Member Info for ZENGAS

From the recent Seplat results and in respect of their gas businessthey are pushing ahead by the looks of things with new lines, processing plant and facilities to take them from currently underpinning about 1 MW to grow to 3 MW of Nigerias planned 25 MW under Nigerias gas master plan.

Cost for Nigeria is over $8b in diesel import for generator usage - so if they cancel out a huge swathe of that, it's a compelling reason to transform their energy replacement via electrification and gas utilisation, not to mention the massive benefits to the wider economy that would bring not to mention a major expected rise by 100m people over the next 30 years.

They see an estimated 25,000 MW alone of diesel power that could be converted to grid connection.

"Energy replacement. The economics are compelling of switching from the estimated 25GW diesel generated power to gas fired power generation. Gas is a cheaper and more efficient fuel for energy generation with lower carbon emissions. It also has the added advantage of helping to preserve Nigeria’s foreign exchange reserves because unlike imported diesel, gas is paid for in Naira. The estimated equivalent cost of generating power through burning diesel is in excess of US$15/MMbtu"

"In addition to being a domestically abundant and secure energy source for Nigeria, the use of gas also offers a number of environmental benefits over other sources of energy, particularly coal and diesel. For example, the combustion of natural gas emits around 45% less carbon dioxide (CO2) and 60% fewer greenhouse gases (GHG) than coal; and around 30% less CO2 and 50% less GHG than diesel. " (Cuts about 19 mm tons CO2 on top of what the gas flaring regulations will also cut).

CEO total remuneration, salary $1.13m (total package for yr = $4.55m)
CFO $2.36m. Operations director $2.02m in total packages.

On payment concerns -7E deal was completed 15th Nov 2019.

The letter for gas payment re Calabar was supposedly sent 25th Nov 2019 saying they would invoke the guarantee if not paid "within 7 days". $66.1m was immediately payable and due.

“We understand the Federal Government is making great efforts to support the liquidity challenges in the sector including in particular, reinstatement of the Payment Assurance Facility. We are extremely grateful for this support and we confirm our steadfast commitment to continuing to work with NDPHC and other relevant government agencies towards finding a lasting solution to these challenges.
“We would also like to reiterate Accugas’ commitment to and support for the Federal Government’s ongoing efforts to ensure increased and sustainable electricity supply to the entire country.”
The letter was copied to Vice-President Yemi Osinbajo, who is the chairman of NDPHC, owners of Calabar GenCo.
=======================
10th Dec 2019
The Federal Government will start disbursing N600 billion to key operators in the power sector very soon. This is according to the Niger Delta Power Holding Company (NDPHC) as reported by Punch.
Since the intervention fund got approved a few months ago, stakeholders in the power sector chain have been anticipating the disbursement in order to address the liquidity crisis in the sector.
According to the Managing Director of NDPHC, Chiedu Ugbo, power generation companies, suppliers, electricity distributors, and others would start getting the money in a few days.
https://nairametrics.com/2019/12/10/power-liquidity-crisis-fg-to-commence-disbursements-of-n600bn-intervention-fund/

There appears to be a seperate guarantee from Nigeria called the Payment Assurance Guarantee. This is paid to settle any shortfalls to the likes of NBET/Gencos and then paid down to the gas companies gas companies etc.

Are we getting paid ? From anyone i spoke to at the company via IR not aware of any issues re payment and when pressing J Lee, same answer reciceved.

CEO conducted an interview with Core Finance 'Malcy' on 12/12/19 and mentioned expected cash collections. Did a Vox Markets interview re new customer addition on 31/1/20. Gas sales being ramped up re tweet 2 weeks ago.

Regardless of Niger we did have a recent idea on Nigeria.
Q2 was supposed to be the start of revenue generation from that latest new power station signing if i remember correctly. Aso expected to be running at full capacity by year end in terms of throughput ie 200 mmcf/d which would be about 26-27,000 boepd net gas for Save.
That note last month from Capital Access estimated Free Cash flow of an estimated average of $130m/yr for 2020-23 on existing business and excluded Afam power customer added in January and any new business that takes us to full processing utilisation. (Where would that take the FCF to ?). On top of that if they can reset the financing terms they can shave off $4m for every 1 basis point reduction - could be $8-$12m/yr in savings if sorted. They put that CA note up on the website so they must be comfortable with that and also tweeted the Numis note though not up and probably not for free access.
We are either over run by impatience and with a bombed out share price is that adding to our fears in the absence of news that something must be materially wrong ? All compounded further by CV19. Those 2 notes are out for investors. Save tweeting they are pumping more gas - is it business as usual ? I have my gripes but on the face of it, still looks a massive opportunity. This past few days i've gone over every aspect of it as much as i can. Transaction financed at 35p. 63m shares placed in a follow up for $23m due to the transaction delay at 28p - now 7p region. Either i'm missing something or we are where we where a number of years ago on lack of news and apathy at 23p countered by a 38p placing with institutions. So weighing it up either 7p is too good to be through or similar bombed out apathy situation as a few years ago. ? Therefore i've added some more on this rationale but there still seems available stock though volumes are low. Time will tell if this was the right thing to do or not.
The link below in a nutshell is the scale of the opportunity for gas - electricity and for Save and others to capitalise on.
One small business paying $800/month to run a diesel generator for a few hours daily when electricity would cost him the equivalent of $100/month.
$8 b/yr wasted on diesel fuel for noisy pollution belching generators.
Nigerias tech industry alone accounts for 14% of Nigerias GDP. That tells you how a big proportion of the economy could be transformed and the power sector is sorted out. Siemens also working on steering the country to 25,000 MW. Nothing like the current time to show the government cannot rely on being overly geared to oil production for it's economy.
"It's a very basic business environment that needs to be fixed." "Solar power is only a temporary solution as it can't provide enough juice to power everything."
https://www.npr.org/sections/goatsandsoda/2019/11/24/7811

To keep things correct AK salary was £525k + 10% for pension. It's in his contract that he can recieve up to 3 times salary in terms of a bonus - something we all as investors should have made ourselves aware of when investing. I have no difficulty with the salary given the size of the company if the revenues/cash flows are roughly as expected.

The remuneration committee said of the bonus paid in 2018 (last years accounts) -"Performance related bonus was in relation to 2017, which the Remuneration and Nomination Committee viewed as an exceptional year." It may well have been an exceptional year in their eyes and perhaps when the bonus in 2019 comes to be paid for 2018 ie the 5 successes in Niger - but in my opinion these are not overly exceptional - more so, it is what we should have expected given the highly publicised chance of success expectation.
Yes the transaction for the 7e assets was concluded in 2019 some 2 years after it was announced - so this is my gripe about being overly generous in awarding a performance bonus especially as the share price has gone south since listing. Also why i have made my feelings known in correspondence about how the remuneration committee see fit to award such bonuses. Yes they might measure it against key performance indicators and objectives and not necessarily the share price and that's something they need to seriously consider and understand. Fine if the company delivers it's first years free cash flow and the business adds new customers as was indicated in the AK interiews.
So far no returns for investors. Intended dividend of $12.5m when the much lesser deal was announced - so surely with the enhanced transaction and increased free cash flow deal they should be looking at rewarding weary investors both private and institutional rather than excessive bonuses while the share price languishes at an all time low. The div was publicised don't forget on much lesser free cash flow.
They have hopelessly underperformed in Niger imo given the length of time they have been operating to date and have been indicating a potential partner for the last 4 years and now we are in a period where all costs should be reigned in.

"Under the terms of the agreement, Mr Knott is entitled to an annual salary of £525,000 (2017: £400,000) and, at the sole discretion of the Company’s Remuneration and Nomination Committee, a bonus of up to three times his annual salary. Mr Knott is also entitled to participate in any management incentive programme that the Group may adopt.
The Chief Executive Officer is entitled to receive an employer’s pension contribution equivalent to 10% of annual salary and the Chief Financial Officer is entitled to receive an employer’s pension contribution equivalent to 6.5% of annual salary."

Royalty rates are 5.8% at 10,000 bopd and 6.6% at 15,000 bopd.

At $20/b at either of the above production rates it's $1.16 - $1.32 per barrel.
At $30/b it works out at $1.74 - $1.98.

Government might reduce or defer some royalty rates and increase them slightly when oil prices increase down the road to make up for any incentive given now.

Olderandwiser - answered your question yesterday re that investment thesis post.
"Regarding the GSA, which entity, or entities, are paying SAVE this 76% above market rate gas price on 141mscf/d for the next 5 years?"
Thought i would elaborate on that a bit more as i read it a few times again.
He writes - "with a fixed price materially higher than the Natural Gas price today (76% higher than today's Natural Gas price currently trading around $1.7mmbtu)"
Writer appears to be using the US Nymex gas price ie $1.70 that i see to arrive at his price of $3/mcf which he calls "from memory". 76% above $1.70 gives the $3/mcf that he quotes.
The gas price to power stations were stated to be fixed in the Capital Access note March 2020 at $2.50/mcf + 80c for transport = $3.30 but this doesnt open on the website.
Savps Dec 2019 CPR stated Calabar was 131 mmcf/d @ $3.53 (increasing in steps), Ibom 19.7 mmcf/d @ $2.18 escalating and these 2 combine to work out at an average of $3.35/mcf so inline with the CA note and should be on that basis 10% above the investment thesis writers own figure.
The Cement Plant (which is not a power station) is 38.7 mmcf/d @ $5/mcf fixed.
All those are the 100% Daily Contract Quantity (TOP is 80% of that).
To follow up on his line of - "The PSC is estimated to be worth $1 Billion in the current state, expecting an oil major to pay Savannah $10m per 1% working interest acquired in the blocks. With the likelihood of 25-50% farm in, Savannah could be expecting a multi hundred MILLION POUND FARM IN."
I don't disagree with that potential re a farmin but not sure how it's worked out on that basis or if the company previously mentioned it. He's obviously well up to speed and done a lot of homework. As regards writers farmout "$1 billion in the current state" figure. That i think comes from what we were told previous by the company in May 2016 but the writer underestimated/mis recalled the figure as Save say - "We have an extensive and highly valuable technical dataset, which would likely cost in excess of excess of US$1.5bn to recreate today." Since then they have conducted more work and made 5 discoveries on a 100% basis which definitely adds proof to the pudding that their data set works. Maybe the writer slightly confused the $1b figure with what was made by the previous owners to build just the gas network etc in Nigeria ??.
Not much to fault that i can see on his figures. He gives the Nigerian 2P/2C on a 100% basis.
My take is Net 2P = 71 mmboe, Net 2C = 59 mmboe, Possibly 50 mmboe yet to be booked from the 5 Niger discoveries ?. Circa 180 mmboe net 2P/2C perhaps ?
Uquo upside exploration potential of net 76-114 mmboe (mid-high case) some of wich is very low risk/high chance of sucess.
UNRISKED RECOVERABLE best to high for the 4 Niger blocks range from 6.9 - 10.3 billion bls gross. (RISKED RECOVERABLE best to high is 2.8 - 4.2 billion bls gross). Looks fairly sound whats been written imo.

Hypocrisy and irony is lost on you Munchbox.
I'm invested in the company because i beleive in the assets and until things change for better or worse i'll decide then. I post on the board like anyone is entitled to do. It's my own opinion and cash and if people were all like you then they shouldn't be investing or let loose with their own money. I'm not posting here to convince anyone to invest. Buyers and sellers come and go including Institutions from time to time and everyones an adult and can think for themselves.

It wasn't too long ago you were completely anti Nigeria everything !

Did things suddendly get better? - when in January you arrived into LEK (Nigeria) at 7-8p all guns blazing with this post - " If we hold through to 20s and the drill turns on the field in July then I’m expecting the following sp pattern ...Jan -15p Feb-25p March - May will see consolidation around 30-40p July August this will explode to 70p on ogo drilling Year end £1.20 minimum." - If i'd have followed you given how you think posting is to convince people to invest, i'd be sat at 2.1p today.
Now today it's Seplat (Nigeria) at 53p and your target of 400p which is a £2.4b/$3.1b valuation. - "I can see seplat being either taken over by NNPC or £4 a share in 2022".

Re Nigeria
Why would it happen ? They need electricity. Prices are capped anyway across the board for gas to gencos so why renege ?
No gas = no electricity.
Why have the Government paid the Gencos for arrears to sort things out ?.
They have brought in Siemens/Germany to increase the supply and delivery to 25,000 MW from the current 4k going out to try and transform a key factor in the economy.
The IMF and World Bank have helped with loans (also cancelled debt to some of the poorest nations) in stabilising economies.

Like mine, it's a posters opinion re Niger so until we hear more in the results or before, only then will we get a clearer picture.

Amended figure (used a $14b net back when it should have been $13/b for a Brent ref $30/b oil price in my previous post)

Based on 10th March update on a 15,000 bopd production target, net backs at a $35/b and $30/b price, were estimated at $14/b and $11/b respectively.

Since then, they now say they have achieved an improvement achieving $12/b net back at $30/b oil and are looking to achieve a further improvement to $13/b net back through further cuts.

With Q1 production around 9,688 bopd and 5,750 bppd from this well, may be up around the 15,000 bopd level before the next well comes on in August.

If the average is kept around 15k bopd for a year and the average barrel price is just $30/b even right through to into Q2 2021 with a $13b netback - it will give around $71m for 12 months in net backs against staged expenditure.

With $300m+ of tax breaks they appear breakeven at about $17/b G&A so about one of the very lowest cost producers around.

Based on 10th March update on a 15,000 bopd production target, net backs at a $35/b and $30/b price, were estimated at $14/b and $11/b respectively.

Since then, they now say they have achieved an improvement achieving $12/b net back at $30/b oil and are looking to achieve a further improvement to $13/b net back through further cuts.

With Q1 production around 9,688 bopd and 5,750 bppd from this well, may be up around the 15,000 bopd level before the next well comes on in August.

If the average is kept around 15k bopd for a year and the average barrel price is just $30/b even right through to into Q2 2021 with a $14/b netback - it will give around $76.5m for 12 months in net backs against staged expenditure.

With $300m+ of tax breaks they appear breakeven at about $17/b so about one of the very lowest cost producers around.

Figures from CGG show oil in place of between 30 - 97 million bls per square kilometre depending on the prospect and number of targets within. With 140 prospects and even an average prospect size of 5 km2 with 2-3 targets per prospect - the oil in place is likely over 100 billion bls based on the CPR modelling.
The early drilling got off to a stunning start and success rate in terms of what was modelled with the company stating that this should be very much repeatable. Also Amdigh was their best well and they were going back to drill Amdigh deep (why?). A marked difference between the deeper and shallower prospect traps in terms of oil fill.
" CGG is generally in agreement with Savannah’s mapping of prospects and leads in terms of minimum and maximum closure areas. When CGG’s maximum closure areas are run on a fill-to-spill basis, the resulting unrisked STOIIP’s are much larger than expected from Savannah’s field size distribution for the basin.

This supports the concept that many of the traps in the **upper levels** of the petroleum system in the Agadem Rift Basin may not be filled to spill, and justifies Savannah’s approach to mapping accumulation areas.
Savannah’s proprietary geochemical modelling made available to CGG shows that the source systems in the Agadem Rift Basin started generating oil relatively recently:
The modelled volumes of oil expelled are very large, at up to: 60 mmbbl/km2
(Donga), 80 mmbbl/km2 (Lower Yogou), 97 mmbbl/km2 (Top Yogou), 50 mmbbl/km2 (Base Sokor), 30
mmbbl/km2 (Sokor in the Dinga Trough).

These volume estimates suggest that the basin has generated far more oil than is required to fill the traps to spill. There are two possible explanations for why the traps are not filled to spill.
First, despite the relatively recent timing of oil generation, much of the oil may have leaked to surface. If this was the case, a high proportion of the wells drilled to date would have encountered bitumen whilst drilling through the shallow section. CGG is not aware of any accounts of substantial bitumen deposits in the uphole sections of these wells. Second, much of the oil has been retained in traps in the deeper, largely undrilled, sections – this is the explanation preferred by CGG.
CGG therefore considers the interpreted lack of fill to spill at individual traps to be due either due to leakage through the fault seals to traps at higher levels, or because of charge limitations. The charge limitations seem likely to be due either to the position of the trap on local migration pathways or to retention of oil at deeper levels.

The importance of recognising that the traps are probably larger than the mapped accumulations becomes significant when considering yet-to-find in the deeper parts of the basin – where seals are likely to be better and the traps are closer to the mature source systems. Consequently, the deeper traps are more likely to be filled to spill where charge volumes are adequate."

My conservative target was 200p all along and i know now this looks tougher in the current environment but i've always based it on the data from the pretty good CPR, Chinese discoveries of just the shallower upper sokor plays. It still remains. Everybodys interpretation may be slightly different but there's no mistaking the sheer potential in Niger (if they would soon get on with it subject to circumstances allowing). I never came here to expect Savp to be a major producer in Niger and for me and imo, it is one of the greatest plays ever in terms of low risk oil but the delay in waiting has been to call it lightly - more than annoying. My asessment was based on finding a net 400 mmbls at a sale value of $4/b ($6/b company estimate) in the ground or circa $1600m value and adding in an addittional $1b in time from Nigeria via the gas fields and the growing and highly cash generative supply business which is Accugas. An ex rate of £1=$1.30 and the current shares in issue and that's been my long held view how 200p should have come about. I expect oil to get back into the $50s next year but always an underlying danger of a low ball bid. Serious guidance followed up by delivery needed from the forthcoming results.
400 mmbls net is under 15% of the risked recoverable mid case of 2.8 billion bls so much headroom. (Hoping that we have already circa 50 mmbls of that number).
On the existing main producing Uquo gas field there's an additional best to high case potential on successful exploration drilling of 578 - 860 mmcf recoverable ie 96 - 143 mmboe gross.
The UNRISKED RECOVERABLE best to high for the 4 Niger blocks range from 6.9 - 10.3 billion bls.
The RISKED RECOVERABLE best to high is 2.8 - 4.2 billion bls. (page 323)
(Remember the figures above are not the oil in place volumes which are most likely over 100 billion bls. The figures above are RECOVERABLE and derived from CGGs oil in place estimates.
SAVEs licence area is 13,650 km2"

16 April 2020 Premium Times (Abuja)

Also at the meeting was the Managing Director of the Niger Delta Power Holding Company (NDPHC), Chiedu Ugbo, who said the NIPP GENCos under the company's operations would get the gas fund and pay up.
He said the Calabar NIPP was the only plant with a standard gas supply agreement.
With the availability of gas during this period, he said electricity generation could be ramped up above 400 megawatts (MW) when every other plant was down.

https://allafrica.com/stories/202004160298.html

Ties in with Savps tweet last week of it increasing gas supplies

If there was a payment issue going back to 2019 then i assume it will be rectified now. That is if we were still owed anything outstanding. All needs to be read carefully as some gas companies do not have power supply agreements where we do and also covered by guarantee. What i find interesting is these payment issues have been resolved with the government helping out and paying the Gencos to settle outstanding gas bills - in the same week Savp tweets about increasing gas supplies, new broker notes, change of name to an energy company - Overall i'm confident. If anyone looks at the March broker note it assumes $130m free cash flow average with just 10% of that affected by oil +/- pricing. Also states that Savp are continuing to sort out their refinancing and for every 1 basis point it would increase the cash flow by $4m so that would be a very big positive as there's room to knock it down by 3 or 4 at least i believe. Maybe this delay in refinancing could be linked to any outstanding payments or simply bedding the company in as being successfully run.
16 April 2020
Premium Times (Abuja)
By Bassey Udo
The federal government has approved the payment of over N200 billion to the power sector in the two or three days. This will go a long way in making sure that those payment issues are resolved. We are engaging as the government to make sure that those payment issues are fully settled," the NNPC boss said.
Mr Mohammed assured that although there was sufficient gas to supply, there were several power plants that do not have gas supply agreements.
Such agreements, he said, spell out the terms and conditions under which gas is supplied by the suppliers to the buyers.
"The suppliers always divert the available gas to other places, and from time to time, the government always face some constraints in the supply of gas to electricity producers, which is a big problem," he said.
He said the NDPHC would soon receive its part of the payment and has already assured the GMD of NNPC that as soon as the NDPHC was paid, payment vouchers would be ready, for the immediate remittance to the gas companies.
https://allafrica.com/stories/202004160298.html
April 17, 2020
The Group Managing Director (GMD) of the Nigerian National Petroleum Corporation (NNPC), Mallam Mele Kyari, after meeting with the Minister of Power, Engr. Saleh Mamman, and the MD, Transmission Company of Nigeria (TCN), Mr Usman Gur Mohammed at the Ministry of Power headquarters in Abuja on Wednesday said “The federal government had made payment of N200 billllon to the power sector in the past days which he said was to ensure that the payment issues in the industry are resolved.
Ogaji said “For the record, Gencos have not received fresh funds from anyone. What Gencos have been paid is payment for energy produced and consumed for 2019. “We are currently being paid for monies owed for 2019.
https://leadership.ng/2020/04/17/were-yet-to-receive-fgs-n200bn-say-gencos/

Paul I pressed on that issue and was told they were being paid and nothing else elaborated on re any payment delays or non payment. I have not heard of any guarantees called upon and we have 2 of them.

Bottom line is i'm led to believe that we are being paid but as i said previous i do not know or am privy to what the standard settlement/payment terms are for Savp.

I will add for anyone that follows things, some of the problems in the electricity sector is lack of gas supply and indeed payment issues from the Gencos. Gencos in turn were complaining that gas suppliers were demanding upfront payments.
A broker note went out mid March and there was no mention of any payment issues for Savp (whether they would be aware i don't know but surely would highlight it it was an issue).
It's interesting that Savp tweeted last week that they had actually increased gas supplies during the Covid-19 outbreak (tweet on the 13th).
Today the name change to Savannah Energy and a new website from Monday.
Today a Numis note tweeted by Savp as being out today but i haven't seen it and might be on that new website when unlocked monday. Surely Numis took some guidance from Savp as to the current state of play ??

If this is all coincidence and the reason for being quiet to date in delaying updates to resolve any outstanding issues i don't know - but the most important thing i've learned is that the Government has paid the Gencos over N200b (i think that's some £400m) to settle outstanding gas bills and resolve the problem.

Business & Economy: FG pays N200bn to offset Gencos’ gas bill
The Federal Government has in the past two to three days paid over N200bn for power supply in Nigeria, the Group Managing Director, Nigerian National Petroleum Corporation, Mele Kyari, declared on Wednesday.
When asked what government was doing to resolve the non-payment for gas by power generation companies, Kyari said, “Actually the Federal Government has made payments of over N200bn for power in the last two to three days.
The NNPC boss stated that the payment would adequately help in settling the indebtedness of power generation firms to gas companies.
https://punchng.com/fg-pays-n200bn-to-offset-gencos-gas-bill/

Maybe on the new website Monday ?

There's one from Capital Access for Savp dated 4 weeks ago Consensus target price of 54p.

https://www.savannah-petroleum.com/downloads/March%202020%20-%20Capital%20Access%20-%20Savannah%20Petroleum%20Plc.pdf

Thanks longshorttrade,
I also spoke to him this week and he confirmed the same to me.

In this mornngs RNS - ***currently supplies gas which accounts for 10% ...*** ie same as always so unlikely that this figure would still be happening if they were not being paid.

In addittion, reiterates first Niger oil in the short term (not long or medium term) and continue to refer to them as flagship assets. If anything was a miss or not comfortable with, i doubt if they would issue such a statement.

"The change of name reflects the Company's increasingly diversified asset portfolio. Savannah is now a leading energy producer in Nigeria and, via its controlling interest in the Accugas midstream business, the Company currently provides gas to power stations accounting for over 10% of Nigeria's power generation capacity and operates one of the largest privately-owned gas transportation and distribution systems in sub-Saharan Africa. In Niger, Savannah is focused on developing its flagship assets in the prolific Agadem Rift Basin, with plans to deliver first oil in the near term."

Well from today’s news on the name change they say supplying over 10% of Nigeria’s Electricity needs as before - so surely means they are getting paid as it couldn’t continue supplying so much of the country’s energy need without being paid.

Also says focussed on first oil in Niger in the near term so there was the opportunity to say it wouldn’t happen or the plan to put it back to the longer term.

Everything still on track as how I read it.

Maybe will help soften the investment image for institutions etc with 'petroleum' gone ?

Does need to get the share price up though to keep them happy and onboard. Wonder will AK indicate when an actual dividend might come in given they were indicating $12.5m previously and on less than $100m free cash flow when the deal was first announced.

Well the share price has fallen from 35p to which we were told was a value enhancing deal for all shareholders and would underpin/derisk us through guaranteed gas revenues plus any new customers and less dependent on oil. My point is - how in the face of such share price destruction/performance can any further bonus be paid if the remuneration committee are reading this ? Also the $5m loan which was to be settled around 17th Jan 2020 was not mentioned again in any shape or form until 6th March and is extended to 6th June. If bonuses weren't handed out so quickly until the company actually delivers, there would have been less need for most of that $5m in the first place.

My comments then on 15th Jan 2020 in which the share price has fallen from 22p by a further 66% in that time to 7.5p and which can't all be blamed on the CV-19 outbreak. Therefore any blame attached to the CV-19 outbreak by the CEO/Chairman does not address the dire performance prior to this and the lack of delivery on past guidance.
AK: "Our focus in Niger in 2019 will be on testing the Amdigh-1 discovery, delivering first oil from our R3 East EPS, and commencing a further exploration programme in the second half of the year, potentially with a partner. We expect this process to be one that adds significant value for all of our stakeholders".

'Lets hope any bonuses under consideration if any for 2019 are suspended or cancelled and that the remuneration committee wake up to the fact that nothing has been delivered at any point since listing in terms of any growth for shareholders. Some of those dozy old compliant codgers should consider this fact when they're patting each other on the back about jobs supposedly well done and see that the company actions have repeatedly sent the share price south with every passing year.
Meanwhile let's see if the $5m short term loan is repaid in cash or by shares.
CEO Pay/bonuses
y/e 2014 paid $352k
y/e 2015 paid $671k
y/e 2016 paid $886k (of which $278k being his bonus)
Y/e 2017 paid $1.814m ($1.248m being the bonus)
y/e 2018 paid $2.1m ($1.4m bonus).
y/e 2019 to be announced
In 5 years (2014-18) including pension contributions he's earned $5.8m while the share price has been decimated
Unless he starts to get the share price up, deliver on promises and explain the dividend ambiguity then this progressive enrichment has to be nipped entirely in the bud and linked only to share price performance and every shareholder should make their feelings known about this to IR/JL/Remuneration committee and AK himself. It simply isn't good enough and has to be challenged. Going on 7 years and only 5 wells drilled in Niger - shameful.'
Pay cuts/ staff reductions should be on the cards if there has been no improvement in outlook.