Savannah Petroleum Share Discussion Threads

[rampair] 15/6/2018 13:03

I like the fact that AK accepts that some PI shareholders may have some useful ideas
willingness to accept that, isn’t common. Slightly odd that if Seven holders are not
selling then why isn’t the share price stronger?

[nen2319] 15/6/2018 12:04

Some notes I made during the call - didn't catch it all and couldn't write fast enough ! If i have anything wrong pls correct and add your thoughts
.

1. Whats changed from 2015 when you said you would prove up and sell? AK, SAVP in 2018 is a different company operating in a different environment. Now we are looking to start an Early Production System in Niger which will enable us to realise cash flow from the assets.

2. AK, Given the success we have had, the share price is frustrating to us all. All we can do is to continue to execute the strategy in place and add underlying value to the company. The share price will catch up or we'll be taken out.

3. Are 7E bondholders selling in the market? - AK - No I don't believe so, they are locked into their agreements and I don't think they are breaching them.

4. Is the 7E RTO still on course for 2QTR. AK, Yes, we are very confident everything will be in place from our side, But remember the Govt still have to sign it off from their side as well.

5. Acquisitions may follow - still opportunities out there.

6. Interest from various parties.

7. Once 7E completes, there will be regular updates on production volumes.

8. R2 regions - AK, we've extended another year and could extend another year if required. The South east of R2 is not something we'll target without a partner. Success rate is more like 1 in 5/6/7. Its not a major concern

9. Why is share price still low? AK, We've made progress - frustrating for all including me. As a mgmt team we need to get the story out a more amongst II's. We have a coordinated communication plan. An II has bought 3% of the company over the last few months. If any PI's have any suggestions to improve the visibility then pls inform IR.

10. We will be generating significant cash flows and have a strong mgmt team.

[timberwolf3] 15/6/2018 11:33

Zengas - Thanks for the Highlights , interesting that they won't be flow testing every well, but does makes sense.

[haideralifool] 15/6/2018 11:05

OK, so 7e was discusssed then, as I suspected. Celicourt never passed on the call details.

[canigou2] 15/6/2018 11:04

Zen, thank you for the summary.

[ifthecapfits] 15/6/2018 10:56

Wish the share price would wake up to the future potential.

[ifthecapfits] 15/6/2018 10:55

Great update - thanks Zen.

[zengas] 15/6/2018 10:48

Good CC and good questions and which I thought were good answers provided especially re testing post drilling.

Get the impression that Kunama should be a discovery - in the 93% sweet spot.

Bushiya good discovery. Porosity better than very good !
Amdigh very good discovery. Porosity high 20s into 30s.

In terms of explaining commerciality as an example, it wouldn't matter if a well only drilled a half a million bls as every discovery can be commercialised and tied in at some point regardless of size.

Kunama spudding over the weekend - straight vertical well - not deviated like Amdigh so could be faster in terms of the general 30-35 day guidance.

Absoloute no need to flow test every well due to the prospects being close proximity and have all the relevant data that is required to confirm discovery without having to spend/waste capital in doing so when there is no reason to.

Mention that 2 shareholders are oil traders and could provide finance re forward oil off take in the future.

More drilling prospect details in next month. Once drilling started their focus was they didn't want to stop.

Partner will be brought in on Niger at some stage. Mentioned 3 rigs so did that come about from talks with partners when saying '3 rigs'.

Over 100 prospects/leads for low risk sokor alternances which is the focus.

7e still expected this month and then sign off by the government.

Impressed and thanks to all that asked questions.

[bushman1] 14/6/2018 21:09

Divmad, what are you referring too ? It should be an interesting conf. call at 09.00 hrs, intrigued to know the reason for doing so for two well results.

[divmad] 14/6/2018 20:06

It's Petroleum.

[nen2319] 12/6/2018 23:20

At the last call. They were asking for questions. If anyone has any legit questions. We’re trying to get a list together on the LSE site so if you have any questions put them on there.

[rampair] 12/6/2018 17:04

Who’d be a CEO?

[honestmarty] 12/6/2018 15:27

The RNS was quite specific.

I know the AAOG CC was very controlled, with the directors selecting all questions.

But we will soon see.

[haideralifool] 12/6/2018 15:18

The way these are set up does not seem to stop PIs asking whatever interests them, going by the SDX call (organised by the same people).

My point was that if he refuses point blank to say anything that could turn the event into a negative. He knows he will be asked ...

I'd be happy with him saying that the company expects everything to be resolved by the of the month.

[honestmarty] 12/6/2018 14:23

Haider. No

Look at the terms of the Conference Call

[haideralifool] 12/6/2018 14:12

He seems willing enough to be questioned further to have an investor call this Friday.

[honestmarty] 12/6/2018 13:53

I thought he became flustered during the interview when deal completion arose. He displayed a "tell" in my opinion, and in a poker game I would have called his bluff.

I think there is justified concern over 7E.

[ifthecapfits] 12/6/2018 08:07

and to be fair to ginge - his recent podcast suggested as such.

[nen2319] 12/6/2018 07:13

Where is the delay? The guidance is 2nd Qtr so up to the end of June?

[honestmarty] 11/6/2018 14:13

Growing unease that the delay in the 7E takeover is taking its toll on the share price.

Why have we not had the overdue production figures?

[ifthecapfits] 11/6/2018 10:41

Very frustrating share this. Way undervalued and off peeps radar I feel.

In the meantime, whilst we wait for share price to start playing ball, whats this Plus1 malarky - in layman's terms.

[rampair] 07/6/2018 16:27

SAVP buy it and watch magic in reverse!
This happens sometimes in the market, sort of a group shrug of the shoulders because
Punters are off playing roulette crypto, institutional buying was done @ 35p
So, that leaves a company on offer for once - where old fashioned “investors “ can perhaps take a view.
I hold. Dyor, it’s worthwhile.

R.

[thomasthetank1] 07/6/2018 09:41

Mirabaud note out today, please see below.

Despite delivering a knock out success on its second Niger well, shares in Savannah Petroleum (SAVP LN) edged up just 4.8% yesterday to 32.5p by close of play. We find this surprising given the potential value that has been unlocked and the importance of the Amdigh-1 discovery for moving the project towards commercial viability. On a back of the envelope basis, we believe the find could hold between 20-40 mmbbls of recoverable oil – placing it towards the upper end of discoveries in the wider basin (typical discovery size is 1-50 mmbbls). On the basis that each barrel in the ground is worth ~US$4.5/bbl (at US$70/bbl Brent prices), this implies an unrisked valuation for the discovery of US$90-180m – equivalent to 7.5-15p – versus the share price move yesterday of less than two pence.