RE: My take on the last RNS9 Feb 2021 17:54
@Jubileey Do you think the banks would allow us to use the RBL for Uganda ? Did you include our contribution to the pipeline which would have been required to participate in Uganda ? If so our contribution rises to over $3 per barrel ? Do you realise that first production will probably not be for another 3 years and we have no spare cash ? Do you have any idea what value Tullow can generate from the Ugandan proceeds . Assuming oil at $65 per barrel we have projects yielding IRRs of 130% at Jubilee. Having been royalty shafted for 10 years ? in our dealings with the Ugandan Government I for one, am so pleased we are out of Uganda. To be fair to you, the headline price per barrel achieved is very low by historical yardsticks but you assume that Tullow had other assets to sell at a time that the industry was in survival mode. You will no doubt be pleased to know that Kenya should work at current oil prices so lets see how we do there .