Member Info for Lobon

Most financial institutions don’t want you to pay it off quick akin to any credit, in turn they make more cash themselves.
I think it’s AK demonstrating they can service debt at this level for debt restructuring/new asset acquisition

Load of rubbish if you ask me , this sort of thing is why save need to release news . Any loanee needs to repay , however what they do with their cash is naff all to do with financing house , AK has said in the recent past they could flow money into Niger if required but prefers assets to be stand alone
Nothing to see here ,switch off and have a great weekend

Comms since cammarco has been on board has been terrible as I knew it would be .AK Promised lots of news flow that never came , simply paying lip service to the shareholders.
This right now is the exact reason why the share price went down to 6p surely the board see that .
As for the results I don’t expect anything in the way of an operations update .
What have you been doing for the last 6 months AK??

Courtesy of chris Engel on ADVFN excellent post

Here are my notes from the conference call.

* 6000boe/d production with opex around $40m which comes to opex of $18/boe
* Acquisition of 4 PSCs, 2 are operated, 2 non-operated.
* PSCs expire 2028 and 2031, extensions possible and likely if further investments are made
* Operated PSCs account for 80% of reserves and 66% of production
* Oil is referenced to TAPIS, which had a premium of $4-$6 to Brent pre Covid
* Decomissioning of platforms is paid. Decomissioning of the wells not. Costs around 2/3 platforms, 1/3 wells.
* Cost $9m. Effective date of transaction is 1 Jan 21, they expect that there is no payment to be made for the assets when transaction is complete in H2/21
* 3m extra payment if oil averages $65 or above in 2021 and $3m if oil averages $70 or above in 2022
* there are pre-emption rights and waivers that could prevent the acquisition. The conditions are on a per PSC basis, so one might fail but the others would still go through (at least this is how I understood it)

PM 323
* Operator
* three producing fields, 31 active wells, 8 idle wells
* they are most excited about the East Belumut field where most of the drilling will happen in future years
* Oil is 22 API, he mentioned it was similar to Stag
* There will be a lot of drilling in this field. First campaign could be 4 wells from 2023 onwards. Costs around $5m per well

PM 329
* Operator
* high recovery factor expected
* 12 active wells, 2 gas wells

PM 318
* Non operator
* 4 active wells, 2 idle

AAKBNLP
* Non operator
* 8 active wells, 4 idle wells
* PETRONAS had some success in boosting production from workovers lately

Looks an excellent deal on paper $9m for 6000 bopd equivalent and reserves of 12.1m earnings taken from January 1st 2021. All paid with growing cash reserves
Big tick for JSE

we had a similar news black out leading upto the severn transaction , until african intelligence let the cat out of the bag. in turn this forced SAVP at the time to make a statement as i remember , however they had been already been suspended for 6 weeks until they released press speculation Statement RNS

You could guess another 10% is sitting with holders on undeclared interest below 3%.
200m ish shares free float I’d imagine

It’s like they are getting ready for something?

https://youtu.be/1HtxcMA9LMQ

Presentation is now on you tube

Yes and they aren’t in here for 5-10% stake of SAVE..... wouldn’t even touch it simply based on growth of any acquired stock . For me their interest would be based on the assets alone .

me personally there is enough high quality assets available for M & A as a lot of the majors are looking to divest large swathes of their portfolio's . rather than get involved with something like this .
AK has bagged seven assets , whilst being a small cap explorer . the next deal (if any) will be much much easier , however i suspect they will have to renegotiate their debt before they leverage further .
that renegotiation could virtually pay for any new assets on what hey are paying right now

sounds a bit of a poisoned chalice given the link i posted

The government has revoked the licences for the 11 fields that are not producing, Auwalu said. The companies that have lost these fields are carrying out litigation in an attempt to win them back.

“The 11 marginal fields [from the first bid round] are not among the 57 on offer now. The litigation is on whether the Petroleum Act provided for revocation,” he said.

Should those companies pursuing legal cases against the government reconsider they may be able to win the lost fields back, Auwalu told Arise News. “If they come out of court, the government will consider if they can be re-awarded – to them or anyone else.”

One problem that marginal field developers have faced are clashes between companies and local communities. The DPR head said the current round emphasised community involvement.

Can’t find reference to one winner as yet , therefore it’s safe to assume it my be embargoed until a certain date .

https://www.energyvoice.com/oilandgas/africa/ep-africa/297472/dpr-marginal-signature-round/

A large buyer about IMO, flip flopping around this range .

I believe some stake building is taking place here in the range , flip flopping between 19 and 20p . Seems all a bit convenient , almost manipulated and predictable.
Btw tomorrow will be a down day somewhere between 19 and 20p , doubt I’ll be wrong either.

a mid price trade certainly looks like a buy to me , just to throw you off the scent
if it was a sell it would be at the bottom of spread thats for sure given its size , look at the trades around that time certainly doesn't point to a sell in my opinion

Incidentally it took an hour for my order to filled filled this morning.... what sort percentage is institutional holding here?

after 3-4 days of research here finally took the plunge , my first share buy in about 18 months.
i like the model and the regions where JSE operate but most of all management are very impressive.
this is a long term hold for me

Excellent post as always zen , aj changed tact slightly with his comments on some interview a while back regarding the Niger farm out .
Along the lines of industry partner or an investment company. Never mentioned an investment company before .Seems to go along with your line .
Lots of mid cycle assets majors are looking to offload right now , that just don’t have the scale of production that the big boys require.
I believe it’s a wave of opportunity right now worldwide that was seen in the North Sea 10-15 years back allowing smaller companies get some world class acreage relatively cheap then going on to make substantial size companies.
I wouldn’t be surprised to hear that save were looking at 2-3 of these types of deals