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Savannah Petroleum PLC has today changed its name to Savannah Energy PLC. I suppose that does reflect its current focus on gas.
Porsche where did you find this?
Tier- its on the Companies House website:
https://beta.companieshouse.gov.uk/company/09115262/filing-history
Goodness me you’re too informed!
BOD, you should know by now there’s no escape from our amazing board members, nowhere to hide.
So now it’s SAVE.
Let's hope this change of name is the catalyst we have been waiting for and news will begin to flow at 7am tomorrow !!
It’s a better name. Good move. Like.
Will it really be SAVE, or there’s already a SAVE?
Maybe will help soften the investment image for institutions etc with 'petroleum' gone ?
Does need to get the share price up though to keep them happy and onboard. Wonder will AK indicate when an actual dividend might come in given they were indicating $12.5m previously and on less than $100m free cash flow when the deal was first announced.
I wouldn't mind a change of name on the CEO front! had concerns right from the start about this guy but stuck with it as assets looked decent in Niger. Never again. Salary package absolutely ridiculous given the monumental decline in value!.
Change of management would be a better option !
But with the switch from petroleum to energy, they may be trying to turn attention to the fact that Gas is a much cleaner source of energy compared to the diesel powered generators currently used in Nigeria.
Well from today’s news on the name change they say supplying over 10% of Nigeria’s Electricity needs as before - so surely means they are getting paid as it couldn’t continue supplying so much of the country’s energy need without being paid.
Also says focussed on first oil in Niger in the near term so there was the opportunity to say it wouldn’t happen or the plan to put it back to the longer term.
Everything still on track as how I read it.
I’m expecting news shortly also to signal in the new name change
Zen, Jimmy Lea confirmed to me in an email on tuesday that we are being paid for the gas in Nigeria. I did post this the same day.
Thanks longshorttrade,
I also spoke to him this week and he confirmed the same to me.
In this mornngs RNS - ***currently supplies gas which accounts for 10% ...*** ie same as always so unlikely that this figure would still be happening if they were not being paid.
In addittion, reiterates first Niger oil in the short term (not long or medium term) and continue to refer to them as flagship assets. If anything was a miss or not comfortable with, i doubt if they would issue such a statement.
"The change of name reflects the Company's increasingly diversified asset portfolio. Savannah is now a leading energy producer in Nigeria and, via its controlling interest in the Accugas midstream business, the Company currently provides gas to power stations accounting for over 10% of Nigeria's power generation capacity and operates one of the largest privately-owned gas transportation and distribution systems in sub-Saharan Africa. In Niger, Savannah is focused on developing its flagship assets in the prolific Agadem Rift Basin, with plans to deliver first oil in the near term."
Zengas
Being paid or being paid sporadically and in significant arrears? Did he clarify?
Thanks
Agree - these are the key questions. Would be good to know.
Paul I pressed on that issue and was told they were being paid and nothing else elaborated on re any payment delays or non payment. I have not heard of any guarantees called upon and we have 2 of them.
Bottom line is i'm led to believe that we are being paid but as i said previous i do not know or am privy to what the standard settlement/payment terms are for Savp.
I will add for anyone that follows things, some of the problems in the electricity sector is lack of gas supply and indeed payment issues from the Gencos. Gencos in turn were complaining that gas suppliers were demanding upfront payments.
A broker note went out mid March and there was no mention of any payment issues for Savp (whether they would be aware i don't know but surely would highlight it it was an issue).
It's interesting that Savp tweeted last week that they had actually increased gas supplies during the Covid-19 outbreak (tweet on the 13th).
Today the name change to Savannah Energy and a new website from Monday.
Today a Numis note tweeted by Savp as being out today but i haven't seen it and might be on that new website when unlocked monday. Surely Numis took some guidance from Savp as to the current state of play ??
If this is all coincidence and the reason for being quiet to date in delaying updates to resolve any outstanding issues i don't know - but the most important thing i've learned is that the Government has paid the Gencos over N200b (i think that's some £400m) to settle outstanding gas bills and resolve the problem.
Business & Economy: FG pays N200bn to offset Gencos’ gas bill
The Federal Government has in the past two to three days paid over N200bn for power supply in Nigeria, the Group Managing Director, Nigerian National Petroleum Corporation, Mele Kyari, declared on Wednesday.
When asked what government was doing to resolve the non-payment for gas by power generation companies, Kyari said, “Actually the Federal Government has made payments of over N200bn for power in the last two to three days.
The NNPC boss stated that the payment would adequately help in settling the indebtedness of power generation firms to gas companies.
https://punchng.com/fg-pays-n200bn-to-offset-gencos-gas-bill/
If there was a payment issue going back to 2019 then i assume it will be rectified now. That is if we were still owed anything outstanding. All needs to be read carefully as some gas companies do not have power supply agreements where we do and also covered by guarantee. What i find interesting is these payment issues have been resolved with the government helping out and paying the Gencos to settle outstanding gas bills - in the same week Savp tweets about increasing gas supplies, new broker notes, change of name to an energy company - Overall i'm confident. If anyone looks at the March broker note it assumes $130m free cash flow average with just 10% of that affected by oil +/- pricing. Also states that Savp are continuing to sort out their refinancing and for every 1 basis point it would increase the cash flow by $4m so that would be a very big positive as there's room to knock it down by 3 or 4 at least i believe. Maybe this delay in refinancing could be linked to any outstanding payments or simply bedding the company in as being successfully run.
16 April 2020
Premium Times (Abuja)
By Bassey Udo
The federal government has approved the payment of over N200 billion to the power sector in the two or three days. This will go a long way in making sure that those payment issues are resolved. We are engaging as the government to make sure that those payment issues are fully settled," the NNPC boss said.
Mr Mohammed assured that although there was sufficient gas to supply, there were several power plants that do not have gas supply agreements.
Such agreements, he said, spell out the terms and conditions under which gas is supplied by the suppliers to the buyers.
"The suppliers always divert the available gas to other places, and from time to time, the government always face some constraints in the supply of gas to electricity producers, which is a big problem," he said.
He said the NDPHC would soon receive its part of the payment and has already assured the GMD of NNPC that as soon as the NDPHC was paid, payment vouchers would be ready, for the immediate remittance to the gas companies.
https://allafrica.com/stories/202004160298.html
April 17, 2020
The Group Managing Director (GMD) of the Nigerian National Petroleum Corporation (NNPC), Mallam Mele Kyari, after meeting with the Minister of Power, Engr. Saleh Mamman, and the MD, Transmission Company of Nigeria (TCN), Mr Usman Gur Mohammed at the Ministry of Power headquarters in Abuja on Wednesday said “The federal government had made payment of N200 billllon to the power sector in the past days which he said was to ensure that the payment issues in the industry are resolved.
Ogaji said “For the record, Gencos have not received fresh funds from anyone. What Gencos have been paid is payment for energy produced and consumed for 2019. “We are currently being paid for monies owed for 2019.
https://leadership.ng/2020/04/17/were-yet-to-receive-fgs-n200bn-say-gencos/
16 April 2020 Premium Times (Abuja)
Also at the meeting was the Managing Director of the Niger Delta Power Holding Company (NDPHC), Chiedu Ugbo, who said the NIPP GENCos under the company's operations would get the gas fund and pay up.
He said the Calabar NIPP was the only plant with a standard gas supply agreement.
With the availability of gas during this period, he said electricity generation could be ramped up above 400 megawatts (MW) when every other plant was down.
https://allafrica.com/stories/202004160298.html
Ties in with Savps tweet last week of it increasing gas supplies
Thank you so so much for sharing. You’re just unbelievably resourceful.
Clap for Zengas. Definitely.
Have a great weekend everyone. See you all next week.
Cheers Zen, very informative, Thanks
Thanks Zengas and others
I’m not sure which is worse, SAVP sitting on bad news or sitting on good news (ie solvent/being paid) but showing total disregard for shareholders with no Covid update. I will be more annoyed if the latter since I’m expecting the first!
SAVP has the dubious honour of being the only share I own (about 15) which has not updated the market since Covid hit the fan. Roll on the AGM, we won’t be able to complain in person but there should be some suitable platform
I’m with you there Paul.
Very fortunately I managed to trade out of this one mostly buying TXP and later a lot of covid stocks but I am buying back in here now as I think we’ll get some news on revenues soon. I must say I have been very disappointed with the BoD, not a fan of AK but I did hold SJ in high regard having done well in back NPE. He has an amazing strike rate but I would have thought he’d have done a better job in coaching AK but then we don’t have the full story which leads me to believe this is a hands tied virtual NDA scenario where SAVE are silenced. They know full well if they break ranks they bite the hand that feeds them. Bad, not all bad, getting better seems to be the media tone hence my reentry yesterday. All imo of course.
Do you still hold that several million was it? What a buy that was at 11.9 from memory. I’m pretty sure if you still got them they will be in the money soon. Atb
Trek