS always preferable to the rumour mill, be interesting to see what LEK actually do with their assets –hopefully exciting times ahead.
First email I sent to IR was 2 weeks ago and I got a reply next day confirming the appointment of the new CFO , I then sent them another email a couple of days ago asking if they received the $7m from Shell but they didn’t reply. In my opinion they should have received the payment by now so I’m guessing they are holding the news of receiving the payment and the appointment of the new CFO to the board to maximize the value of the series of updates coming soon.
LekOil will also have to pay Optimum the sum of US$2.0M on or before 20 March 2020 and I believe it shouldn’t be an issue because they’ll have that money from the 1st & 2nd oil liftings (2nd lifting will take place before the 10th of March).
I am also expecting another important update about securing project finance debt facility (not fundraising) for Otakikpo‘s phase 2:
“27 Jan RNS : increase Otakikpo production up to 20,000 bopd , 8,000 bopd net to LOGL (Up till Q1 2020 production from Otakikpo was 5,860 bopd gross with 2,344 bopd net to LOGL.) . The phased development plan for the project consists of drilling between five (5) and seven (7) new wells as well as the expansion of processing infrastructure which will be financed by a project finance debt facility.
A further update on the progress of this project will be provided SHORTLY.”
On another matter and in regards to March & May’s payments to Optimum: “ Failure to make this payment on time may result in Lekoil and Optimum jointly seeking, and agreeing on, a willing buyer to whom the transfer of Lekoil's 17.14% participating interest in OPL 310, as well as all the financial obligations related to OPL 310, can be made.”
So I consider this as LEKOIL/shareholders safety net if they failed to pay in time (very unlikely) .. again no fundraising to make these payments, they’ll sell their share in the oilfield which should pay all outstanding debts and make some profit as well.
Of course all of the above won’t matter anymore if the reason behind the company’s silence was an ongoing takeover negotiation by Addax Petroleum (A subsidiary of Sinopec Group the 3rd largest worldwide third &the biggest oil refiner in Asia ) which LEKOIL’s new CFO was their previous CFO for the past 10 years!
previously I got a reply, last two emails though , no response, silence, just confirms to me as we all know discussions on going
GLA
Yes they do answer emails but obviously can’t give out any info on up coming news...
I asked about the CFO
Good morning,
Hope all is well,
First, I would like to apologize for the delay in responding to your earlier email.
We will endeavor to be more timely in our responses going forward.
With regards to the appointment of a CFO, we can confirm that a candidate has been identified and the appointment process is being finalized. An announcement will be made once this appointment (which includes an appointment to the Board) is complete. Unfortunately, at this time, I can’t guide on the timing of this process.
Thank you
Ore
Just wondering if folks normally get a response or at least acknowledgement to email questions from ir@lekoil.com - fairly new LEK shareholder so far no response ?
Hopefully we get a few positive RNS updates soon might help kick start market cap improvement !
Interesting article if not seen before -- “How Natural Gas Can Fuel Nigeria’s Industrial Revolution”
https://www.thisdaylive.com/index.php/2020/02/16/how-natural-gas-can-fuel-nigerias-industrial-revolution/
--------------
LEK assets
----“opened a world-class basin with transformational oil and gas potential”
-----“are positioned to create midstream value via our Gas & Power franchise”
CEO LEK ““Historically, a lot of fossil fuel companies have produced oil and flared the gas. But it is actually the gas that is more efficient. Its friendlier to the environment, so we need to shift our attention there. From our perspective as Lekoil one of the things that helps us is that, a good chunk of our portfolio is actually gas so we are actually well on our way.
“Within its portfolio, LEKOIL acquired a 45 percent interest in the Production Sharing Contract (“PSC”) on OPL 276. The asset has four wells drilled in the licence area which resulted in four discoveries (two oil and two gas) with preliminary resource estimates, based on data from the four wells, of gross recoverable volumes of 29 million barrels of oil and 333 Bcf of gas, with upside of 33 million barrels of oil and 476 Bcf of gas (recoverable). Consideration for the acquisition of US$5M is to be paid in tranches which are linked to receipt of license extension and Ministerial Consent.”
June 2019 Investor presentation :
https://www.lekoil.com/investor-presentations-article/investor-presentation-208
Think a few of us been of this view since his trip to Davos
Ok LEK are generally good at keeping people informed with RNS
They have been too quiet for too long.
I think this points to negotiations going on for a takeover