Eco (atlantic) Oil & Gas Share Discussion Threads

[cashandcard] 18/3/2024 14:15

Africa Oil moving in to take more of Impact, thus more of the Venus block.


"VANCOUVER, BC, March 18, 2024 /CNW/ - (TSX: AOI) (Nasdaq-Stockholm: AOI) – Africa Oil Corp. ("Africa Oil", or the "Company") has made a cash offer ("Offer") to acquire from minority shareholders in Impact Oil and Gas Limited ("Impact") up to 8.0% of the issued shares in Impact. The Offer is made at a price of USD 0.728 per Impact share, for a consideration of up to approximately USD 64 million, which implies a valuation of USD 805 million for 100% of the issued share capital of Impact. Africa Oil currently holds a 31.1% shareholding in Impact. 

The share purchase is conditional upon completion of the farm down transaction for Impact's Namibia assets announced on January 10, 2024. The Offer is made to select minority shareholders and is open for acceptance until April 5, 2024. Africa Oil is under no obligation to purchase any specific number of shares in Impact"


Shows you how valuable a tiny holding (less than 1% of Venus block here) could be in a success case.

ECO's 6.25% of 3B4B could be worth a fortune in time.


Cash

[cashandcard] 14/3/2024 22:30

Sintana Energy#Mopane-X2 - discovery confirmed this evening by GALP. Mopane X2 had 3 prospective targets and logged a significant light oil column.Pressure regime same as Mopane-1X, now GALP heading back to X1 location for DST.Mopane field is large.Namibia, Orange Basin going from strength to strength.ECO will have its day.Cash

[dat_51] 14/3/2024 06:27

Eco presentation today. All very positive!
dat
hxxps://www.investormeetcompany.com/meetings/investor-update-44

[gisjob2] 09/3/2024 01:13

If this share price continues to drift I'll be adding plenty to my recent purchase and holding to see where we are in 18 months. I believe patience will be rewarded by decent, risk free farm-outs and hopefully drilling success

[cashandcard] 07/3/2024 20:56

You don't need much to prosper when the rewards are so big. Look at Sintana Energy as an example; 5% interest in PEL83 via local affiliate Custos. This is where the huge Mopane structure recently hit the jackpot. Second (appraisal) well being drilled right now, closing in on first target horizon, upper Cretaceous sands, that had a significant light oil column in the first well. Mopane structure has upto 10billion barrels of oil in place (JV estimated).

5% - 6% - 7% is very meaningful when the targets are elephant sized.

I suspect 3B/4B resources will be upgraded in due course, no one better to partner and get carried by than Total and moneybags Qatar.

What ECO need is a drilling timeline to be announced, then it's off to the races.

They could also get a Guyana farmout done on better terms.



Cash

[gisjob2] 07/3/2024 19:48

I don't think ECO have been shafted, better to be funded for drilling and have the partner of choice, than issue shares like confetti to fund drilling and take on huge financial risk.
If ECO relied on issuing shares to raise money to fund well drilling the share price would collapse and any hydrocarbon finds watered down by the billions of share in issue anyway. Any dry wells could have meant collapse. It's much better to avoid the risk and benefit from any finds albeit in a smaller way. With Total in charge and having rigs in the area, the exploration wells are likely to happen sooner too.

[mr hangman] 07/3/2024 19:36

I to have bought more today, with placing worries erased this should be a decent punt over the next 2-3 yearsNot sure what investors expected from the farm down, from my experience in the oil industry, small exploration cos always get sharfted

[gisjob2] 07/3/2024 19:17

I've watched this share for months and couldn't see the near term share price drivers, so was quite surprised the farm-out happened quite so quickly. Having seen the plunge in price today after yesterday's RNS I decided to buy at 9.9p because surely this will be higher in the next few months after the next farm-out and just prior to Orange Basin drilling hopefully around Christmas.
I'm taking a 12 to 18 month view.

[ragpicker] 07/3/2024 17:16

Totally agree gisjob2, but this is AIM short termism and with no more news for a while shareprice will drift, although how much is anybodies guess. I lost out on the last drill (30p), and aim to get my average down to around 12-15p, over the next few weeks. I don't mind waiting for a year, given that Total are involved, and now there is very little risk of a placing.

[gisjob2] 07/3/2024 16:30

Can't believe the share price reaction today. While I can understand the intial disappointment about the retained share after the farm-out, it's fully carried and will generate staged cash payments for the company. Total are the company of choice in the area and on a successful drill result ECO could be sitting on a small share of a very large resource. The hope is for the drilling to commence around year end (possibly best to allow a small delay) which will surely increase the share price on anticipation of any success.
I see this as securing ECO's near term future prior to farming out Orinduik and Namibia.

I can't quite believe that the share price is around the same as before the RNS yesterday, Eco seems in a much better place today than last week.

[mr hangman] 06/3/2024 21:11

By the looks of things looks a decent farm down

[bocase] 06/3/2024 17:48

Malcy's take on the Farm In.

This too is a very good deal, a strategic fit if ever there was one which leaves Eco in a very strong position in South Africa with Total and Qatar as partners. Indeed as partners Total fit the bill down to a T, they have immense knowledge of the petroleum system, are involved in blocks 5,6 and 7 as well as deep water blocks and now have two rigs of its own in the area one of which is earmarked for the Orange Basin.

This is the biggest deal Eco has done, a great deal of money brought in in a number of payments including the spud of an exploration well and more importantly a full carry of all its JV costs repayable from production. But this is a smart deal in more than one way than one, with its 6.25% Eco will be in a very strong position in one of the best post codes in international oil exploration.

The 4 billion barrels in the CPR mean that even 6.25% of that really ‘moves the needle’ in any valuation of Eco, they are kushti in that after any discovery and payback they have the put and the call. My guess is that Qatar would buy more of the block so would be a natural buyer at a premium or Eco could just hunker down and watch the value rise.

Once this has been done Eco have the small matter of their acreage in Namibia to farm-out and with the interest locally interest may be substantial. Finally the company are doing a formal farm-out process with regard to their Orinduik block in Guyana where current interest is also very keen.

Eco shares are up very modestly today, it will take a while for the market to work out quite how valuable they are after this deal and I’m sure that will come with time, they stay in the bucket list out next week.

[mick_oi] 06/3/2024 12:16

Proactive Investors 'Eco Atlantic Oil & Gas announces biggest deal to date with Orange Basin farmout'

[value viper] 06/3/2024 12:06

Worthless target note - seriously, it's currently 11p

[chessman2] 06/3/2024 10:02

I expect to reach breakeven this year!!

The assets here are very attractive, on both sides of the Atlantic.

[ltinvestor] 06/3/2024 09:09

New note from Berenberg with a price target of £1.25.

[banksy] 06/3/2024 07:49

Clearly leaked to some yesterday judging by the price action

[cashandcard] 06/3/2024 07:46

Brilliant deal - Now, time to get the drillrig overthere.I would expect later this year - or maybe early next.Cash

[value viper] 06/3/2024 07:39

Price action ?

[ifthecapfits] 06/3/2024 07:29

Just in case anyone missed it. 😀

[cashandcard] 21/2/2024 08:21

Sticking to the orange basin, private company Rhino resources have released the first proper images of GALP and Sintana's Mopane oilfield (currently drilling the appraisal well Mopane X2). Rhino are in the adjoining block PEL 85 with some overlapping 3D seismic very close to one end of Mopane field.The Mopane structure approx 430-450km2 in aerial extent.Venus field approx 600km2.Cash

[the monkster1] 06/2/2024 12:35

doubt there will be any for months tbh. Hopefully i'll be proved wrong but cant see it.

[jotoha2] 06/2/2024 01:16

About time this had a little climb of the bottom , news !

[davwal] 26/1/2024 21:13

Not sure how ECO is under the radar given a year ago GH told the world they had a preferred bidder from seven majors that had access to and reviewed 3B/4B data.