Rainbow Rare Earths Phalaborwa project shaping up to be one of the lowest cost producers globally. Watch the video here.
pity about the further delay which will prob mean the SP stays in a range between 0.4p and 0.6p for another while . but plenty of positives from the update as follows
80% chance of success for the 18 million barrels appraisal - rare to see COS at over 65%
8000 boepd if brought online might mean TRP retaining 50% so achieving 4000 boepd would prob justify a mkt cap of 40 million+. Trinity Exploration produce 3000 boepd net and mkt cap is 33 million. Jadestone energy who have a serious management team , operate a relatively small mature oil field but are valued at 320 million and are at about 14,000 boepd
Njonji is only the beginning - the remaining prospective resources on the block add up to 110 million barrels from 4 or 5 other leads. Then there is deeper stuff
the Deep Toe thrust Anticline is shown on the cross section on page 21. the Cross sectional diagram through the Idenao lead showing a potential 1000m deep anticline is fascinating as I for one am familiar with the CEOs previous role in another Oil microcap. The anticline looks well defined
Farm out discussion with a number of parties - Perhaps its the deep prospectivity show on slide 21 at < 2000m ( Zafiro / Alba play ) that is of interest to one party rather than the appraisal opportunity at shallow depth
Alpha and Gamma are very large in surface area. Delta is with GBP now i understand. 1 Billion barrels + in each
360 million barrel resource lead on the slope part of license - usually minnows get the near shore stuff but the particular shape of this license allows TRP to access the outermost targets with the Majors. ( See Guyana for example - the Prospects furthest out go to Exxon , Total , Apache while Eco and CGX get the smaller leftovers nearshore )
https://appex.aapg.org/2020/program/program
Chariot presenting. a good slot after the African conjugate margin overview
I topped up again at 4.20 pm today on that pullback and the trade showed as red
https://www.omv.com/en/news/190519-25-years-of-partnership-with-abu-dhabi
Abu Dhabi Govt - IPIC etc own nearly 25% of OMV ... who want MOL
80 million+ per deep water well in 2012, 20 million today, now wonder Exxon and Total etc are so active in Guyana and S Africa + hopefully in Namibia soon. 3 or 4 for the price of one
but his 700k is one of the bigger Director buys ive seen since the Oil minnow boom of 2009-2012
should add that it imo , may have been out of neccessity to retain control of TRP to prevent a lowball t/o
JA was a buyer of GKP shares at 6p in 2009 shortly before the Shaikan dscovery . It went to 120p . He then made another large buy at 84p. Not sure whether or how much he still holds. He has multiple interests and used to be head oil trader at Glencore. so to put in 700k when the Co. appears to be priced to fail is noteworthy. There is a cross sectional diagram of a deep anticline on the njonji license which may have piqued his interest along with the early mover Namibia option. this does not mean im suggesting that TRP will do a GKP . but his 700k is one of the bigger Director buys ive seen since the Oil minnow boom of 2009-2012
well it did post something useful - a reminder of what Tower thought back in 2013 that the Beta , Gamma , Alpha Delta leads in the Namibia blocks had up to 11 Billion barrels of Oil potential in a best case scenario. The Repsol drill some felt stopped short of the deep target. When you include the Global Petroleum leads adjacent to TRP it would not be surprising if a Major came back for detailed seismic of the area. the Leads are very big in surface area
F off
mkt cap largely cash but its nt quite enough to do something meaningful. especially offshore. A merger with another African focused company might make more sense. Sterling Energy maybe. Or a small producer. Char Ceo waiting for boost from Namibia drills such as Total Venus well - although much further south. Chars Northern Namibia block was relinquished and then taken by Exxon . So it might be just a waiting game
bought more of these today in the high 40s. a few people in recent weeks have been dismissing Thali as only 18 million barrels - but as I understand thats for the Njonji appraisal prospect in the south of the license. if successful , would in theory produce 7,000 bopd for 7 yrs. Although it doesnt work like that in reality , in a green light case , id still expect them to want to go for as much daily production as possible for the first 2 -3 yrs for the cash flows even if it means less recoverable over a longer period . maybe into an FSP Unit . and if the Ceo can manage to do the deal for a drill without dilution at these prices it should have a chain reaction effect with potential for drills of the 110 million barrels estimated for the leads and prospects in the North of the Thali license to be proven up.
true Auson - the Bondholders ... i guess i was referring to a Take over situation. Yes Tullows Debt is huge and yes every Oil Major could sit there and watch Tullow do an Afren but will it ? would every Oil Major and P Equity group sit on the sidelines in the unlikely event of administration ? I think Tullow has too many options to sell assets and reduce debt compared to Afren where almost all their production was dependant on Ebok
Bondsan,
He most certainly can loose, the clues in your own username !
Charts looking good today so far !
Mr 10% cant really lose . can hold long term , can sell his stake to a Major for a T/o or can keep adding if it goes lower . Id be surprised if the Peru drill doesnt come in good. nearby onshore basin has produced 1.7 billion bbls to date.