Member Info for ZENGAS

Nigeria oil Revenue in 2022 was US$29.8 million (2021: US$ 15.0 million) for oil, condensate sales and US$1.6 million (2021: US$1.7 million) was for processing of third-party crude oil.

I would have thought 2023 oil and condensate revenues + 3rd party processing of oil could be around $25m

"It is expected that the existing Stubb Creek production facilities will be debottlenecked in 2024 to increase oil production capacity to c. 5.0 Kbopd."

That would increase oil revenues by about 70% to maybe over $42m.

Surely that must be a priority/close and if not why - opex/capex paid in naira from gas operations and revenue in dollars reducing exposure.

2024 a year to break through $300m revenue in Nigeria plus whatever 2024 holds in terms of new gas contracts with the CPF upgrade.

Would have thought that the longer the delay the actual net cost must have significantly reduced on S.Sudan.

Either we are an 80k boepd producer for 2024 on S.Sudan completion shortly to $1.5b+ revenues which would be transformational (or not > 30k boepd/$300m ).

S.Sudan has a substantive upside opportunity for increased oil production potential even by what would be a modest 50% next 2+ years so not to be underestimated given the purchase price must have significantly reduced by now (and again in the next 6 and 12 months to this year end (ie 3 years) - perhaps fully paid for - see AET and Panoro recently on circa 2 years for asset being repaid).

Would this potentially negate the need for any significant or all Nigerian financing if S.Sudan were to complete ? (Perhaps wishful thinking?)

What is plan - re alternative growth avenue if not completed versus actual completion ?

Niger - pipeline complete and opportunity for bringing in a partner for ongoing exploration at some point - cash injection/share costs ?

From memory 27 opportunities assessed - what else was close/considered with/without S.Sudan ? Where does 1-2 of those now sit ?

With a year passed, will we hear preliminary news mid year on Doba oil ?

Renewables - not attaching any importance right now for major share growth until the above is clearer.

TYB Khazakstan is fine but i don't think its top of everthing now. I'd keep an eye on the cash RBD has and how it could make a difference for ZEN in the bigger picture.

He's not getting involved at RBD for fun imo. Obviously if it doesn't go through it will cause a rethink to a plan B perhaps (unaffecting Khazak) but that cash would be significant to move it elsewhere. RBD doing share buy backs now.

What management is going to be appointed to Leopard that they said would happen soon? Could it possibly be some of those who are working on getting voted in to RBD in 5 days time if it works. Zeniths Leoprad wants to acquire US assets.

Look at RBD re Daybreak Oil and Gas Inc - USA.

'Reabold has a 42% shareholding in Daybreak Oil and Gas Inc ("Daybreak"). Daybreak is an OTC traded oil and gas company engaged in the exploration, development and production of onshore crude oil and natural gas, primarily in California.'

AC could be working on a bigger plan right now and the $25m bond could be part of it all.

I don't know how it would affect everyones shareholding/dilution if any but imo it would be positive in time.

I think there's more importance to RBD now than some have researched.

As in for a 'plan B' at Zenith if not voted through.

I'd go back to the RBD interview posted a few days ago (which maybe some decided to have it removed without thinking of the bigger picture) in which they talk about their concerns on the assets so yes they must be aware of how they see AC possibly having a strategic plan involving ZEN.

And now SH saying "It has also not received sufficient, detailed explanations which address matters of concern" so perhaps AC doesn't want to engage to divulge any plans ?

ZENs Leoprad in the US could have some relation to the RBD assets as part of all this.

If you're not bothered you should be.

It may be to get their hands on the cash and some assets from RBD.

How can he potentially be CEO of two UK companies splitting his time running both if there's not something in this for Zenith - obviously there's something at play strategically (imo) and i feel if its not votoed through it may impact ZEN.

Then there's the upcoming appoinment of a board for the US listed entity - who'll run that and the hoped for acquisitions.

5 days untiL Wednesdays RBD vote.

Be interesting if AC is voted in and if RBD doesn't find a nomad would the assets be taken over/stripped if he does get to the helm of both RBD/ZEN? as both Italian competitors plus the US/Leopard plans.

RBD now valued at £9m

4/1/23

"Further to the Company's announcement of 28 December 2023, Reabold has been informed by its Nominated Adviser, Strand Hanson Limited ("Strand Hanson"), that despite its best endeavours (which commenced on 29 November 2023) Strand Hanson has not received sufficient information to satisfy itself as to the suitability of the proposed directors to be directors of the Company.

It has also not received sufficient, detailed explanations which address matters of concern which, in the case of certain of the proposed directors, arose from the due diligence that was able to be undertaken and interaction with the individuals concerned.

Accordingly, as set out in the Company's announcement of 28 December 2023 and in the circular sent to shareholders on 13 December 2023, in the event that the resolutions in respect of the appointments of the proposed directors are passed, Strand Hanson has informed Reabold that it expects that it would be required to resign from its role as the Company's Nominated Adviser with immediate effect. Should this be required, in accordance with AIM Rule 1, trading in the Company's ordinary shares on AIM would be suspended following the closing of the General Meeting on Wednesday, 10 January 2024. If a replacement Nominated Adviser is not appointed within one month, admission of the Company's securities to trading on AIM would be cancelled."

https://www.lse.co.uk/rns/RBD/update-re-requisitioned-general-meeting-iena06xqjt5u8xy.html

TYB as the bb clown, can i respectfully ask you, if you have nothing sensible or factual to say please STFU with your absolute nonsensensical, childish and ridiculous accusations. You have not one clue as to what is going on full stop !

Give it a rest or go reflect on your buys all the way down - which i did point out re your BS average price and holding size back on 26/10/23 .

Thank you Ajmalkhuram for a detailed reply.

How sure are you it's $1m in the bank when it was under $900k 3 months ago and the debt service/ongoing costs since then ? They say the principal way is to issue equity but if a bond at $25m is successful yes i agree it will be a bridge and their track record is good on that - if it could only mirror their success with assets.

With the new $25m bond, will they issue any wnts in regard to that. It is strange that no warrants have been excercised in the past when they most definitelty can be at 1-2C but no bad thing - though i find it hanging over the company and as a potential investor something to bear in mind as to how much future dilution could take place so i'd like to see the terms of the bond and if we still end up with as many warrants post $25m bond ? and if, the price - we don't know.

Under $900k end Sept with cash burn/juggling since. What's left now ?

Clearly stated the principal way is to issue more equity - i'd like it to be a firm NO.

Needs $1.8m to complete on Devonian around mid - 3rd week Feb.

Yes a $25m bond will be helpful, but it's like revolving on a new credit card paying off a 2nd one imo particularly when there is limited income to cover the expenditure.

I accept they have a lot of potential cash to win but how long can they keep running like this until they actually get a win and eventual pay out ?

Why the need to get involved at RBD (10/1/24 vote) as a director and possible CEO ? (I have my own thoughts that i won't say publically). Is this not sidetracking and not keeping an eye fully on the Zenith ball ? He did say in an interview on a previous asset that they should have been more hands on when it came to it.

What's Leopards function and how will they raise cash for assets versus Zenith as the owner and how will that affect the Zenith equity in assets ?

Lastly the share price has matched all this uncertainty regardless of the potential for future wins all the way now to 2.85p (.285p pre consolidation).

He needs to convince people and put out a much more detailed presentation.

I don't know but If you're in any way involved in PR or know anyone at the Co it's needs telling to them and that some of the things done under a standard list imo would not have been gotten away with under AIM imo.

AC fully deserves some success but as a reminder he needs to deliver for shareholders as well and that they have voices and opinions too as well as where they choose to put their hard earned.

Move on to where ?

Sure there's money to be made especially when you don't buy in and top up too early just like some do with no regard for understanding the company and having any post removed that is not full of praise and positivity. Criticise all you like, but the accounts are not there to be ignored. The stock market isn't for those who keep their eyes shut, their ears covered and heads buried in the sand. Understand your stock, management etc etc.

Look at the diatrade directed against those warning in COPL this past past year or so from 30p down to an £0.0015 placing after close on friday. It wasn't people who warned off the pitfalls that caused the crash there. The company did it all by iteslf so i'm watching to see what potential effect the warrants and other operational things could cause here on the share price drag or future dilution because it makes the stock otherwise expensive.

My concern was the management repeating themselves now on their 3d consolidation after the 2nd one lost 95% of its share price and diluted 23-24 fold in the process.

What do we see, little cash, cash requirements and already pointed out by management - potential for 686.7m shares. It looked a disastourus move on shareholders to keep the warrants in the game whereas if there was no consolidation voted through it wouldn't be a factor to worry about now all for so little money involved.

Callit

The warrants were issued from Dec 2021 to Feb 2023 at 0.1C - 0.2c (unless they were repriced from 10X but that would have meant there was over 4.5b warrants outsanding previously). They do not appear to be repriced at all or it would be found in the accounts. Strange one as it's only the shares that were consolidated and then on page 48 they back this up by saying what the potential number of new shares could be once excercised and consolidation has already happened. It's there in black and white unfortunately. The warrants would be in the money as low as .6p and up to 1.2p compared to 2.85p now.

Maybe this explains the share price weakness. This as my point all along about dilution and consolidation but was shouted down and posts removed. It mightn't have happenened imo without AC pushing through the share consolidation when the shares were priced at .285p. Instead anyone that points out anything is met with a barrage of abuse because they won't dig or delve into the finer points.

I doubt if this may have happened on AIM because at least there would have been a nomad. This is what happens when things go unchallenged. Imo if consolidation had been opposed/not taken place then these warrants could not go through running the risk of there being 687m shares in issue with little money recieved by comparrison.

One positive is they are negotiating another $25m bond which i'm sure will help pay off previous bonds and the debt pile.

Page 42

"As of September 30, 2023, the Group had 274,839,785 (2022 - 469,395,330) warrants outstanding relating to 274,839,785 shares and exercisable at a weighted average exercise price of CAD$0.02 per share with a weighted average life remaining of 0.67 years."

and page 48 (20)

"Basic average shares in issue 231m

Potential dilutive effect on shares issuable under warrants 455m.

Potential diluted weighted average number of shares 686.7m."

That's the facts as presented in the accounts whether anyone wants to bury their heads in the sand or not.

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$3m in equity Yes EQUITY represents 80m new shares at the 3p level. The sellers will want the equity at the lowest possible price. Same applies to the equity portion for the US. Obviously a complete Hallion having posts removed and only kidding yourselves and I’ve said this all the way down.

Dilution, Consilidation times 3 now.

That tweet below posted by Stuartv 12/12/23 17.07

' Become a Better Investor

@AlbertMay59

#UPL - In UPL's Feb 2023 fundraise of £1.25m, £1m was taken by ex-investors of Cove Energy. Cove Energy had found significant oil & gas off Mozambique and was sold to Thailand's PTTEP for $1.2bln in 2012. The ex-Cove team are serious geologists that know oil & gas. '

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Who were the Cove investors that took £1m ?

By referencing ex Cove team as serious geologists are you saying it was them who took the £1m ?

Steve Staley was ex CEO here and certainly involved at COVE but he didn't hold much when he was there in the directors holdings.

Cove never found any oil and they were sold for $1.9b for their gas to make it clear.

Out of interest - with just 450km approx of 2D lines on what they describe as a virgin block, are they prepared on that basis to sink a well or will a farmout partner be happy if they're paying for it on that basis.

Or will 3D need to be acquired first/lessen the risk/improve the chance of success ?

Anyone know the managements position and what the cost would be as i haven't seen any reference to that other than letter of intent for a rig and crew.

Drill Q2 - 3 or earlier ?

2/12/22

Trading in the Company's ordinary shares will be suspended from trading on AIM with effect from 7.30 a.m. this morning, and will remain so pending publication of an AIM Admission Document setting out, inter alia, details of the Transaction, or confirmation is provided that the Transaction has been terminated.

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**** Full details on the conditions to completion of the Transaction will be set out in the AIM Admission Document. ****

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8/6/23

intends to publish an AIM Admission Document by 28 July 2023,

27/7/23

publish on or before 30 September 2023, following such point the Company will seek restoration to trading on AIM

29/9/23

now intends to publish an AIM Admission Document in respect of the PETRONAS Acquisition on or before 15 December 2023

14/12/23

Further to the Company's announcement on 29 September 2023, the Company continues to advance the various workstreams required to complete the acquisition of PETRONAS International Corporation Limited's energy business in South Sudan. In this regard, a further extension to the Company's cancellation date has been granted to 1 February 2024. Further updates will be provided as and when appropriate.

Question on the need for clarity

Why has the adm doc not been issued giving the ****full details on the conditions necessary to complete the Transaction**** which they clearly stated 12 months ago. ?

Also when they refer today to a cancellation date of 1/1/24 - i'm leaning to that meaning we will be delisted rather than cancellation of the actual deal given they state we're 'advancing' the workstreams - what do others think.

I wish they would clarify why the adm doc hasn’t been issued. They say they are still working to complete various work streams yet in the original RNS a year ago, they said the adm doc would give detail of the conditions needed to conclude the deal.

Question is are they going for everything to be fully wrapped up by Feb 1st and it’s the first time I’ve seen it called a cancellation date ?

TC, Not sure about closing it by the 15th. It’s their intention to get the adm doc out by the 15th and recommence trading.

On your own asset if approved how many bopd do you anticipate producing within the first 3 months and can you book 2P reserves or what’s the ball park range of 2P do you think is on the field ?

Will it be a PSC or if a SC what kind of SC fee per bl would you need or expect ?

RR

Cheapest quote from AI was £2,200 and their wallet facility is closed for watching and paying for articles of interest so doesn't justify the outlay any longer.

Roll on friday/monday where you woud think there would be an update.

I think that same take a guess question was asked about 15p back in August.

Given what we paid for Accugas/Nigeria and the fact that we have far more gas contracts in place, far higher production, compression upside capacity completing next year and already increased the P2 reserves - i stated i was looking for 20% upside to the purchase price or $800m = 45p.

More gas contracts expected post compression as well as opportunity for transporting 3rd party gas.

Debt should be around $400m so to me leaves a core valuation for Accugas/Nigeria around 22.5p that should be paid down/net cash building - no reason why Accugas won't continue to build in value and the refinancing would certainly free up cash if converted to a longer tenure.

The 33 mmbo 2C in Niger while uncertain re start-up and all the associated past costs should be worth $100m or 6p. Our rights were reported as protected so therefore on a sales basis if we can/don't go back in $100m seems reasonable given the pipeline's completed.

If we are awarded in favour on Chad every $100m must be worth around a similar 6p x 2-3-4X + ?

Not knowing what the outcome is on S.Sudan but if it is to complete then surely after all this time we would be up a net $500m on it by now if the effective date was 1/1/22 = 30p ?

Lot's of intrinsic value to be looked at rather than a throwaway 'i think it is worth 15p' comment. Who knows on readmission but at this price i'm not for making any kneejerk reaction at all.

In essence not just one prize on offer for LBE!

Just because the share price is tooing and froing a penny here and there - over 51% is held by directors and instutions and how many HNWs hold a fair view ? - meaning the real free float is very low and that is the real reason for a buy and hold strategy once you have them.

UPL has a m/cap of £51m - LBE £10m. I know where the greatest risk reward lies. At current valuations, one's a punt the others a measured approach when it comes to risk reward imo.

Does anybody even bother to put pen to paper anymore in sussing out, valuing the assets and potential on hand instead of chasing something thats not underpinned just because they think the action is somewhere else right now ?? (but good luck to them).They're paying over 10 times the price at UPL compared to a year ago and 7 times the last placing barely 8 months ago.

UPL no psc awarded yet for the 45% study of the 6700 km2 SK334. Little cash, no 3D seismic to help define any prospects. They've signed letters of intent only for a rig but that wouln't instill confidence in me where they're going to stick a hole whenever the PSC is awarded and at what percentage they end up with or if they farm out reducing the as yet unknown prize.

At 4.3p valued today at £51m - what is there to fall back on if the first drill fails ? PIs neither know at this minute what the prize on offer is and what they might farm out to hold on to ?

At least LBE are underpinned on the assets they have. They may have access up to $200m of financing in Norway. A company like Japex doesn't get involved without dd and some level of comfort.The initial acquisition for the JV will have one year of contributions from the effective transaction date of 1/1/23.

"Based on Longboat Norge's internal estimates, at current commodity price levels the Transaction is anticipated to reach payback in under two years" - "the Transaction is expected to unlock material tax synergies within Longboat Norge associated with historic corporation tax losses"

Around 600 boepd is expected shortly. They paid $8.20 per P2 barrel.

Based on using $50m of the ($100m) JAPEX funding and $50m subordinated debt they could realistically pick up over 12 mmboe P2 and 4,500 boepd to give about 20 mmboe in the JV and around 5k boepd in total and maybe with a similar pay back of which they could go again as its a 5 year facility and thats only looking at using half those funds.What will 'punters', 'herdsmen' or investors think when they see 9 TCF estimated recoverable for Kertang in an exploration hot spot, gas coming from the structure and amplitude brights and covered by 3D when it draws closer.

There's 2 other prospects half the size also covered by 3D - imo maybe 3TCF each which could likely bring it up to 15 TCF but there are multiple prospects all over the block. They've got 52.5% and in the recent interview they expected a farm down where a partner would be seeking 25-30% and if so would leave LBE with 20% minimum - a 3 TCF/500 mmboe prize or some $1.5b of potential at $3/boe or versus 56.7m shares now or even 100m down the road - possibly a tenner a share if that came in but at least the risk is backed up by the assets/production we currently have and will have - that i think could value us well in excess of £2 from Norway on its own.

The unknown is the financing of new production deals in S.E Asia but again a JV route may be the way to go as they've stated they intend to minimise shareholder dilution.

Has there ever been a disclosed amount that SAVE is claiming for against Chad and some 12.5k bopd production.

"The Company has commenced ICC arbitral proceedings against the Government of Chad to seek full recompense ***for the loss that it has and will suffer*** as a result of the nationalisation of SCI's assets."

Surely progressed by 9 - 12 months now and perhaps an outcome late next year ?

If ZENs claim today is anything to go by, surely SAVEs loss at the present time plus future losses must be well in excess of $500m being sought ??

By contrast AC at Zenith Energy is today claiming $85.8m against Tunisia which only had production of 300 bopd on its takeover of a Chinese subsiduary of which they acquired for just under $1.7m

https://www.lse.co.uk/rns/ZEN/icc-arbitration-for-slk-against-tunisia-73bk0z0srmgq1zk.html

https://www.lse.co.uk/rns/ZEN/acquisition-of-slk-from-cnpc-isyijn1o61lz1w0.html

AssetCo owns both SVM and River & Mercantile.

Looks like SVMs 8.6% disposal on Friday were moved to River & Mercantile within the group who now hold the 8.6%.

A great vote of confidence.

Meanwhile o/topic UPL at 3.3p now £40m m/cap on the back of SK344 equivalent to 70p for LBE which has the benefit of $25-$30m of 3D on block 2A and a specified 9 TCF (1.5 bboe).