Member Info for ShouldveSold

Beautiful RNS. Not only have investors given the BOD a vote of confidence but also voted for them all to get pay raises :)

I don't think we will get an operations update, just a clarification on which resolutions were passed and if any weren't; who will step down.

If I remember correctly, S2 was forecasted to reach ROI in 24months. But that was a drilling cost of $2M. Even though the price of oil has increased I would of thought ROI would now be circa 3 years.

I get the impression that the two Chairman are scratching their heads with their company and don't really have a plan and have a belief that if they employ as many directors & senior management as they can, someone will come up with a good idea that might work.

Well if anyone pays attention to the 5 year chart, history says .018 is the resistance and if it falls through that, then it's free fall the very bottom at 0.005p.
History does have a habit of repeating itself and even though the resources appear to have grown over the past 5 years, nil production and 12 months more exploration on the cards suggests the chart could follow the historic pattern.
Unless news of a monster discovery breaks...

And my disappointment will be with fellow investors who continue to enable them.

With the AGM results a few days away, I will be disappointed if big announcements and departures aren't afoot.

I think in October 2022 investors will still be asking " when will an application to re-open the mine be submitted".

No need to take it there bigpat, we are having a peaceful productive discussion here.
:)

Based on those figures, a sale price of £30M seems like a good deal. Mind you if £14M of that has to go on consultancy fees, (which wouldn't surprise me), maybe not so much..
I wonder what the Gniess fees would be with a sale.

£40M a year gross to Scirocco is a eye-watering. I honestly had no idea it could be that high.
But after waiting 8 or so years with governmental delay after delay, I am torn on thinking whether Scirocco should sell up completely and exit Tanz for good or continue to hold a percentage.
It would depend on the Tanz gov being 100% committed and fast tracking and not more months/years of indecision.

Is £30M in hand worth £40-80M in the bush?

bigpat I agree & disagree with you equally lol.
I think had the Tanz gov commissioned all the infrastructure needed over the past 10 years, these assets; once drilling & testing was completed, would be turnkey & a very different scenario.
I don't know how much income would be net to Scirocco in 2025 with the Chikumbi well/s & Kiliwani North/South all producing revenue.
Whether it would be £5000 a month or in the high tens of thousands or millions?
How many years would it take to generate the same figure as a partial/complete sale?

Seeing the possible figures would give me a better idea of what would be more beneficial.

"The East African country is desperate to unlock as much as $30bn in foreign investment but also to escape the energy transition, or the rush to decarbonize that could render its enormous gas reserves useless."

The above excerpt is without doubt the most encouraging paragraph I have read from the Tanz Gov in the past 8 years.
Although this may be the sentiment & words from one person, all it would take is an environmentalist movement or elected a official to reset the landscape back. So I am not going to read too much into it.

According to the interview the Gov will continue to engage in talks with hopes that actions will be implemented & infrastructure investments starting in 2023. That is still in line with "first gas" in 2025, possibly earlier in mid 2024.

If the appetite for acreage in Tanz now starts to increase, that will change my opinion on whether a Ruvuma sale will come. To me it feels as though Solo/Scirocco and more importantly we the shareholders have dragged these Ball & Chain assets for over 10 years with little return. To see Ruvuma turn into a monster gas producer for Scirocco to have exited Tanz completely would be a kick in the teeth as far as I am concerned & another lost Gas Deal. So if a sale is on the cards, I would want to be higher than the £20M ballpark suggested by TR. 
Right now Gas & LNG is more valuable than Biogas. So selling out of a high margin commodity to own a lower margin commodity may make ethical sense but not financial sense. Unless the G8 countries all sign legislation that a percentage of combustion engined vehicles or domestic heat generation need to run on Biogas by a particular date, I don't see a mass movement to switch in the near future.

Up to this point, my view has been that Scir should exit Tanz completely ASAP. However if the Gov now want to develop its resources & after years of stalling, want to fast track gas production then I would rather Scir keep a percentage as a passive revenue stream maybe a in "free carry" format.

Lol

Christmas party at the Ritz for the Chair & 2 board members is ON !!!!!
:D

For me this new has come out of the blue because I had zero belief in the Tanz Gov intentions or commitments.
I don't know if Scirocco's BOD played any role in negotiating this settlement but either way its good news, even if the KN1 project doesn't advance with remedial works in order to restart production.
I am now hoping this will be the next step and I will be pleased if Scir choose to use any monies received with the settlement to contribute to remedial works and restarting production.

This market sentiment on Scirocco is evidently still bottom drawer. This news may not move the SP at all. It may take the KN1 restarting to put Scir on the radar again.
October is turning out to be a good month for Scirocco. Well done to the BOD again. 2 home runs from 2 pitches. (Double thumbs up from me)

My eyebrows have cramp.

Well that's my main concern now cperkin. And it does explain why the SP is range bound. It has actually been higher this year without news of the Greenan deal.
How can the market value the company if its financials aren't understood.

I will add that just because Scirocco was charged £425,000 by Gniess in the last financial year, it doesn't mean they will be charged the same or a similar amount this year. But without the actual numbers broken down, who can be sure?

Guys I don't think I am asking for a lot from Scirocco here. I just want to understand the balance sheet.
If anyone has broken down the figures or understand them better than I do, please share.

I just want to know the exact amount of the retainer & the exact fee paid for the Greenan deal.
The £425,000 wasn't broken down.
For all I know the retainer could be £1000 per month & the consultancy & deal/legal fees equated to a transaction fee of £413,000.
I just want to see the numbers; because I suspect the market is as uncertain as I am.

Even separated or income being reinvested immediately, income is income & expenditure is expenditure. I just want to understand what is incoming & what is outgoing.

I am still waiting for clarification from Scir whether this Greenan company will provide an income of £25,000 a month. Or whether the consultancy fees to Gniess for this deal will cost Scir £35,500 a month.
And if that figure is correct, will %50 of that monthly fee be paid by EAG.