The next focusIR Investor Webinar takes places on 14th May with guest speakers from Blue Whale Growth Fund, Taseko Mines, Kavango Resources and CQS Natural Resources fund. Please register here.
Not sure if the link will work....
https://en.amwalalghad.com/egypts-qalaa-holdings-eyes-tapping-ethiopia-gold-mining/
Doesn't say much, just, "Egypt’s Qalaa Holdings, one of the country’s largest investment companies, intends to invest in gold mining in Ethiopia within the next two years, the company’s chairman said on Saturday.
Qalaa is looking at investing in gold mining in Ethiopia, which has gold reserves up to 1.8 million ounces, Ahmed Heikal told Amwal Al Ghad, describing investing in this sector as profitable."
Thanks for the link. I have to say, I'm somewhat underwhelmed. I am invested, but I don't really see a case for continued investment. If the drilling in South Disouq is successful, it extends the operations from 5 to 9 years.....wow! The current successful drilling in Morocco has extended production from 3 to 4 years.....wow! If the drilling in the north of Morocco is successful, we can transport the gas by tanker truck to the customers.......wow! Capex and opex still likely to eat up all the free cash generation as we chase reserves. Even the title of their corporate presentation (on the website) is ubderwhelming, "Creating a better world for all our stakeholders". How about making some money for all the shareholders?
Kefi Minerals PLC (the parent company) will get some money back from TKGP (the subsidiary) once the ANS funds are received. The management of KEFI Minerals have also talked about receiving some or all of their salaries in shares going forward, post ANS funds. So draw down of loans should be minimal.
Interesting interview at https://www.youtube.com/watch?v=BnTHFGS58iE on where Frank Giustra thinks the gold price and gold companies are going. It's a 20 min interview, but he covers everything that's pertinent in the first 10 mins.
His main points are:
The price of gold is "going to blow through $1900".
Buy gold developers because you get the benefits of both the rising gold price and increases in earnings and profitability.
Money is starting to move back into junior gold companies.
"It’s a classic textbook contrarian play with oodles of upside. And for those new to this game, contrarian investing means to invest against the crowd, and to be sceptical of general market sentiment."
From my understanding, 'a classic textbook contrarian play' looks at 'general market sentiment' in sectors, geographical areas, etc. Not in the specific fundamentals of a particular company. Your posts detail an analysis of the fundamentals as the reason for your 'contrary' position. Therefore, it's a classical textbook recovery play, as you are taking a 'contrary' position based on specific market sentiment not general market sentiment. Sorry to be pedantic, but I thought it might be helpful to point this out 'for those new to this game'.
Video of Session 2 of the UK Investor Show Dragons Den (https://www.youtube.com/watch?v=ZFGBKMCCrVo&feature=youtu.be). Leon up first to talk about what he calls Jubilee's 'inflection point'.
There will be an oil and gas conference in Morocco from the 6-7 February 2019 (https://www.morocco-summit.com/) where SDX are the main sponsors. They will do a short presentation on Day 2. It should help raise the company's profile somewhat.
On the same page is a quick 2 minute interview with Vox where he says that the aim of the company is to become a full-service E & P company producing between 45,000 and 50,000 boepd (https://www.brrmedia.co.uk/broadcasts/5bd34532355d672cd52408ca/121-oil-gas-london-sdx-energy-vox-pops).
I think one of the reasons was the debt, which would have been huge. I also feel that it was getting into a position where the future of SDX, and the debt repayments, would be dependent on the activities (or often lack of activities) of the Egyptian state oil company. If the deal had gone through, operational control would not be solely under SDX control. PW emphasized the advantages and importance of having operational control recently in an interview/presentation regarding SD. EGPC is a monolithic behemoth, which is slow, cumbersome and extremely conservative in the way it operates. Pretty much the opposite to the way SDX operates.
According to Tom Winnifrith at Share Prophets, there's speculation on other BBs that a website is now almost ready to start taking orders and that the CE will be granted in around two weeks. The website might be https://mylotus.com/en with the product ordering facility going live after CE approval is received. Just speculation at the moment, but it would explain the welcome recent upward movement in the sp.
The comments are from SDX Twitter https://twitter.com/sdxenergy
On the SDX company profile page on the 121 Conference Website (https://www.weare121.com/121oilgasinvestment-london/sdx-energy/) there's an interesting stated 12 month goal!
Quote:
What are your key goals for the next 3, 6 and 12 months?
3 Months:
Double corporate production in 2018
Targeting increase in gas sales volumes to 8-10 MMscfd in Morocco
Complete construction of SD-1X processing facility, targeting first gas by end of 2018
6 Months:
Planning for the mobilisation of equipment for a further drilling campaigns in 2019 in Morocco & Egypt
12 Months:
Continue to review and explore opportunities to expand the asset base in the North Africa region, including through new licencing rounds and acquisitions
Become a full cycle E&P with production in excess of 75kboe/d
SDX will be attending the 121 Oil and Gas Conference in London on 29th and 30th October (www.weare121.com/121oilgasinvestment-london/). Can't make it myself, but would be appreciate any feedback from anyone attending, as with next Tuesday evening's event.
A copy of the letter is on the Website (at https://www.ascentresources.co.uk/investors/company-documents/) under 'Circulars'.
https://audioboom.com/posts/6860032-sdx-energy-sdx-seeing-machines-see-and-w-resources-wres (starts at 1m 50s).
In the presentation at the UK Investor Show, Paul mentions that they are participating the the bidding process for the licence area next to the recent Rabul discoveries. He also says that the Rabul field potentially extends into that acreage. He's not saying any more about this until the conclusion of the bidding process.
The link is https://web.tmxmoney.com/quote.php?qm_symbol=SDX (if it's allowed on here).