VOG29 Jan 2019 13:14
Malcy:
Victoria Oil & Gas
A production update from the Logbaba project in Cameroon from VOG today, hot on the heels of the last update you might think. Indeed if the figures are as good as this then why not keep the market informed especially after what was a pretty grim year in 2018. Production January to date is 9.56 MMscfd (10 MMscfd if you add condensates) and the week of 19-25 January was 12 MMscfd which gives net monthly revenue of $2m.
The company also notes recent market and press speculation regarding potential fundraising by the company and whilst it says that it ‘has been assessing various potential funding options’ it has nothing to announce at the moment and with such strong cash flow may have pushed back the need for such a raise. After the trauma of the last year, investors are clearly recalcitrant about piling into VOG and who could blame them, but it is worth looking at the potential upside not just from Logbaba but from Matanda and of course the opportunities in CNG and the ‘Energy well’ concept which were developed last year. I have given VOG way more time than I normally would, one of my many faults, but from here it is probably worth another look, the upside is still considerable.