Bowleven Share Discussion Threads

[oilretire] 18/12/2017 00:51

NewAge LNG is working with Chinese partners to design and lease purpose-built FLNG vessels that will unlock its parent company’s offshore African gas reserves. NewAge (African Global Energy) founder and chairman Steve Lowden tells Karen Thomas why scaling down is the new scaling up............


.........NewAge LNG hopes to reach FID on up to two projects in 2018.

The first is its proposed 1 mta project in Congo-Brazzaville, tapping gas associated with the Eni-operated upstream oil project involving NewAge and SNPC.

NewAge subsidiary Congo-Brazzaville LNG (CBLNG) has secured government approval for the vessel and the offshore location and hopes to complete the fiscal arrangements shortly. If all goes to plan, Mr Lowden says, “we will be ready to go to FID before the end of 2018”, producing the first cargoes in 2022 or 2023.

The second is in Cameroon, where NewAge is operator for the Etinde joint venture, which has rich gas and a development concession from the government that includes FLNG. This, too, may produce 1 mta of LNG. NewAge has completed the tender process for the vessel alongside the CBLNG tender process.

“There is clear motivation for the stakeholders to want to take FID on this project before the end of 2018 – although the upstream joint venture plans to drill more wells to prove additional gas, which may be sold to other domestic and export markets or used to expand the FLNG project,” Mr Lowden says.

NewAge has yet to sign its first offtake agreement. And it will not cut steel until at least one project reaches FID. However, Mr Lowden hopes to synchronise the first two projects to optimise the work in the shipyard and with the topsides.

[warbaby43] 15/12/2017 17:04

A hat tip to "zinced" over at iii who posted this today:

"I understand the meeting was attended by only a handful of people and was quite frosty, apparently Chris Ashworth being advised just before the meeting that he and Joe Darby were toast. The reasons given was the role they had played in the award of the LTIP's awards which COC felt were not appropriate - hard to disagree . With the dismissal of David Clarkson it was felt he had overseen the ill fated Bomono project and considering that Bowleven had now transitioned into a holding company a COO was no longer required - basically nothing to operate. Again hard to disagree. On a positive note next month should be a JV management meeting where tenders will be evaluated (well head already ordered) . Rig mobilisation is scheduled for mid-end march with spudding end march early april anticipated (each well) 100 days drill and between 10-20 days testing. Results from first well hopefully June."

[secs in the city] 15/12/2017 16:52

AGM was icy, COC said to be angered by the 10m free share options which were approved by Ashworth and Darby. They waited until the AGM when they could vote off Darby. This meant the other two directors were a majority and could vote off Ashworth. 10m free shares seemed wholly excessive to me too, wish other IIs were this proactive against all the other pigs in the trough.

[warbaby43] 15/12/2017 16:51

I think the area of concern would be round the use/destination of the cash and some apprehension that Ashworth and Old Joe opposed the route COC's Chahin and McDonald wanted to take and were therefore removed.

What compounds that might be the mention of "other value-enhancing opportunities" on p3 of the Presentation and "proactive cash management" on p6.

There was a Q&A session scheduled at the meeting and I'm sure that these departures and the issue of cash would have been subjects of keen enquiry which is why I would be most disappointed if, unlike last year, there isn't any AGM feedback from attendees. (Living in rural N Yorks precludes my own attendance.)

[cyan] 15/12/2017 15:58

I doubt that COC will want to go that route. I don't think they have enough cash.

Imo they are looking for a relatively fast buck and exit; not run this long term.

[stansmith3] 15/12/2017 15:29

what is the rule again if they reach 30%, they must offer highest price paid in previous 12 months, plus 20 or 25%?sp hit 36/37 in april, so after that next highest is 32?

[benjimun] 15/12/2017 14:36

No short interest does not interest me, I am looking for an explanation as to the removals from the board, at this point I had been happy holding. It would appear that that COC voted them off why?

Were there issues over governance if it was simply becayse they were handy initially to have around until later appointments fine but some comment would be nice.

[cyan] 15/12/2017 12:39

I can not hear any alarm bells.

Looks like zero shorts here and hardly surprising; most are expecting 50 p plus , imo.

[benjimun] 15/12/2017 12:25

would be interested to see if they make any public utterances over them leaving, this has set the alarm bells ringing.

[3waysout] 15/12/2017 07:42

Chairman was a COC appointee and Darby a Board appointee, and it appears they had a different view on the future for the company. The holdco strategy comes alive which what COC said they would do. Although not sure that there is anymore more to do now other than wait for the appraisal drilling outcome. That the remaining board are vested in a positive outcome on Etinde suggests they have skin in the game, which Ashworth and Darby didn't.

[warbaby43] 15/12/2017 07:33

Probably first waiting to see if someone who went to the AGM cares to post a report on proceedings.

[cyan] 14/12/2017 15:49

LNG is the way to go. Let us hope the appraisal drills prove up another 2 TCF so maybe we can have another off take solution.

Something to read;



"As demand continues to accelerate, especially as Beijing increasingly moves from coal to natural gas for electricity production, China will be increasingly relying on LNG imports."

[hernando2] 14/12/2017 12:54

Apparently old harty boy still hold north of 3 million shares.all free presumably..so he is still hanging around like the ghost of christmas past..

[badger60] 14/12/2017 12:52

Keeping an eye out here, but I think getting back into HUR at 27p is a far better move. OPHR is also nudging in the right direction. If they RNS a Fortuna financing deal, due very shortly, this should put at least 10p on the share price imo.........

[pjj71] 14/12/2017 12:40

Bring back Kev... Out with crooked ocean

[3waysout] 13/12/2017 20:06

the RemCom on which the Chairman heads has a lot to answer for continuing to pay bonuses for the executives who oversaw the Bomono debacle, has no PLC or O&G experience....yes good governance is important and the law is there to provide some protection...but from a PI perspective somewhat who earns his keep is more important given where the shares values are...paying bonuses for utter value destruction cannot be ignored and is bad governance in itself ....I guess Darby was voted off overwhelmingly by shareholders for the same reasons

[3waysout] 13/12/2017 20:06

the RemCom on which the Chairman heads has a lot to answer for continuing to pay bonuses for the executives who oversaw the Bomono debacle, has no PLC or O&G experience....yes good governance is important and the law is there to provide some protection...but from a PI perspective somewhat who earns his keep is more important given where the shares values are...paying bonuses for utter value destruction cannot be ignored and is bad governance in itself ....I guess Darby was voted off overwhelmingly by shareholders for the same reasons

[slipanchor3] 13/12/2017 19:28

.

Little concerned as to why they are getting rid of the Chairman he was only elected in March. He is the person who ensures good governance and makes sure everything is played by the book.

Can anyone who was at the meeting shed any light.

[yasrub] 13/12/2017 14:53

Etinde is already commercial - the next two drills are about potentially as just mentioned 2 TCF. BLVN covered up to $40m on drill activity and on FID receive $25m. Now that it is a holding company (not wasting funds) the current cash balance of circa $80m to my mind makes BLVN look an attractive proposition, COC seem to agree.

[cyan] 13/12/2017 14:31

Commerciality has already been proven. These appraisal drills are looking to see if there's upside; possibly 2 TCF.

[fft] 13/12/2017 14:28

Of course, apart from an external bid, COC could finance a bid themselves if they think a return of 25-40% over the year is possible. Indeed, that could be a method (risky though) of flushing out any other bidders. However, there is always the chance of it coming up dry so it would be a risk.

[fft] 13/12/2017 14:17

This seems to come down to estimating what the value would be after the 2 wells are drilled, discounted by the risk factor between now and then. Presumably there is a chance the wells might not show a commercial production so the company would be effectively worthless.

Having got a value, any bidder would discount by how much ?

[dunderheed] 13/12/2017 13:55

40720...And if I may add the last BOD lining their own furry pockets!
All imho of course lol!!

[hernando2] 13/12/2017 13:14

Seems to me the boys are doing just what they said they would do, I just bought a few more..first time in the company history that the management, are doing what they said they were going to do.

Instead of half truths and concealing information.