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So, what percentage may ECO have in Galp block giving Galp the operator roll and 60 % of the block in Guyana? That is mirroring the value of the earlier deal given a succes, or not, for Tullow.
It is a non-diluting deal giving us two active ways going forward.
Just a thought.
The idea was that ECO can offer Galp a large part of our Guyana block in exchange for smaller part in the drilling in December.
We'll see.
Why not approach GALP and offer a deal in both Namibia and Guyana, giving two opportunities, one in December and one later in Guyana 2024?
("... We are under strict confidentiality with many parties in many:; aspects of our business; in Guyana, in Namibia and in South Africa, so there is not too much I can say, but all I can say is that pay close attention and have a look at our announcements in the coming few month. That will paint the bigger picture that we currently working on."
Last words in this presentation: https://www.youtube.com/watch?v=w9yYpI5qUsU )
There is ongoing buying pressure which is of course dependent on various factors. The market is heterogeneous.
For me personally the deal with Tullow turned the game upside down, I didn't see it coming. Given that more deals are underway, one can only speculate.
One such speculation is that AOI contributes to the Venus deposits being capitalized around the turn of the year and that it has an effect on the work with the drillings in Guyana and 3b / 4b.
A slightly simpler conclusion could be that after the Tullow deal, ECO's shares are more valuable (due to the potential of news taking us closer to a drillstart in Guyana) and will be able to be the basis for new business. This, in turn, can be seen as an accumulative win win situation as new deals will have a positive development on the value development.
"... We are under strict confidentiality with many parties in many:; aspects of our business; in Guyana, in Namibia and in South Africa, so there is not too much I can say, but all I can say is that pay close attention and have a look at our announcements in the coming few month. That will paint the bigger picture that we currently working on."
Last words in this presentation: https://www.youtube.com/watch?v=w9yYpI5qUsU
"...the series of transactions that we are contemplating for the summer towards the end of the third quater that we will let, of course, the market knew when executed."
From this presentation, 3:30 min: https://www. youtube.com/watch?v=w9yYpI5qUsU
Study the location of the rest of the Sintana blocks, given a failur in the most southern part. My statement is grounded in the assumtion that for now the interest is on the western side of the walvis basin, the deep sea blocks on trend. We have the M&P return of their blocks in mind.
As for the timing of the deal, it is always there when the whole choir sings, but Q3 is from the last presentation, 3:40 into this link: https://www.youtube.com/watch?v=w9yYpI5qUsU
Note that our CEO is talking about a series of deals during the summer/end of Q3.
The galp block is, of course, very interesting project.
Thanks for your thoughts.
Sintana faces the realistic possibility of being without further opportunities unless there is a hit in Galp's drilling.
My way of running a business is to deal with such a situation. A total merger with ECO could be an option. ECO has the, right now, sought-after deep-sea areas in the Walvis basin as well as known assets in the Orange basin. To mention the local resources in West Africa.
At what relative price between the two companies a possible deal is made is determined by the parties.
I find it interesting that smart money has applied to ECO.
Of course, I have no knowledge whatsoever about the deal ECO announced that it intends to complete and present in Q3.
At the same time that M&P returns its license, Galp intends to drill in the area in connection with Shell's and Total's concessions.
https://www.offshore-mag.com/rigs-vessels/article/14293500/galp-books-odfjell-rig-for-two-wells-offshore-namibia
Also check Sintana Energys homepage. :-)
Rig is booked.
Sintana energy is carried in these drillings.
Wouldn't be surprised if Gil's plan is to do a merger with Sintana in order to get a well soon in a high interest area. (Shell's next drilling is against a target that goes into Galp's license.)
Like this platform where you can see the gross volume for all american stock exchanges where eco / EOG is traded:
https://www.stockwatch.com/Quote/Detail?C:EOG
Just press US bottom and "Go" for more.
Just noting that the 500 000 USD that closes the former deal is payed for by 1 200 000 shares in ECO.
That is 0.55 CAD per share. Yesterdays price in Canada was 0.225.
När dealen kommer har alla glömt din post.
You just get in in Swedish.
If Total was the only possible partner, it sounds optimal to wait for the results of their drilling. But, need it be said?, they are not the only player here. We know from previous information that 6-7 actors were in the data room.
Price and access to shares of the block vary, of course. Context is everything.
Personally, I advocate walking on two legs / playing the piano with ten fingers, etc. "One of two holes, with or without upfront? Should we take the deal, or give it to the competitor?"
I remind you of the exclusive info that AOI and ECO obtained from the Venus drillings and the comparability this enables with 3B / 4B. What if it's our block that has the interesting seismic and Total is looking for information about this. Coordination benefits are another good argument. Of course.
One takes 25% and another takes 30%? Quite obviously, Gil is interested in that both Shell and Total might having rig time free until summer -24.
A couple of things that were new to me in the last presentation that Eco Atlantic gave:
1. That Total planned a drill just outside the boundary of our block 3B / 4B March -24.
a. It removes the doubt that Total does not want to do more trials in South Africa.
b. It puts the focus on the potential of our block 3B / 4B. For Total, but also for other parties.
2. That the parties in Orinduik must determine the basis for drilling in October.
3. That talks are held with two interested parties despite no formal farmout round being announced regarding the two deep-sea blocks in the Walvis basin. The upcoming drilling in the neighboring block has been announced for six months. Personally, I had chosen a path to take one of these two blocks in a farmout before the drilling results, the other afterwards. To spread risk.
Looking forward to autumn.
Thank you for your interest in our company. Really.
The CEO has previously explained that the current drilling targets are taken without strengthening the coffers, but with farmout settlements. With or without new extra cash allocation to ECO, depending on the deal.
The main owner AOI has just strengthened its coffers by several hundred MUSD.
I think you will find your answer in the video I posted below.
A couple of days ago, it was announced that Eco Atlantic, among several stakeholders, e.g. those in the neighboring concession, will carry out 3D seismic.
Eco's acreage is adjacent and surrounds M&P's block. M&P will drill later in 2023. That about what is happening in the Walvis Basin. What happens in Orange basin in our block remains to be seen. Only news can show this. Africa Oil is now transformed, the economy is strong after the last refinancing of the bonds. Se my earlier posts. New CEO in Africa Oil opens interesting perspectives.
"Northern Ocean's 'Deepsea Mira' Starts 300-Day Drilling Contract with TotalEnergies in Namibia
OE Staff June 28, 2023
©Odfjell Drilling
©Odfjell Drilling
Offshore drilling rig owner Northern Ocean said Wednesday that its Deepsea Mira semi-submersible drilling rig had kicked off its drilling contract with TotalEnergies in Namibia, where the French oil major last year made a giant oil discovery with its Venus-1x well.
Northern Ocean said that its "...high specification semisubmersible drilling rig, has safely completed the transit to Namibia and commenced drilling activities under its contract with a TotalEnergies subsidiary.
The drilling rig is owned by Northern Ocean and managed by the Norwegian drilling firm Odfjell Drilling.
The contract with TotalEnergies has a firm duration of 300 days. TotalEnergies has two extension options, which, if exercised, would keep the 2019-built rig busy through all of 2024.
"Now that the Deepsea Mira has successfully commenced operations, the company has mitigated exposure to mobilization, reactivation, and other pre-commencement risks. Additionally, the company has amended the credit facility with Sterna Finance Ltd. to provide a new tranche in the amount of $50 million with a three-month tenor. This provides the company with sufficient time to normalize working capital from both rigs," Northern Ocean said.
The company's second rig is the Deepsea Bollsta. The semi-submersible unit has a contract with Shell Namibia until June 2024.
Namibia was placed on the global oil and gas exploration map last year with two giant oil discoveries by TotalEnergies (Venus) and Shell (Graff). In March 2023, Shell discovered oil at the Jonker-1X deep-water exploration well in PEL-39 Exploration License, offshore Namibia.
Earlier this week, TotalEnergies was named the upstream industry's most admired explorer and has received the Discovery of the Year award in Wood Mackenzie's annual Exploration Survey. TotalEnergies also received the Discovery of the Year award for Venus offshore Namibia, in partnership with QatarEnergy, Impact Oil & Gas, and NAMCOR.
Maggy Shino, Petroleum Commissioner at Namibia’s Ministry of Mines and Energy, said this week that, in Namibia, “we have an ongoing drilling campaign with three rigs currently busy drilling appraisal and exploration wells. We are expecting two more wells to be drilled before the end of 2023 in the deep waters.”
According to African Energy Chamber, Shino said that Namibia country is seeing a rise in seismic surveys, and by the end of the year, the government is planning to announcement a series of drilling projects that will take place during 2024.
Shino also said that the country is seeing heightened interest from global players, "owing largely to Namibia’s attractive fiscal and regulatory environment."
She stated that, “as a country, there is a benefit of being a late comer because we have gained insights from other countries on how
"AFRICA OIL CORP
Africa Oil Confirms Closing of Prime Debt Refinancing and Dividend Payment to Prime Shareholders (Cision)
2023-06-20 23:00
VANCOUVER, BC, June 20, 2023 /CNW/ (AOI–TSX, AOI–Nasdaq-Stockholm) – Africa Oil Corp. (“Africa Oil”, “AOC” or the “Company”) is pleased to announce that its investee company, Prime Oil & Gas Coöperatief U.A. (“Prime”), has confirmed the closing of its debt refinancing and thus significantly increasing its debt capacity and extending its debt maturity profile. This supports the distribution of dividends by Prime to its shareholders and, Prime will distribute the first dividend of 2023 for $125.0 million or $62.5 million net to Africa Oil’s 50% shareholding in Prime on June 21, 2023. The closing of this refinancing follows the renewal of Oil Mining License (“OML”) 130 for a period of 20 years, as announced in the Company’s announcement of May 29, 2023.
At the end of the first quarter 2023 Prime had an outstanding reserves-based lending (“RBL”) facility and a pre-export finance facility (“PXF”) with an aggregate outstanding debt amount of $720.3 million ($360.2 million net to AOC). Prime has refinanced these facilities with the closing of a new RBL facility and the PXF has been retired. This new facility is for a principal amount of $1,050.0 million ($525.0 million net to AOC) and has a 6-year tenor. Prime had a cash position of $396.9 million ($198.5 million net to AOC) at the end of the first quarter 2023.
Africa Oil closed the acquisition of a 50% shareholding in Prime in January 2020 for a cash consideration of $519.5 million. The Company has received a total of $712.5 million in dividend payments from Prime, including the $62.5 million amount to be received on June 21, 2023, and achieved payback of its Prime investment in under three years.
Africa Oil is also pleased to announce that the lenders in its standby credit facility, which is currently undrawn, have confirmed an increase in the available facility amount to $200.0 million from $100.0 million previously. The Company’s standby credit facility is available up to April 20, 2024, and has a maturity of October 20, 2025. At the end of the first quarter 2023, Africa Oil had a debt-free balance sheet and a cash position of $158.2 million.
..."
Part of the release