Member Info for komakino

c/o dcarn on ADVFN

'Perhaps some more assets that could come our way given there already appears to be a good relationship between them.

Petronas explores $3bn African upstream asset sale
Malaysian state oil company Petroliam Nasional has started inviting bids for its upstream assets in Africa, which could fetch as much as $3 billion, people with knowledge of the matter said.

Malaysian state oil company Petroliam Nasional has started inviting bids for its upstream assets in Africa, which could fetch as much as $3 billion, people with knowledge of the matter said.

Petronas is working with an adviser to gauge interest in the portfolio, which includes operations in Chad, according to the people, who asked not to be identified because the information is private.

The assets are likely to attract other international energy companies or financial investors, and could be sold piecemeal to different buyers, the people said.

The Malaysian firm has also been considering options for its downstream assets in Africa, though it hasn’t decided how to proceed, two of the people said. Deliberations are at an early stage and there’s no certainty they’ll result in a transaction, the people said.

Petronas has upstream projects in countries including Chad, Egypt, Gabon, Gambia, Senegal and the Republic of South Sudan, according to its website.

The company said in an emailed statement that it “regularly and proactively” reviews its entire portfolio to ensure it remains resilient amid the evolving energy landscape. It declined to comment on specifics.

Petronas has been planning to divest assets in countries including Chad, Myanmar and Azerbaijan as part of a global operational shuffle, Bloomberg News reported in February. The Malaysian energy group said in March that it’s evaluating geopolitical risk at the country level on all of its overseas operations.

https://12ft.io/proxy?q=https%3A%2F%2Fwww.energyvoice.com%2Foilandgas%2Fafrica%2Fep-africa%2F438073%2Fpetronas-explores-3bn-african-upstream-asset-sale%2F'

Yes, they were also questioning the Azura deal specifically.

https://www.thecable.ng/reps-panel-queries-30m-take-or-pay-deal-with-azura-says-it-fails-to-bolster-power-supply

From a SAVE perspective, as you say, the sovereign guarantee over rides everything.

'Responding to the committee’s interrogations, Emeka Eweluka, managing director, NBET, said of the ‘take or pay’ agreement, the investor took the entire risk of making a multi-million dollar investment in the country with the knowledge that the investment could become stranded.

He said for the investor to protect the fixed investment made, that could not be carried out of the country, there was an assurance that the investor would build a power plant while the government would sort the transmission needed.

According to him, when power produced by the investor is taken and utilised by Nigerians or not, the government pays for the power generated in line with the contracts.

Eweluka said Nigeria had signed no fewer than 25 power-related contracts, one of which was the “take or pay deal” with Azura, in which Nigeria pays about $30 million monthly for power.'

The Nigerian Bulk Electricity Trading (NBET) is the federal government-owned guarantor that buys electricity from generating companies (GenCos) and resells to distribution companies (DisCos).

I think we're all quite used to Africa time on here. Doesn't make it any the less frustrating at times but overall most on here understand that things are not always on SAVE's control.

Yes, that's my take on it too Tier so am reading that as a message that all will be completed, but then even SAVE can't guarantee what other parties ultimately do so there is still always a question over it until confirmed. Hopefully sooner rather than later though.

On a more optimistic note, FinnCap note yesterday said that completion of the Chad/Cameroon acquisitions were 'fast approaching' so put them down for the 1st September :-)

I'm going with the 30th for an update. I don't think the transaction is in SAVE's hands anymore, all their components are finalised, but it's simply with Chad govt/Exxon to resolve their differences. Cameroon/Petronas (which is a separate, distinct transaction) has been fairly quiet, though I suspect they will be announced together if both conclude. Either way I think we'll get an update 30th with Half-year results, along with an update on Niger and refinance (though FinnCap note yesterday suggested that has now been pushed out to end of year)

So, update at end of September but not necessarily deal conclusion is my guess. Hopefully I'm totally wide of the mark!!

PP, you can see the latest trades and share price here

https://www.aquis.eu/aquis-stock-exchange/member?securityidaqse=LEK

Thanks Trek.

'The expected close of Savannah’s Chad/Cameroon acquisitions is fast approaching ' ... good that FinnCap are reiterating this message suggesting it is just a matter of time before it happens.

'...the expected refinancing of Accugas debt before year end.'.... this was originally a KPI for completion in 2021 so disappointing that it is now pushed out to end of year, but I guess it is what it is.

Yes, certainly looks that way Hazdogg. Virtually all the daily trades are algo trades so no interest from PI's at the moment. Niger update has been pushed back to end of September with Half-year results according to a poster who spoke with Investor Relations. Only reason I can think is that it's all tied in with CC sign-off, and there's no sign of that at the moment. Lot's of political activity going on in Chad at the moment which probably explains why we have not heard anything. Thankfully there's a few Test matches to keep me occupied till September!!

Essentially it's ministerial approval that is required. Obviously at the moment there is quite a bit of political upheaval going on which may well be delaying any approval. In the admission document the anticipated completion date was 1st June, but since then it moved to Q3. The only bit that was on the critical path for SAVE was the IT system transfer which AK said was complete, so all out of our hands at the moment.

Yes, there is a possibility the sign-off is tied up with the peace deal negotiations I guess, though it didn't stop the renewable deals being agreed. Pretty frustrating stuff at the moment, hardly any O trades with Algos ruling the roost. At least we seem to be holding steady above 30p for now (famous last words!)

Lol, don't think we'll be seeing any documents Tier. Just a re-post of the article that was published a month or so ago.

Idriss Youssouf (Bad) Boy granted provisional release

The former collaborator of Mahamat Idriss Deby is prosecuted for influence peddling, illicit enrichment and abuse of office. On 22 July, the State Inspectorate General filed a complaint against him. Idriss Youssouf Boy has pleaded not guilty to the charges against him.

"There has been misappropriation of public resources. No one knew that there were resources ragged in this way. It was the transitional institutions that revealed what happened by condemning," Prime Minister Pahimi Padacké Albert explained on 23rd July in an interview with National Television.

"It is for security reasons that it was decided to keep it in a more secure setting, to ensure the reimbursement of the funds that have disappeared," added Pahimi Padacké Albert.

At least 13.9 billion CFA francs have been diverted from the SHT, according to figures "circumscribed by the special services".

https://www.alwihdainfo.com/Tchad-Idriss-Youssouf-Boy-beneficie-d-une-liberte-provisoire_a115592.html

According to sources with the judicial police, the alleged defendants in the SHT scandal case were presented to the judges last Saturday (23 July 2022).

Judicial police officers interrogated throughout the day the former private secretary of the PCMT Idriss Youssouf Boy, the former DGA of the SHT Mahamat Taher Issa, and Mamadou Bass, the director general of ORABANK, a credit institution based in Chad.

The 3 people were involved in a financial scandal, accounting for several billion CFA francs, cleverly diverted from the hydrocarbon company of Chad.

It should be noted that the scandal made a great noise beyond the Chadian borders, and shocked more than a compatriot when we know the precariousness of the Chadian population.

Arrested with a bang and staged, the 3 people are prosecuted for several charges. Idriss Youssouf Boy is accused by The Supreme Court judges of illicit enrichment, influence peddling and abuse of office, something he has not acknowledged. The former private secretary of the PCMT is sent to the Supreme Court because of his status requiring him to have the rank of minister.

Last Sunday (24 July), the former private secretary was presented to the Supreme Court, which notified him of the charges against him. He pleaded not guilty.

But according to other sources, in two days, Friday, July 29, the former collaborator of the PCMT has another appointment with the judges. We do not yet know the reasons, here too several hypotheses and scenarios are put forward.

However, the same sources argue that there is a fringe of those close to the government who affirm that if the former private secretary of the PCMT is not brought before a judge, no one from other communities will appear before a judge, if such cases are found.

Among this fringe are people who have other agendas, and who make the Idriss Youssouf Boy case a cutting-edge element to overwhelm the PCMT.

It goes without saying that there are several lobbies within the government that like to promote feelings of injustice, of misappropriation of public funds to the detriment of the majority of the population. It is made a pride in the theft of property belonging to the people, one takes pride in it, and one struts arrogantly trampling on a population that accepts fait accomplis, and that is content to peck on crumbs.

https://www.letchadanthropus-tribune.com/tchad-affaire-sht-les-presumes-ont-ete-presentes-devant-la-cour-supreme/

Interesting comment from Executive Chairman of the African Energy Chamber regarding new developments being set to follow the Perenco deal (who Savannah Energy follow on twitter)

“Production is getting back on track. I am bullish about what this project. I have always believed that when African nations stop throwing up roadblocks and start working to ensure that our oil and gas operators invest, our best economic opportunities comes to fruition. Chad as a country will reap the benefits of its huge reserves now that its leaders are taking this historic opportunity with Perenco and other operators and we encourage them to continue the dialogue and put the right policies in place. Under Minister Djerassem le Bemadjiel, Chad has created an environment worthy of foreign investment and following this announcement, new developments are set to follow,” states NJ Ayuk, Executive Chairman of the African Energy Chamber (AEC), adding that, “These kind of developments are what we at the AEC are excited to see in Africa. We have been saying for years that we need to develop our oil and gas resources to make energy poverty history and by getting production back on track, kickstarting exploration and utilizing intra-African pipeline networks such as the Chad-Cameroon pipeline, Africa will develop.”

https://african.business/2022/07/apo-newsfeed/perencos-petrochad-exports-first-oil-via-chad-cameroon-pipeline/

Well as long as things turn out better for us than Walter :-) One of the posters on ADVFN spoke to IR who said that the Niger update would be alongside the Half-year results which are due end of Sept. My guess is that the finance is dependent on the CC acquisition in some way, though hopefully with the Petronas deal being signed off we may not be too far behind.

CYB, think this is a copy and paste of the AI article in another periodical

The president of the Chadian transition, Mahamat Idriss Déby, could soon visit Saudi Arabia. A trip on which the diplomatic team of Crown Prince Mohammed bin Salman has been working for several weeks.
The president of the Chadian transition, Mahamat Idriss Déby. © Ludovic MARIN / AFPFormer Saudi Secretary of State for African Affairs and current Senior Advisor to King Salman bin Abdulaziz al-Saud, Ambassador Ahmed Kattan has been phosphorus for several weeks on the program of an official visit of the President of the Chadian transition, Mahamat Idriss Déby , says "Kaka", in the coming weeks. The latter has already spent several days in Saudi Arabia in April as part of his pilgrimage. He took the opportunity to meet Mohammed bin Salman on 27 April.

The influence of the Gulf countries in the transition.
Chad has increased contacts with Gulf countries since the death of Idriss Déby in April 2021. The pre-dialogue with the politico-military has been taking place since March 13 in Doha, Qatar and the emirate should finance a large part of the DDR (disarmament, demobilization, reintegration, AI of 05/07/22).

As for the United Arab Emirates, where "Kaka" visited from 26 to 28 June, Chadian Minister of State Abakar Manany is particularly influential on the management of the bilateral relationship. Kaka's half-brother, Zakaria Déby, has also been Chad's first ambassador to Abu Dhabi since 2018.

Financing of the Sahelian alliance
The Emirati Minister of State for African Affairs, Shakhboot bin Nahyan al-Nahyan (AI of 05/04/22), had chosen Chad as his first trip to Africa in February 2021 during a G5 Sahel summit. The Emirati official and former ambassador to Saudi Arabia had then again promised Idriss Déby to disburse the rest of his envelope of 30 million euros promised to the G5 Sahel. The emirate has so far paid only 10 million euros.

For its part, and despite several promises in this direction, Saudi Arabia has never paid the 100 million euros in favor of the Sahelian alliance that it had committed to finance. A subject that could be implicit in the visit of "Kaka" to Riyadh: Chad still holds the presidency of the G5 Sahel since February 2021, and Mahamat Idriss Déby multiplies attempts to remobilize the alliance weakened by the departure of Mali and the questions of Mauritania and Burkina Faso about their future within the alliance. In mid-July, Nigerien President Mohamed Bazoum visited N'Djamena to discuss the subject.

Africa Intelligence.

https://www.letchadanthropus-tribune.com/tchad-arabie-saoudite-mahamat-idriss-deby-attendu-en-visite-officielle-a-riyad/

I'll let you work out the correct translation of phosphorous ;-)

Maybe this is confirmation that Chadian authorities are now getting oil projects moving and SAVE will follow? Difficult to say. I'd imagine at the moment that Exxon are still running the show until confirmation is made of the transfer, but all revenues will be offset against the purchase price when signed. Interesting to hear Zengas' views as always.

cyb, see Reuters note below on 4th Nov 2021

N’DJAMENA, Nov 4 (Reuters) - Glencore has reached an agreement to sell its oilfields in Chad to Anglo-French oil company Perenco, a company spokesperson told Reuters on Thursday.

Mining and trading giant Glencore entered Chad in 2012 and acquired the oilfields in 2014. But the purchase took place just months before a major oil price slump in 2014, and Glencore put the fields up for sale in 2019.

“Glencore has reached an agreement with Perenco S.A. (“Perenco”) for Perenco to acquire Glencore’s Chad upstream oil assets,” the spokesperson said.

“The Transaction is subject to certain conditions precedent, including the approval of the Chad Government,” he said, declining to say how much the deal was worth.

Perenco did not immediately respond to a request for comment.

The oilfields produced about 7,700 barrels per day (bpd) before Glencore placed them on care and maintenance in early 2020.

Perenco, which is active in 15 countries, including several in Africa, is known for acquiring mature oilfields. (Reporting by Madjiasra Nako Additional reporting by Julia Payne Writing by Aaron Ross Editing by Edmund Blair and Mark Potte

Perenco has exported its first oil via the Chad-Cameroon pipeline following its acquisition of trading house Glencore’s upstream Chadian portfolio. The exports mark "the first step” in the independent’s efforts to restart and rebuild production at the Badila and Mangara fields, output from which was halted during the pandemic. Perenco is seeking to return the two fields’ combined output to around 16,000bl/d. The independent cited “close coordination” with Chadian NOC SHT and the country’s minister of hydrocarbons for the “rapid resumption” of flows. Perenco has also previously identified “significant untapped potential” at Badila and Mangara, as well as the undeveloped Krim field.

https://pemedianetwork.com/petroleum-economist/articles/upstream/2022/perenco-exports-first-chadian-crude/

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