Aminex Share Discussion Threads

[clunes100] 15/3/2016 12:02

Added today, his finally looks to be in good shape and de-risked thanks to a positive outcome from the pipe testing. Time for AEX to generate a little more cash, whilst being taken out is a real possibility.

[pj 1] 15/3/2016 11:25

edit to above, SOU also chase proven assets under financial distress so AEX fits

[pj 1] 15/3/2016 11:23

Take this with a pinch of salt and all IMO, I still think SOU Sound Energy have taken a look here, for one reason I have asked the question twice and been greeted with silence, the other SOU are Gas focused and chasing assets in financial distress, especially Africa. I think SOU would have denied it if they had not. If so then other players would be brought in to de-risk it for SOU, as that is their game plan in Italy and now Morrocco. If that is good or bad for AEX I have no clue again just IMO and guesswork.

For any avoidance of doubt I hold SOU

[last throw] 15/3/2016 11:21

Blackgold

Thanks for your very informative input here.

A couple of questions if you don't mind:

Taking say August 1st 2016 out of the blue, what would you see as the staging posts, both as regards production and corresponding shareprice, that AEX will go through to get to that particular point?

Also, do you feel that a placing will be necessary BEFORE the gas is flowing as obviously IF that happens then the placing-price will be abysmally low in relation to a placing coming AFTER the gas is flowing?

For my part, I am more than a little confused with AEX's chronology myself BUT feel that we are gradually moving in the right direction with 2p being the critical price to achieve in pretty short order, i.e. before the end of April.

Hopefully we can then build incrementally without ever seeing sub 2p again!

Your thoughts on this and anyone else's input would be much appreciated.

LT

[blackgold00] 15/3/2016 10:51

"Tanzania Petroleum Development Corporation ("TPDC") has provided a revised work schedule and informed the Company that the commissioning of the Songo Songo Island gas plant is expected to commence in early April."

so production proper, that is to end user, will not start until after commissioning of the new gas plant, 1-2 months? I don't think it'll take as long as Wentworths did as this time TPDC do not need to fill the whole length of the new 36" gas pipeline just the 24inc line from Songo Songo island to the mainland.

[ngms27] 15/3/2016 10:28

They have a take or pay but it's not in force yet nor have they agreed what the actual production will be for the first 12 months

[cervelo] 15/3/2016 10:23

They have a take or pay arrangement for KN do they not?

[blackgold00] 15/3/2016 10:10

PJ1, well I suppose on the point of fundraising and how they choose to do it, no doubt the board will give a lot of consideration to their own not inconsiderate skin in the game.

[vike1] 15/3/2016 09:26

Another day another delay. At least now we know someone from AEX still shows up to the office occasionally.

In other news, I see Northcote has farmed out our old US assets to another company. Anyone want to take a guess on how this impacts our receivables?

[pj 1] 15/3/2016 08:56

Fair price? That depends when the placing arrives.

[tmmalik] 15/3/2016 08:42

I don't think shares get fair price till they get first payment Although it start recovery and come back to 2p in next two weeks

[lfdkmp] 15/3/2016 08:27

Is anyone worried that they conspicuously failed to make any mention of the Bunsen Burner?

[blackgold00] 15/3/2016 08:24

quite right Bunbooster, i'm sure if those results were not as they were hoping for. then the testing and commissioning of the new processing plant would not had been able to proceed with KN gas.

[blackgold00] 15/3/2016 08:17

Well if Aminex won't provide a presentation we'll have to read Wentworth's, they have one out today

[bunbooster2] 15/3/2016 08:15

I think the major worry in the market was around the tubing pressure so glad this RNS has put that to bed. Should see the share price rise on this fantastic news.

It's no exaggeration to call this a dream tubing result.

[ngms27] 15/3/2016 08:03

So at least 3 months later than suggested in the previous RNS!

They really do have the ear of TPDC

[liquid millionaire] 15/3/2016 07:23

AMINEX PLC



KILIWANI NORTH UPDATE



Aminex PLC ("Aminex" or "the Company") is pleased to advise that the final well integrity testing of the Kiliwani North-1 well ("KN-1") has been concluded, recording a high tubing pressure reading relative to the other producing wells on Songo Songo Island. A wellhead control panel has been installed and all work required by the Company prior to gas production will shortly be complete.



Tanzania Petroleum Development Corporation ("TPDC") has provided a revised work schedule and informed the Company that the commissioning of the Songo Songo Island gas plant is expected to commence in early April. During the commissioning programme, the initial production rates will be managed to allow for testing of the new gas processing facility and related pipelines.



All KN-1 gas will be sold to the TPDC at wellhead for an agreed price of $3.00 mmBTU (approximately US$3.07 per mscf), payable in US dollars, and will ultimately be transported by pipeline to Dar es Salaam, where it will be sold into the local Tanzanian market.



Aminex CEO, Jay Bhattacherjee, commented: "The successful conclusion of the well integrity tests and installation of the wellhead control panel finalises the Company's preparations prior to the commissioning of the new Songo Songo Island processing facilities. Aminex looks forward to the commencement of gas production and revenues from Kiliwani North."

[warbaby43] 14/3/2016 12:08

Many thanks, blackgold00.

[blackgold00] 14/3/2016 07:40

page 11
NATURE OF OPERATIONS
"The Company’s principal operating asset is its interest in a PSA with TPDC and the Government of Tanzania in the United Republic of Tanzania. This PSA covers the exploration, development, production and marketing of certain gas from the Songo Songo Block offshore Tanzania."

"The PSA defines gas from the Songo Songo field as “Protected Gas” and “Additional Gas”. The “Protected Gas” is owned by TPDC and is sold under a 20-year gas agreement (until July 2024) to Songas. Songas is the owner of the infrastructure that enables the gas to be processed and delivered to Dar es Salaam, which includes a gas processing plant on Songo Songo Island.
Songas utilizes the Protected Gas as feedstock for its gas turbine electricity generators for onward sale to customers. The Company receives no revenue for the Protected Gas delivered to Songas and operates the field and gas processing plant on a ‘no gain no loss’ basis.
Under the PSA, the Company has the right to produce and market all gas in the Songo Songo Block in excess of the Protected Gas requirements (“Additional Gas”).
TANESCO is a parastatal organization which is wholly-owned by the Government of Tanzania, with oversight by the Ministry of Energy and Minerals (“MEM”). TANESCO is responsible for the generation, transmission and distribution of electricity throughout Tanzania. Natural gas has become an integral component of
TANESCO’s power generation fuel mix as a more reliable source of supply over seasonal hydro power and a more cost effective alternative to liquid fuels. The Company currently supplies gas directly to TANESCO by way of the PGSA and indirectly through the supply of Protected Gas and Additional Gas to Songas which in turn generates and sells power to TANESCO. The state utility is the Company’s largest customer and the gas supplied by the Company to TANESCO today fires approximately 45% of the electrical power generated in Tanzania.
In addition to gas supplied to Songas and TANESCO for the generation of power, the Company has developed and supplies an industrial gas market in the Dar es Salaam area consisting of some 38 industrial customers."

[blackgold00] 14/3/2016 07:00

warbaby "free float gas", you mean the (Additional Gas) which under their PSA is theirs to sale but not the (protected gas) that is used to supply Songas power station. In the last report the additional gas amounted to 46 mmcfd which was split (Industrial 11.9 mmcfd @ $7.70 and Power ie Tanesco 34.5 mmcfd @ $3.62. as I understand it.

page 4

[warbaby43] 13/3/2016 12:31

blackgold, if WRL are correct in their belief on Kinyerezi-I supply, as the resident Orca authority, can you perhaps point to a plant where TPDC/Tanesco might possibly choose to supplant their gas with that of KN-1 and assuming it might be a matter of price are Orca being paid significantly above $3 mmbtu for their "free float" gas?

[bunbooster2] 13/3/2016 01:49

Less than 20% of the population have access to electricity. Extending the transmission network will increase demand.

[warbaby43] 12/3/2016 07:45

To significantly increase electricity demand and ultimately gas demand, tariffs will need to be slashed a whole lot more than this:



Incidentally, to give the new government its due, cases like this across their public sector, are now appearing almost daily with the amounts invariably in the billions of shillings:

[warbaby43] 11/3/2016 07:22

Cue more weeping, wailing and gnashing of teeth at Orca?