Azonto Petrol. Share Discussion Threads

[agbad] 28/1/2014 18:54

Evening Treacle. Would be nice to get back to 1.65. Ever hopeful that volumes with pick up on ASX tonight - all buys of course. At least someone has faith with that 300,000 buy on AIM today.

I take it you're still holding SNAK. Good luck, hope you get a buyout around the 30/40p mark or more!

[treacle32] 28/1/2014 17:16

I think he was invited to the last one and to do the presentation. He may use the recent new presentation & go if asked.

Just 1 market maker on offer at this price before 1.65p comes again.

[agbad] 28/1/2014 16:51

The Oil Barrel conference is on the 5th February. Wonder if Rob is going. Nearly tempted to call the floor on this but need some news first.

[treacle32] 28/1/2014 16:37

300,000 buy today - lots more required.

[treacle32] 27/1/2014 20:00

Finally smaller spread at close but just with 1 MM on offer at 1.45p - needs a catalyst to trigger buying.

[treacle32] 26/1/2014 16:14

Price still on the floor & doesn't seem to be falling more.

Level 2 still shows high on the offer, wide spread deters trading too but maybe any sniff off buying will take us up quickly.

It was only over a week when we last went from 1.60p to a high of 2.90p.

Some good size buying is slowly returning on ASX listing.

[agbad] 23/1/2014 19:07

Sorry folks - ADVFN must have blocked the link. Its posted on LSE though if you want to read it.

[agbad] 23/1/2014 19:04

In the absence of any news, some old stuff from November's edition of Oil Barrel to help you keep the faith. The last paragraph is significant re Vitol's interest in Azonto.

[...]

[treacle32] 23/1/2014 07:52

Finished unchanged on ASX but lots more buying after ages.

[agbad] 17/1/2014 20:23

foxx999 - I can assure you I'm not Treacle. Each to their own. I'm down a few k on this so no desire to bail out. The money can sit in this stock for as long as it takes. Previously in PMO and got out of that at £4. PMO is producing 58000 and share is collapsing. Its a good company but getting thumped. Who knows the future. By the way I'm Candy1 on LSE.

[adrian1monk] 17/1/2014 19:42

Just a matter of holding and being patient. Will be a good year, good weekend all.

[foxx999] 17/1/2014 19:00

Agbad or Treacle ;-)At 1.6p. Market cap is £18mil. They have 5mmbbls and have to pay Vitol and others (if a bank gives them any) back first from cash flow...As an example... Lekoil have 250mmbls to 400mmbbls... With market cap £225mil. But the big difference is they won't be crippled by debt by time they're producing like Azonto will be...It's an absolute stinker (due to the vitol deal)...I honestly don't think there is any equity value here whatsoever.Oh, and please stop posting as both Treacle and Agbad - you're misleading people....

[treacle32] 17/1/2014 18:20

No worries - there is too much on the go let alone new acquisitions for hydrocarbons etc.

We will get lots of newsflow in 2014.

It's all about momentum and newsflow on junior resource stocks hence as I said last week like MARL etc AZO can go in a flash to 8/9 pence too.

[agbad] 17/1/2014 18:13

Well said Treacle - must cut & paste your last 4 posts onto LSE, if you don't mind ?

[treacle32] 17/1/2014 17:49

BLOCK CI-202 : EXPLORATION POTENTIAL

At least 15 potential drilling prospects of which 5 are stand-out prospects

Prospect, Gross Mean Prospective Resource
Condor Area, 999bcf 20 mmbbls
Faucon, 118mmbbls 79bcf
Hippo North, 242bcf 5mmbbls
Chouette-E Area, 168mmbbls 462bcf
Arius, 227mmbbls 114bcf

[treacle32] 17/1/2014 17:44

We are funded for 2014 too....

Cash at 31 Dec ~ US$8mm (unaudited)
•Significant number of one-off residual payments during July-Dec 2013
•Expecting US$3mm in Jan from Vitol loan (refinancing of existing Vioco inventory)
Funded for 2014 assuming no material additional equity contribution to Vioco
•2014E Azonto G&A (ex Vioco) approx £3mm
Gazelle development notionally fully funded:
•Budget $190mm (excluding debt interest)
•Funded by Vitol Loan $50mm, Petroci $30mm, bank debt $110m
•Active discussions with banks under way
•Petroci have expressed intention to take up their paying interest post EEA

[treacle32] 17/1/2014 17:43

12.20 pence Notional Valuation.

Assumptions
Petroci back in for additional 16%
Gas price set at P90 NPV b/even
•Reset after 4 yrs
Oil price $90/bbl
Production start up July 2015
Includes contingent well in 2017 ($44mm)
Bank loan finance of $110mm
Outputs
Project pays back in 3 years
Project NPV : US$117mm
•Azonto NPV : US$44mm
- Vitol providing project "equity"

[treacle32] 17/1/2014 17:41

SUMMARY – A COMPANY TO WATCH

New management and board who have delivered individually and collectively :
•Vitol partnership in Cote d'Ivoire completed
•PSC in Cote d'Ivoire successfully re-negotiated
•Successful placing raised US$13m in July, bringing quality institutional investor base

Now looking to the future:
•Active programme with near-term focus on Gazelle project
•Actively considering new assets/businesses in West Africa, focus on discovered hydrocarbons

[agbad] 17/1/2014 17:32

I'm fine thanks. A few more months will fly in and hopefully you will be sorted.

I wonder what we have in store with AZO in the coming months. We might get an RNS before results in March (and a new website - taking their time!). Some took flight after the presentation but I reckon they have no patience and flit from share to share trying to make a quick buck. I've tried that and never made any return in the majority of cases. Would be nice to get an RNS saying they have secured funding at favourable rates although I imagine they will need to sign a contract with the government re gas prices in the first instance.

I feel more comfortable now that the Board say their aim is to increase shareholder value. Of course they can't guarantee it but they will work their backsides off so they can exercise their options. From memory they must have gas flowing and the share price must hit $0.09 within 4 years to enable them to exercise 100% of their performance rights.

Not spectacular but investor sentiment could change very quickly and propel the share price upwards very rapidly. If not I'm prepared to wait as long as it takes. Too much invested to bail out of this. 300% profit in 4 years time would suit me very well.

Good luck to all that maintain the faith!

[foxx999] 17/1/2014 17:03

Fundamentals stink here..... I'd short it if the spread was tighter...

[agbad] 17/1/2014 15:52

Noticed that trade Treacle. It's showing up on LSE as a sell and uncrossed trade. I thought an U/T was carried out as an auction at close to match buys against sells. The price ticked down. Anyway, how are things with you.

[treacle32] 17/1/2014 15:07

Someone accumulating at 1.55p off the order book.

[treacle32] 16/1/2014 13:28

We're at the floor - ain't going lower.

MMs staying high on offer on Level 2.

Just a case of waiting for newsflow imo.