Roundtable Discussion; The Future of Mineral Sands. Watch the video here.
RE: Cool heads required 7 Mar 2024 08:14 Price: 1.80
We all know they don't have the money to complete an extended well test and drill an appraisal well, so most likely events are
Q2 placing
Q3 Test and appraisal drill
#AEX #AMINEX
The 25-year Development licence has been signed by all Government Departments and the Minister of Energy. The formal hand over and award is expected in the next weeks via RNS. This allows development production & sales of gas for the next 25 years over the 338 km2 licence area. The largest onshore gas discovery in East Africa.
Size of the prize
3D Seismic was completed over 338 km2.
The 3D dataset has revealed, for the first time, considerable undrilled exploration potential within the broader licence area.
The new volumetric studies result in a total updated unrisked GIIP volume for the Mtwara Licence of 16.38 Tcf
Next Steps, note: 2 drills have already been successfully completed over the discovery.
Formal issue of the 25-year development Licence expected in the next few weeks.
Re-enter and repair a tubular leak in NT-1 to enable the well to be safely completed as a gas producer.
Undertake further testing on NT-2, currently suspended as a gas producer, using a mobile test unit, to refine the design of in-field gas processing facilities.
Contract a rig operator to undertake the drilling of the CH-1 appraisal well to further derisk the asset and, if successful, complete as a gas producer.
Note: In Tandem the Taz Gov are building a gas pipeline to a nearby gas processing facility with sufficient spare capacity.
What about Funding?
AEX previously farmed out the asset to a division of the Omani Zubair corporation.
AEX is carried throughout the ongoing work programme to a maximum gross capital expenditure of $140 million ($35 million net to Aminex). The carry is expected to see the Company through to the commencement of commercial gas production from the Ntorya field at zero cost to the Company.
AEX have a small loan agreed with the Operator (The facility is for $3 million, available for up to 24 months) to cover any G&A costs between now and expected production Mid 2025
#HEX Being efficient with your capital is key to a successful company.
"We have seen other companies who have had to run dilutionary raises because they have run out of capital. That is not a situation that we are going to find ourselves in."
https://twitter.com/HelixExp/status/1785587860252377272
Goof find Edgar.
Dodoma — DEPUTY Prime Minister and Minister for Energy, Dr Dotto Biteko, reiterated the importance of utilising natural gas as an alternative energy source for Tanzania to mitigate climate change and preserve its precious natural resources.
He urged members of the Tanzania Editors Forum to continue reporting on these topics and to promote the use of natural gas as a cleaner and more environmentally friendly energy source.
The meeting brought together journalists, editors, and media professionals from across the country to discuss ways to promote environmental conservation and sustainable development through responsible journalism. During his keynote address, Dr Biteko highlighted the importance of using natural gas as a renewable energy source to protect Tanzania's forests.
âś… Application for a 25-year Development Licence based on the approved FDP
âś… Approval by #Tanzanian authorities for the Development Licence, including Cabinet sign-off, awaiting issuance of the signed #licence from the Ministry of Energy
https://twitter.com/AminexPLC/status/1785229499543494681
#1/5 This 👇 is what has kept us busy in 2023 + 2024 as we continue to develop #Tanzania’s largest #onshore #gas development:
âś… Completion of the processing of 3D #seismic #data, the largest onshore seismic campaign in #EastAfrica covering 338 km2 around #Ntorya
@AP
#news
https://twitter.com/AminexPLC/status/1785229549833232566
"That is going to be up to $2.5m to drill the appraisal well with an option to place a second appraisal well if needs be thanks to the oversubscription we had on the raise."
https://twitter.com/HelixExp/status/1785223619116781897
Funding Facility agreed with Eclipse Investments
Aminex, the oil and gas exploration and development company focused on Tanzania, is pleased to announce that it has agreed a funding facility with its largest shareholder, Eclipse Investments LLC (Eclipse). The main terms of the facility are:
· The facility is for $3 million, available for up to 24 months
· The first $1.5 million tranche is guaranteed, with the remaining tranche available at Eclipse's discretion
· Any advances drawn down will be set-off against the Company's $35 million carry in respect of the Ntorya development from ARA Petroleum Tanzania (Carry), at Eclipse's discretion
· Interest will accrue on any advances at the rate of the Standard Overnight Financing Rate + 8%
· If not already set-off against the Carry, Eclipse can demand repayment, but not before 31 December 2026
· There is no security granted against the facility and no arrangement fees payable by the Aminex group.
Charles Santos, Executive Chairman of Aminex commented:
"We are very grateful to Eclipse for their continuing support and for agreeing to put this funding facility in place, should the Company need it. As announced in 2022, the Company has sufficient funds until the end of 2024, when revenues from the Ntorya gas discovery had originally been expected. However, final preparations are ongoing to enable work on the Ntorya development to start and this leads us to now estimate first revenues in mid-2025. We therefore believe it is prudent to arrange this funding now.
"https://www.londonstockexchange.com/news-article/AEX/funding-facility-agreed-with-eclipse-investments/16444014
We have now had multiple confirmations from the TPDC, National press and Parliament ( the minister of Energy) that the licence is approved.
I assume ARA and AEX will be flying to Tanzania for the signing ceremony in the same way they did for the Gas sales agreement signature.
GLA, holders I expect we do not have long to wait.
Thank you Crusty for your reply
Morning CP, the Gas Service Agreement, was exactly that an agreement - it requires negotiation and, hence, signatures; I am not 100% sure that a 25 year Development License actually needs signing - it is a License and awarded by the Govt to someone that applies for it. ARA will simply be awaiting notification that it has been granted. Though, in any event, I would anticipate there being some razzamatazz around its award but then haven't we already seen that?
Morning CP, fair point. I would be surprised if they don't go for some razzamatazz with ARA and AEX there in person, it is a very big deal for the country and of course us long suffering investors.
We have now had multiple confirmations from the TPDC, National press and Parliament ( the minister of Energy) that the licence is approved.
I assume ARA and AEX will be flying to Tanzania for the signing ceremony in the same way they did for the Gas sales agreement signature.
GLA, holders I expect we do not have long to wait.
The market likes a RNS RoJo, certainty.
I thought as such a seasoned investor that drives around in expensive cars you would know that? Unless of course it's just more fantasy and imagination on your part, after all it would be very strange for Mr Bent---ley to spend so much time & effort on a penny share BB eh?
Toodle-pip, have a nice day and be ready to rejoice :)
Done and dusted it would seem, just waiting for the RNS now and then it's almost continuous news flow, from workovers to appraisal drills and production.
Looking forward to seeing the detailed development plans!
▪️BUDGET MINISTRY 2024/2025 LANDS IN PARLIAMENT
Deputy Prime Minister and Minister of Energy. Dr. Doto Biteko (Mb), today April 24, 2024 presenting to parliament the Energy Ministry's Revenue and Spending Estimates for the 2024/25 Financial Year at the Fifteenth Session of the Thirteenth Session.
During the presentation, various officials and guests of the Ministry were invited to testify.