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This is not Brexit. If there is no news by the 15th then there will probably be another short extension until after the election. But Zubairs will want assurances the farmout will be signed.

Positive noises. $140m investment on the table courtesy of Aminex. All it needs is a signature. Being back in the state offices, and not on the election campaign road, should mean that he's been available for approving the farmout. His wish just came true with Aminex.

Maugfuli wants more investment from UK in Tanzanias' vast raw materials.
https://dailynews.co.tz/news/2020-10-055f7b328bc117a.aspx

British High Commissioner met with President Magufuli yesterday to discuss UK/Tanz relations. One topic was about electricity generation and investment.

https://twitter.com/UKinTanzania

A farmout is a win for Aminex, a win for Zubairs and a win for the government. A win, win, win situation.

Wasn't it AEX and Solo that found the gas after Tullow stopped drilling and bailed out of N1.
If it wasn't for AEX and Solo, the Tanz Government wouldn't have any onshore gas . This whole thing might centre around the possible huge oil find deeper down at CH1 which they will be testing. The gas will be very nice on it's own, but an onshore oil discovery changes things a bit? Zubairs are good to have in your corner as operator in these scenarios. Should be a tick for the Government. They would love to have oil aswell.

Maybe they are collecting cheap shares.

Where does anyone see this going should the FO be signed?

CGT on oil and gas assets is 30%, so I would agree the $2.2m paid is not based on $40m. It would suggest about $7.3m gain which could be the cash part of the FO deal $5m + interim operating expenses under the FO agreement. These are currently categorised as loans until FO completed.

CGT would be charged on monies benefitting to Aminex as a result of the farmout. $5m payment by ARA on completion of the farmout and $35m for the free carry of Aminex. So $40m.

That would be force majeure under contract terms. It's a standard clause.

There has been a legal transaction, hence the tax certificate which confirms CGT has been paid on the farmout aswell as SDT paid by ARA. What we need is the Government to sign that all is in order and approved. Final approval a formality however Tanz Government are very slow.

I would say he's been given assurances by the Tanz government it will be signed and he is using the Zubairs as a proxy for saying we will give you a deadline of 15th October. It's not my deadline, it's the Zubairs deadline. I tried to persuade them to extend for longer until after the election, but they want it signed before the election under the current government. We see now how fast the Minister of energy moves to pull out the stops, and test their honesty.

First trade was a 1m buy and not a sell.

Aminex would know by now if the government were not going to give approval. The government have not said they won't sign. A date has been requested by Aminex being the 15th October and are hopeful that the FO will be approved by this time. The issue with the government is the length of time they are taking to approve. They are rather slow which is normal, unfortunately. If there was no chance of the FO being approved, then the TRA would not have issued the tax certificate. If the government were conning Aminex and the Zubairs by stringing them along and dishing out certificates, then they really are not that intelligent and are be stupid. However I don't think they are that dumb. The basic and simple explanation is the documents are sitting in someone's in tray and they will get around to it, probably a bit quicker now there is a deadline.

My thoughts are the Zubairs don't want to be dealing with another administration after the election. This would just add more delay while they find their feet. Much better to get it signed off under the existing administration who are familiar with the details. Besides, the incumbent have a legal obligation to get it signed, rather than leave loose ends.

Bookbuild quite successful.

The Company is pleased to advise that it has appointed Investec Bank Plc as joint broker. Investec Bank Plc is an international banking and wealth management group. The firm's corporate and investment banking division works with growth-oriented companies, institutions and private equity funds, offering deep sector experience in resources and oil & gas and providing its broking clients with a comprehensive range of solutions spanning capital, advice and treasury risk management.

Sorry, $12m in the bank, gives $32m. Well cost is $30m.

£10m in the bank. Gives $30m.