Afentra Share Discussion Threads

[mount teide] 01/9/2024 10:39

Following completion of the Azule working interest in Blocks 3/05 and 3/05A, the Executive Management conditionally granted themselves share options and, the Non Exec Directors new ordinary shares at a 57.4p exercise price.

These share options and ordinary shares are currently trading 16% below the price when they were awarded and announced to the market.

I believe AET continues to offer a highly compelling investment case for the reasons I've been articulating since early last year and particularly following closure of the Azure deal, and so, consider the conditional awards to have added further weight to the current investment case - as the astute Management will have a far better understanding of current fair value and, the high impact upside potential of the H2/2024/25 organic growth plan announced to the market in early summer, together with further M&A activity, previously guided for announcement before the end of the year.

AIMHO/DYOR


15th Jul 2024 - Grant of Non-Executive Director Share Options, and Executive Director - Long Term Incentives Plan (LTIP) Award

'Afentra plc ('Afentra' or the 'Company') (AIM: AET), the upstream oil and gas company focused on acquiring production and development assets in Africa, has conditionally granted, under the Executive Directors Long-Term Incentive Scheme, new ordinary shares in the Company in the form of nil-cost share options and has granted options over new ordinary shares to its Non-Executive Directors at an exercise price of 57.40 pence per Ordinary Shares.'

[astralvision] 01/9/2024 08:14

janejemAfentra get on and actually do things.We've no idea what Tende do as they never update us.Bleemster reckons it's a 'fact' that AET/etu/Tende all getting together as one enlarged group, without presenting a shred of evidence.Love it to be true but the Tende bb come up with more theories than Einstein, none of which ever turn out to be true but help pass the time & fill the news vacuum.

[puzzler2] 01/9/2024 07:33

There's been a whole load of unnecessary speculation on this thread (beemster) concerning a tie-up between AET and Tende which, without any substantive RNS proof, is nonsense. Can we move on now please.

[janejem] 31/8/2024 22:17

Is this the new Tende investor’s page? It’s busier here than the other. Astral vision is this thread more significant than the other? Hope so because reading the other has been so booooring.

[bleemster] 31/8/2024 20:23

All I searched for come up in the first few results in google, you of all people Astra (another Tende investor) have seen allllll the posts that have been posted in our forums. And even seen the conversations had by many of the other members about this and many links that have been shared around. I'm not going to do all the homework for you LoL. Come on now. But why are you here in Themis forum for?

[astralvision] 31/8/2024 18:41

bleemsterThe link you give shows Tende/Etu going for 18/31 & 27.It also gives AET going for 3/05, 3/05A & 23.The only link is AET and Tende are both going for Angolan assets.I would absolutely love it if Tende were bought out/listed or whatever, anything that gave us value and an exit.But, unless you have some insider knowledge, there is absolutely nothing in that link that suggests AET/Etu/Tende are about to formally get together.It's like saying two unrelated companies going for, say, North Sea oil must be getting together as they have the North Sea in common.The only thing AET & Tende have in common is Angola, unless you know something different.

[bleemster] 31/8/2024 18:23

Here is one link of many showing a link on us both going for the same field, from a very simple google search. 3rd link in google. There are many showing us both being named together or in the same deals. https://msgbcoilgasandpower.com/ma-deals-that-will-drive-angolas-future-energy-production/

[bronislav] 31/8/2024 16:40

Enlarged group sounds good.

[mount teide] 31/8/2024 16:39

'bleemster - 'Afentra are waiting for their cash position to improve to then farm into tendes assets and sungaras Angola asset win, with a view to list as an enlarged group that also includes etu energias'

Edu Energie(formerly Sumoil) is Angola's largest oil & gas independent....a fully integrated Upstream, Downstream and Renewable Energy company .....which has been in Angola since 2000 and, at this stage of its development is a considerably larger company than Afentra.

Since Afentra is still in the early stages of executing it's well defined growth strategy to acquire attractively priced second phase, high quality mid/late life assets in O&G basins where Oil Majors and NOC's are divesting, its very difficult to see a natural 'enlarged group' fit between Afentra and Edu Energie.

However, if Afentra could strike the right deal to acquire a chunk of both Edu Energie's and Tende's participating interests in Block 18 and 31 to deliver further early additional high quality production - against a potential wait of circa 2 years were Afentra to directly approach Sonangol, the privatising NOC, to acquire an interest, then if the price was right such a scenario may well prove of interest to Afentra's management.

If it were me, I'd seriously consider making an offer for a decent chunk of Edu Energie's and Tende's participating interest and approach Sonangol for a chunk of their 45% too - as like Block 3/05, the producing blocks look very high quality.

Without wishing to be disrespectful to Tende's long suffering shareholders, i think there is more chance of Dianne Abbott and David Lammy winning a three legged school sports day race against Olympic athletes than Afentra becoming part of an enlarged group comprising Edu Energia and Tende Energy.

AIMHO/DYOR

Interesting to note that Edu Energia and Tende Energy acquisition of participating interests in Block 18 and 31 is currently 2 years 5 months post announcement of the deal and still yet to complete - while Afentra's completion of the three participating interests in Block 3/05 and 3/05A were all achieved between 6 and 12 months earlier, and included accommodating a major re-negotiation of one of the deals.

[jailbird] 31/8/2024 15:19

BleesterYou must have a link to this public information . So is publicly available , like to share it ?

[bleemster] 31/8/2024 14:52

Afentra are waiting for their cash position to improve to then farm into tendes assets and sungaras Angola asset win, with a view to list as an enlarged group that also includes etu energias

[yousif] 31/8/2024 14:20

MT
Very good informative post.
Thank you.

[mount teide] 31/8/2024 10:24

Considering the size of NOC Sonangol's 45% shareholding in the world class Angolan Offshore Blocks 18 And 31, where Tende and Somoil signed in April 2022 to jointly acquire 8.25% and 10.0% respectively of the two assets from Sonangol - there is plenty of scope for Afentra to acquire a sizeable chunk of these very high quality, low operating cost, high cash flow generating assets from Sonangol on a similar backdated deal, to become a potential working partner in the assets with the Tende - Somoil Consortium.

Tende Energy - Somoil JV Partnership in Angola

'SPA Signed to Acquire Interests in Angolan Offshore Blocks 18, 27 and 31
Wednesday, May 4, 2022

Sirius Petroleum and its local JV partner, Somoil S.A., announced that the joint Sirius-Somoil consortium, has signed a legally binding Sale and Purchase Agreement (SPA) with Sonangol P&P to acquire participating interests of 8.28% and 10% respectively in the producing Angolan offshore Blocks 18 and 31 and a 25% participating interest in the exploration Block 27, for a total consideration of $335.5 million.

Proposed Acquisition Summary

Acquiring non-operating interests in prolific deepwater production assets with strong cash flow characteristics. Current gross production from Blocks 18+31 is averaging c.160,000 bopd. Net production entitlement to the Consortium expected to average 15,500 bopd.

Significant cash flow entitlement given low operating costs and unrecovered costs. Major medium and long-term development upside.

Sirius-Somoil will be making targeted investments in Sonangol social projects in Angola as part of its committed strategy of working with partners to improve lives through sustainability initiatives in the community.

Block 31 – Producing
Acquiring a 10.0% interest for a total consideration of US$170m.
Unrecovered development cost balance of c.$14bn boosts contractor group entitlements, enhancing overall EBITDA/bbl and long-term returns. The Block is operated by BP Angola and is located offshore some 400 kilometers north west of Luanda.

The block consists of four oil fields; Plutão, Saturno, Vénus and Marte (“PSVM”), which were discovered between 2002 and 2004 in water depths of up to 2,000 metres in the North East part of Block 31. PSVM is the second BP-operated development in Angola and production started up in December 2012. Licence partners are currently BP (26.67%), Equinor (13.3%), Sinopec International (15%), Sonangol (45%).

Current gross production from the block is averaging c.80,000 bopd. Gross 2P/2C reserves of 275mmbbls relate to existing production and sanctioned developments, according to the operator.

Further gross 2C resources of 516 mmbbls from existing discoveries, according to Gaffney Cline & Associates.

Future payments, on new developments within the block, are contingent on sustained high oil prices (>=$75/bbl) and first oil from long-term developments.

Block 18 – Producing
Acquiring an 8.28% interest for a total consideration of US$165m. The block is operated by BP Angola and is located offshore, 160 kilometers northwest of Luanda. Eight discoveries have been made in this block, of which the fields Galio, Cromio, Cobalto, Paladio, and Plutonio make up the first producing complex known as Greater Plutonio.

Production started in 2007 and remains at material levels. Late last year the Platina project started production adding significant volumes and reserves to total block production. License partners are currently BP (26.67%), Equinor (13.3%), Sinopec International (15%), Sonangol (45%).

Current gross production from the block is averaging c.80,000 bopd.
Gross 2P/2C reserves of 220mmbbls relate to existing production and sanctioned developments, according to the operator.

Future payments, on new developments within the block, are contingent on sustained high oil prices (>=$75/bbl) and first oil from long-term developments.

Block 27 – Exploration
The Consortium is acquiring a 25.0% non-operated interest in this deepwater exploration and appraisal block for a total consideration of US$0.5m.
The block is located offshore in the Kwanza basin, an area known for its gas potential.

The Proposed Acquisition is conditional upon satisfactory due diligence (“DD”) being conducted and following signing of the SPA the Consortium will enter a period of DD of the data for blocks 18, 31 and 27 supplied to the Consortium by Sonangol. The economic effective date of the Transaction is April 2022. Completion is expected to take place in 2022, subject to customary conditions and approvals.

The Consortium expects that the Proposed Acquisition will be financed through the provision of new debt facilities.

Commenting, Bobo Kuti, CEO of Sirius, said: “The acquisition of these interests in such world class producing assets, operated by a supermajor, is in line with our strategy to build a high-quality portfolio of African producing and development assets. We are excited by the long-term growth upside that these assets present and the scale that they bring to the Sirius platform. We have developed a very strong working partnership with Somoil in Angola and look forward to working together as we progress to the completion of this acquisition and to building a significant presence together in Angola.” '

Other than this, would be very surprised and disappointed were Afentra to have any serious interest in Tende's Niger Delta(avoid like the plague) and Tunisian assets.

[johnmp] 31/8/2024 09:42

Certainly no formal news of Tende and Afentra being partners in anything. It is possible that both names are linked with a 3rd party? but again nothing seen to make it a ‘public fact'.

Maybe wishful thinking by a Tende share holder?

[astralvision] 31/8/2024 09:08

Tende holder here

Re bleemster post

‘and now they're partnering with Somoil and Afentra (public fact).’

If Tende partnering with AET is a ‘public fact’ would anyone including bleemster like to post a link to that effect? That would help.

Fwiw, I very much doubt Tende are ‘partnering with Afentra’ but it’s hard to argue against ‘public fact’ so I await the confirmation.

[bronislav] 30/8/2024 18:53

£50k for a seat at the table.

[herman_m] 30/8/2024 16:24

Very interesting post Bleemster. I too have been invested in Tende (Sirius) for nearly 10 years, bought my first tranche in Dec 2014. I first started buying into AET in Feb'23 when I heard rumours of a connection with Tende and have been so impressed by the AET team. If there is some kind of connection I sincerely hope the AET team drag Tende to some form of successful next phase where we can all take some value after 5 years of suspended Tende shares.

[bronislav] 30/8/2024 14:37

Interesting post Bleemster and ive heard a similar rumour.Afentra are a well run company with a board that keeps its shareholders updated.Given Tendes track record it seems a match not made in heaven.

[bleemster] 30/8/2024 12:03

More food for thought:As a very frustrated large investor in Tende Energy (formerly Sirius Petroleum), I have seen one continuous broken promise after another (public facts). They have hidden the truth from investors for years (public facts), repeatedly delayed asset completions that happens to never be their own fault (public fact), assets that magically disappear in to the void never to be spoke about again (public facts) and now they're partnering with Somoil and Afentra (public fact). I urge you to look into everything Sirius has done, including their (what is perceived) delay tactics, missed deadlines (public fact), and continuously delayed accounts year on year (public fact). It even appears they intentionally delisted from the stock market to avoid market scrutiny (look in to Ororo and where we are with that today).It's no wonder many Tende investors are closely following this thread. What are they all waiting for? If the delay isn't on your end, and the usual excuses like government approval don't apply, then who is causing these delays? Tende? Somoil? Trafigura? NNPCL? Sonangol? Why would you need financing from us who is (officially LoL) way smaller market cap than yourselves which our 'official accounts' (public fact) show we don't have this sort of money.From the other side of the fence's perspective, the speculation/golf course chatter is that we're waiting for your side to announce the rest of the Angola deal, which no one believes, more like a merger or takeover involving you and maybe the names above.Find the reason for the delays, and you'll probably find the answer. This is not a rant nor a ramp, it's just laying out my thoughts. But everything I've said is researchable. My concern is not for Afentra, but is this finally the finish line for us (I hope) or another company Tende to screw over (public fact - too many to mention)

[taurusthebear] 28/8/2024 11:53

AXL is more news driven, obviously at the moment. The timing of any AET rise is hard to predict. Just a matter of time...

[mount teide] 28/8/2024 11:40

Food for thought:

The share price is currently around 20% below the price reached BEFORE confirmation of the completion of the Azule deal. Since then the company will have generated net production from its assets with a sales value worth circa $50m!

[pastybap] 28/8/2024 11:24

First six months of the year, the opposite was true. I sat and watched frustratedly holding a huge chunk of my portfolio in AXL, while waiting for a pullback to purchase some AET.