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Avannaa previously owned the Disko and Kangerluarsuk licences alongside licences in Jameson Land. They had an exploration agreement with Anglo which includes a 55% interest in Jameson land and any other additional properties...Anglo were interested in copper. Jameson land is similar resource to Disko.
“ Avannaa’s partnership with Anglo American covers its Jameson Land assets, which have potential for sedimentary hosted copper. The area contains many known copper and other base metal mineralisations found mainly in Permo-Triassic rocks. For its part Anglo American has the option to earn 55 percent interest in Avannaa’s existing exploration licence, as well as any additional properties that the parties choose to jointly explore within an Area of Interest comprising southern and central Jameson Land, and wholly outside of the National Park area, by expenditure of $15 million over a five year period. To date the East Greenland rocks, comprising approximately 2,500 square kilometres within the Area of Interest, remain under-explored.”
https://www.bus-ex.com/index.php/article/avannaa-resources
Maybe Jay reopened discussions with Anglo when they acquired the licences.
The final results are good.
Sales are in line with plan - 50kpa. Further cost reductions and implied growth in sales given the significant investment in infrastructure, particularly with licence approval to sell much larger quantities of product.
Financial results are up to Year End being 30th June 2019. This doesn’t include Sales etc.
Let’s not forget the cash raise at 18p before all of the positive steps forward
This should be pushing back up to the teens. Await the Santa rally
Main issue historically as declaring sales and not seeing the money come through in the same time period.
Given sales period is between Q3/4 maybe they are waiting for cash to come through before reporting?
No matter what industry to operate in, normally there is a lag between sale and money coming through
They will be upgrading resource. The only issue was the well didn’t flow due to mud but it was never meant to flow, it was meant to prove resource which it has done
Block2a has “several multi tcf prospects”.
My prediction is over 5tcf. Given they are negotiating a PSC I doubt they will promote the resource until its signed. And given this isn’t the type of asset they were targeting, yet still perusing it, I would assume they will look for a farm in partner ——which implies it’s massive because majors won’t consider it economical unless it is massive
As for mako - estimates depth was 7m, and its 10m. I suspect it’s a lot bigger than predicted
Most of the comments on here are noise at best. Or from uneducated or inexperienced investors.
It’s clear when a trader or broker is commenting here to support their short.
Similarly comments such as “ Poor bopd,
You have been knocking this stock since you bought it about a year ago. During that time the share price has fallen by ~50%” are illogical. It implies someone has bought shares, then spoken negatively to the point they are at a loss - why would anyone do that?!? Better off putting the money in a charity.
The main issue here is lack of feedback from the board.
Factually the product needs to be tested in the real world. Then the produce needs to be tested, verified and reported on. The reports seem to be positive and suggest the product improves the quality of the plants.
Sales are going through and they have cash.
Ultimately the catalyst will be good sales data. Recent RNS’ suggest that is coming so you either buy now before news or buy at a premium post news.
This is all about block 2a “several multi tcf prospects”. Ie minimum double pttep resource next door. And PSC on this block before Xmas.
Ultimately this is the game changer
I think investors are not taking note of Block 2a. “Several Multi tcf prospects”. That automatically makes it more than double the recent PTTEP find.
Worth noting that execs were involved in cove and its 20tcf-50tcf asset.
This block 2a is not deemed an asset that the co would normally target . It’s primary focus is shallow wells.
Further more, the cost would be steep, so only a major would be able to drill it. And at present there is not many farm ins happening due to price of Oil & has etc.
Thus given it isn’t a core focus for the co & only a major would find it economical - the execs must consider this big enough to take this forward and confident a partner would take it on.
In short I suspect this is a very big possible asset
I have a feeling Block 2a will be a monster. But the execs made it clear that deep water isn’t their ambition so I think they will seek a farm in partner.
So why do I think it’s a monster? - at a time when farm ins are not that popular due to economic viability / risk reward, this would have to be significant resource for a major to take that risk
It was very interesting...block 2a (expect the unexpected)
Based on the presentation I think there is a mega TCF resource in block 2a. I think the quote was “exceptional data”.
10p is my target if they find a multi tcf resource alongside the other assets being drilled
Just a thought...given the recent attempt to acquire Ophir, would anyone be surprised if Coro put in a cheeky offer for Sounds Moroccan resource that’s up for sale. Could add a lot of value here with predicted 60mcf gas per day. Although appreciate it’s not in the same region as our other prospects
Why would the execs by in the open market if they were going to raise capital. Not only that, the whole point of the Eutobonds was to prevent dilution - because execs have warrants @ 4.38p that expire April 9th. Seriously, some investors are like mindless zombies who follow whatever a troll will say. Sound did 400% after Eurobond. Execs have a long history of the region. This will do very well.
Fellrunner, are you off your head. You can’t take out a Eurobond loan greater than the mcap of the company if the loan provider isn’t confident the asset is worth it. You can’t sell £10m’s in to the market and expect to get out.
(UK) import lots of energy because it doesn’t produce enough of its own, reluctant to frack, prohibitive costs of the North Sea etc etc. That said, even if we did have the weald producing oil & gas, it would require £bn’s of investment and pumping millions of barrels a day, not 10,000 pd. We wouldn’t be self sufficient for at least a decade and, given the depletion rate, I doubt it would last long.