Bowleven Share Discussion Threads

[dealy] 13/11/2021 10:55

surely after all of the efforts and investments by 3 companies as well as the local government there is a way for the field to start producing? Else all of these efforts would have been in vain.

[warbaby43] 12/11/2021 14:46

Yes Gark and while Biya met one of the Obiangs in September on hydrocarbon cooperation:




there have long been such meetings between the two nations. See for instance RNSs of 28/03/08 and 23/03/09

[gark] 12/11/2021 12:44

Completely agree. Undoubtedly value here but Cameroon is too unpredictable. As you say Lukoil seems serious which is good and this is the optimal way to develop the project.

[warbaby43] 12/11/2021 12:08

Unfortunately, yet another BLVN RNS which appears to have been written by Private Fraser so keen does it appear to be to heighten and accentuate the negative. No surprise that it triggered a 30%+ share price drop.

While, no doubt, we will learn a great deal more when we get to read the AR next week, it was excellent news to learn of the full throated involvement of Lukoil in making the case to the government for Bioko processing and if the JVP can bring that off, it will be huge in so many ways.

By radically lowering the cost of development it will significantly increase the value of BLVN to any prospective purchaser and while probably increasing tax and royalties income to Cameroon, it will also radically reduce the back-in cost for SNH participation and enable the JVP to propose a generous package to bring SNH on board.

While employment considerations are plainly important for local political reasons the first stage of tendering for the new 350MW plant was recently completed and that should help entice major industrial players (Chinese?) to the region.

While a Victoria/Limbe two train development incorporating both IM and IE fields remains extant, it would certainly be most welcome if the Bioko alternative proceeded given the ongoing Ambazone political unrest which will certainly render financing more expensive given the likely risk premium required by any debt provider.

What we should also be able to look forward to is the revision of the resources assessment following the seismic reprocessing exercise and the IE thin bed report and, hopefully, if that isn't available by year end it should come in early 22.

[dealy] 11/11/2021 22:29

Good find. The current 8m gbp market reflects a liquidation so any actual success in the project would apply multiples to the share price

[gark] 11/11/2021 15:54

Would make sense if they go the EG route.

[buy_more] 11/11/2021 15:36

could marathon oil be a potential buyer of bowleven?

[davemarn] 11/11/2021 09:17

BLVN could this be the bottom level?
Timely reminder

Angus Energy 0.90p
Positives
• Equipment should be arriving on site Nov 21 – Feb 22 proving this isn’t hot air!
• Permitting and Approvals expected early December 2021
• First time in 2 years a Project is about to become a reality early 2022
• Huge rise in Gas Prices (300-400%): 51% stake in onshore Saltfleeby Gas Asset
• 52% recent upgrade to NPV10 from a revised CPR of Gas Asset now £25.5m (£9m market cap)
• £12m fully funded for Saltfleeby
• Sidetrack to Gas Project Planning Permission in place to try and double output
• £1.4m Convertible Loan Note holdings extended deadline to April 2023 for final payment!
• 2x Director Buys of 1m each mid 2021
• £8m potential funding with Aleph and Associates for a valid Geothermal play
• 165m Warrants of £2.1m at 1.36p average potentially available
• 26m Employee Options at 1.5p but fully vesting at 2p too
Negatives
• A group of Locals persistently fester on UK Share Forums to stop any buying momentum, the success in market cap makes it harder to stop any of their projects dead in its tracks!
• A substantial undercurrent set of Short Sellers who seem to be betting against delivery and pre-gas price rally; now hurting and desperate to close out their positions – towards First Gas Q1-Q2 2022. Their short positions could create a dramatic squeeze to 2p alone IMO.
• Legacy Oil Assets and failed projects knocked share price and confidence of Long Term Holders
• Geothermal Progress Seems Slow
• Delays seem to bother some impatient traders but Aleph have stumped £12m loan!
Share Price Predictions?
• Harmonics showing 2-3.5p target?
• Management believes 3.5p per share is Fair Value vs. 0.90p share price
GLA WTFDIK DYOR

[dealy] 11/11/2021 09:12

1% of the company is 3.3 m shares. The cumulative volumes of recent weeks are still small.

[dealy] 10/11/2021 12:31

The good news is that today's drop only equates to 3m quid

[dealy] 10/11/2021 11:30

Somebody sold 220k shares at 2.25p. Probably costs 3.75p to buy them back. Being public is a waste of time for this company

[dealy] 10/11/2021 09:02

10m gbp market cap

[glavey] 10/11/2021 09:02

Jeez! Is that massive copy and paste of almost the whole total of the RNS really necessary?

[davemarn] 10/11/2021 08:51

Not the best of full year results in BLVN

Sub 3p?

[billytkid2] 10/11/2021 08:23

Yep not good. Just can't get production to be agreed. The tone would very much suggest that the money is going to run out before they can.

Its easy to be cynical in this situation. Is it more advantageous for for some of the powerful stakeholders to see Bowleven shareholders wiped out and for them to pick up what's left on the cheap? I'm thinking it might be.

[david gruen] 10/11/2021 07:54

Bowleven plc

10 November 2021

10 November 2021

Bowleven plc ('Bowleven' or 'the Company')

Full Year Results

Bowleven, the Africa focused oil and gas exploration group traded on AIM, today announces its audited results for the year ended 30 June 2021. Terms not otherwise defined have the meanings given to them in the Glossary at the foot of this announcement.

HIGHLIGHTS

Operational

Etinde, offshore Cameroon

-- The Front End Engineering Design (FEED) project completed in December 2020 with follow-up evaluation completed during Q1 2021.

-- FEED highlighted that an IM field only development based on domestic gas sales only, with reinjection and recycling of surplus gas would not deliver sufficient return on investment for the JV partners under current market conditions. The Board of Bowleven believes that the addition of IE reserves and higher domestic and/or export gas production is critical for the Limbe facility based development option.

-- Processing Etinde wet gas production at the Marathon Oil-operated Bioko Island facilities in Equatorial Guinea has become a potential alternative and Société Nationale des Hydrocarbures (SNH) has given the JV partners approval to investigate this option.

-- Work is progressing on re-evaluation of the IE reservoirs with the aim of adding this option to the Field Development Plan.

-- The economic investment case for Etinde remains strong, with the Company's interest in the Etinde project continuing to hold an estimated value of $150 million, well above the Group's current market capitalisation.

Financial

-- The loss for the financial year was $2 million.

-- Bowleven closed the year with $4.1 million of cash and a financial investment of $2.5 million giving a total value of funds of $6.6 million. Cash balances at 30 October 2021 were $3.0 million.

-- There are commercial and regulatory issues which have yet to be resolved in conjunction with the uncertainty regarding the optimum development concept. Resolving these issues to permit FID to be reached in 2022 will be a challenge for the JV partners and any delays in reaching final resolutions will create a high financial risk for Bowleven.

-- The timing of resolving these issues impacts the Directors considerations relating to their assessment of the going concern status of the group. It was therefore considered appropriate that a number of different scenarios were considered by the Directors. In addition to these scenarios, a number of further sensitivities were modelled which considered the impact of increases in opex and capex and changes in FID timing. Each of the scenarios and sensitivities demonstrated positive cash balances twelve months from the date of approval of the financial statements and the Directors are therefore satisfied that the Group has adequate resources to continue in operational existence for 12 months from the date of the approval of the financial statements . However, timing of progress towards FID is not within the control of the Group. Should these commercial and regulatory issues not be resolved as anticipated, it is likely that Bowleven would be required to raise additional short-term funding to bridge expenditure to FID and the receipt of $25 million due from the JV partners at that milestone .
Corporate

-- The Etinde JV partners are in continued discussion with SNH and various other commercial parties in respect of the domestic sale of gas, Liquefied Petroleum Gas (LPG) and condensate.

-- The Group has entered initial discussions with Marathon Oil regarding using the Bioko Island facilities subject to approval from SNH.

-- Appointment of Jack Arnoff as NED and Chairman.

Outlook

The Company's key objective is to deliver on a revised strategy in FY2022 which includes:

-- Working with JV partners on Commercial and Finance matters in respect of the Etinde development options with the aim of reaching an Etinde project FID in 2022.

-- The JV partners propose to renew the Etinde Exclusive Exploitation Agreement (EEEA) licence as part of the regulatory process associated with FID in 2022. The risk of the Etinde licence potentially being removed following its expiry in January 2021is considered low at the current time.

-- Maintaining disciplined capital management to secure progress towards FID whilst maintaining financial resources, the Company thereafter exploring funding options regarding development capital.

Eli Chahin, Chief Executive Officer of Bowleven plc, said:

"We continue to focus on maximising the economic return to our shareholders. Throughout the course of 2021, we have seen global gas prices return to high levels and trend towards higher long term prices. With the expected timing of our first gas condensate production, we uphold a strong economic case for our asset with capital returns anticipated by the Board to be favourable.

Our focus for 2022 is to reach an agreement within the JV partnership and our wider stakeholders on the optimum development concept for Etinde and reach FID during the year. The Board and the executive team are continually discussing ways to mitigate project and financing risk and will continue to seek ways to deliver significant long-term value to investors whilst securing the sustainability of the Company. "

[pugugly] 10/11/2021 07:42

Not good news (imo) Smells like the market being primed for yet another cash raise.

[gark] 04/11/2021 08:33

Results in under a week and nada going on here. Let's hope no news is good news and we are still on track for something here.

[dealy] 21/10/2021 15:01

we have to assume it will still happen, just delayed.

[buy_more] 19/10/2021 14:00

what happened to this?

[gark] 14/10/2021 09:57

Down again so wonder if there are more sells to come. Odd this one as you would think given backdrop this will go ahead. Africa is always a risk and not sure Cameroon will get their act together. Frustrating but no other option but to hold.

[dealy] 14/10/2021 09:54

This stock will have a penny on the bid one day (despite 4 or 5p on the offer). Really no point in this being public

[gark] 13/10/2021 17:56

Chunky trade, 1 million.

[dealy] 02/10/2021 09:11

when Bowleven announced the farm.out deal for Etinde in 2013 or 14 could they have known that 7 years later nothing would have happened with it? I struggle to get my head around this

[dealy] 01/10/2021 18:26

I managed to get some of these at 4.2p today. That i believe is pretty much the lowest price ever paid to buy these shares. Company's principle and potentially highly lucrative asset is currently valued at zero.