Member Info for optimist13

Hi Mike, thanks again for your input.

Given the opportunities that could/will be available to Comarco at both the Port in Mombasa and the opportunities in Mozambique, I would have thought the raising of funds will not be an issue and the RTO will complete.

A tremendous opportunities for investors in AAAP at the current price IMHO.

Buys going through as sells again....

Added a few more today.

Thanks for the update Mike. Quite happy to sit this one out as I feel the rewards will be worth the wait.

Good update on the progress being made. News of a decent contract would certainly help the cause here.

Zante - because of the size of the trade, the listing of the transaction was delayed. It is usually an hour after. This is quite a common occurrence.

I happen to know this as I was checking the trades on NEX that morning.

DShox - I think you need a new battery for your calculator. The trade is valued at just under £10k, not £50k.

I wonder if news has leaked. Nice delayed buy gone through on NEX this morning:

27/08/2019 09:00 1,987,562 0.5

Funding being lined up for the project:
http://www.kallanishenergy.com/2019/08/26/exim-proposes-5b-mozambique-lng-support/

The Export–Import Bank of the United States (Exim), the official export credit agency of the U.S. federal government, proposed last week a $5 billion loan to support U.S. exports related to the Mozambique LNG project.

The venture, led by U.S. oil and gas independent Anadarko Petroleum, envisages the production of liquefied natural gas from offshore Area 1, connected to two onshore LNG trains totalling 12.88 million tons per annum (Mtpa).

The $5 billion loan will be considered for a final vote by Exim’s board of directors, after a 35-day congressional notification period, Kallanish Energy learns.

DShox - yes major transformation for Mozambique and the companies associated with the LNG deal.
https://www.bloomberg.com/news/articles/2019-08-16/total-says-anadarko-s-mozambique-lng-project-is-a-perfect-fit

Total SA is committed to developing the Mozambique natural gas project that it will take over from Anadarko Petroleum Corp. as part of its expansion in Africa, the company said.

The project, to cost as much as $23 billion to develop, will be Africa’s biggest single investment, and Mozambique is counting on it to transform the economy. The southeastern country is one of the world’s poorest, and needs resources to adapt to extreme weather after two powerful cyclones in the same season this year.

Shouldn't be too long now before we hear further news.

Not sure if everyone is aware that Comarco also have a JV base in Mozambique as well. Well placed to gain significant contracts:
https://www.comarcogroup.com/palmashore/about/
Palma Shore Services Lda is a fully registered, licensed and incorporated Mozambican company, set up and strategically positioned to play a leading role in providing services and solutions to the developing oil and gas sector in Mozambique.

PSS is the formalisation of a strategic partnership between Consolidated Oil and Gas Services (COGS) and Consolidated Marine Contractors (Comarco), incorporated to provide a specific focus on delivering a cargo logistics solution in Palma, Mozambique to any companies looking to deliver cargo and goods into the region.

COGS is a Mozambican based company that provides specialist services principally to the mining and oil and gas services industries in Mozambique in particular and to the Southern African region in general, offering localised knowledge and expertise in these industries.

Comarco is an East African based marine logistics company, providing general shipping services together with specialised marine logistics, beach landings and cargo handling solutions in Africa and further afield.

Through combining their resources, local knowledge and experience, Palma Shore Services will deliver bespoke solutions on a turn key basis to local challenges in the region.

GR became involved in AAAP through his substantial holding in Dynamic Intertrade(Pty)Ltd back in 2014.

A little research will show that he received shares in AAAP valued at 2.40p and 2.13p.

Dynamic Intertrade is now a profitable company and GR needs to see a large increase in the share price before he gets back to break even on his investment.

No, still here. David and George haven't left yet and they are still large holders in AAAP.

If you look at previous RNS's, you will see that George has paid an awful lot more for his stake that where the share price is today and I am sure that both he and David are expecting to see a good return on their investment.

RTO's can take a long time to complete and whilst it is frustrating, I am sure our patience will be rewarded.

The MM's must be getting desperate dropping the bid price on zero trades. Funnily enough, they haven't dropped the offer price.

More news can't be far away..........

Someone has managed to get a good trade on NEX. The next lot of news cannot be that far away, which should offer a lot more insight into the prospects for the Comarco RTO:

02/08/2019 12:53 406,804 0.487

I don't think so. If you look at the detail on the company's website, they have 16 acres in total and a decent frontage. They may have to build a couple of additional warehouses if demand for the custom services takes off, but that will be a nice problem to have.

Carrefour - that is probably why AAAP are exchanging shares at a discount to the net assets of Comarco.

In the results Comarco have stated that they expect the income streams to rise rapidly, so I would envisage the second half will be a whole lot different to the first half.

Also, a look at the assets they own, i.e ships, barges, etc, will also help facilitate significant increases in revenue. Revenues from the Marine Services Divisions were only $471k in the first half of the financial year, yet the value of the assets is $12.4m. A few contracts from Anadarko will transform the revenues from the Marine division.

The research notes from VSA Capital when they are released will give a much more detailed picture of where the company expects the revenue and profits will come from.

A bit more patience is required, but I feel confident it will be worth the wait.

DShox - as I said in my post, the outlook is very positive, but Comarco still posted a loss of $3.4m in the first half of the year.

It would be good to have a figure on the additional revenues expected from the signing of the new Port contracts as this should make a material difference to the outlook for the second half of the year.

For me, the news that will really set this RTO alight will be the contracts awarded from the Anadarko LNG project in Mozambique. As was highlighted in the results yesterday, the total value of the project is estimated at $70 billion.

The half year report for the Comarco businesses does not make good reading from a balance sheet perspective, but the opportunity to make significant improvements in revenue and profit are very real with the recent developments.

The change to the Port status has already secured new contracts with additional revenues commencing from July and further contracts are due to be signed.

Given the onshore and offshore assets Comarco hold, they stand to be the recipient of significant contract awards from Anadarko.

AAAP are paying below NAV for the Comarco businesses. As new contracts are announced over the coming months, the price paid should prove to be very beneficial to existing shareholders.

I like this sentence from the AAAP report:

"With the current business performing soundly and the acquisition of the Comarco Group now signed and subject to closing I believe the outlook for the Company and its shareholders is exciting"

Carrefour - they are in the middle of an RTO, they aren't allowed to buy shares.