Tower Resources Share Discussion Threads

[mynameiskhan] 18/1/2020 21:03

Only prob with TRP is, they don't have partner or funds. They are looking for funds or partner for the last few years but failed to find.I like their Cameroon assets a lot, NPV of over $150m; and 70-80% CoS. Only major risk is, funds. Without funds, assets worth nothing.I would prefer them to raise £10m via placing and drill well with 100% interest. They can have RBL, once reserve are booked.On the other side, MATD also need funds but they have record of raising big chunk from market. I think, they can raise £10m easily from market to perform 3 appraisals wells and put well on stream.

[mostro] 18/1/2020 13:31

Nice Post Oilmanmike, sounds logical!!

[oilmanmike] 18/1/2020 12:43

I have been wondering what would be a suitable comparison to TRP for a little while and now I think I have found a candidate. After watching the video to the left of this page it turns out that Petro Matad (MATD) is a good comparison.
Rather than trying to compare other W African plays I wanted to compare with other companies with projects at a similar stage to Tower's.

Petro Matad owns 100% of of their Mongolian blocks and have identified a 25m bbl of recoverable Oil which requires an initial £10m to develop. They are considering their options but the main two are a partner (farm out) or equity financing. Having got this far I realised this sounds rather familiar, so I decided to take a look at the numbers.
Both companies currently own 100% of their respective assets.
Both assets are at the same stage of development and require a similar amount to progress to production. Whether the financing come via equity or Partnering of equity or a combination is
a bit of an irrelevance at the end of the day, this is because the overriding consideration is the final
percentage of the project they have managed to retain.
Assuming they both manage to keep a 50% share then by looking at the different current market capitalisations of the respective companies a valid comparison can be made.
In this case because MATD has a £25m market cap and they are looking to develop 25m bbls of Oil
the valuation is easy to calculate. It is simply £1 a bbl for their asset at this stage.
Using this approach for Tower implies that TRP should be valued at £18m just for Cameroon where
we are at Now. Thats 1.64p a share which is 172% above our current price.
That is why I am staying Puy and will double up my position on any weakness

[judijudi] 17/1/2020 09:37

saw,
How many 10 baggers have you ever picked?

[saw89] 17/1/2020 09:16

My top pick for 10 bagging this year.
Mcap simply ridiculous considering the asset base and catalysts ahead.

[mr hangman] 17/1/2020 08:55

Going up again

[saw89] 16/1/2020 16:22

8 thousand barrels per day expected for Cameroon. That's a £100m mcap plus company. Look at current mcap! Nothing priced in yet, this is still ground floor.

[saw89] 16/1/2020 15:56

yep news can drop any moment

[jotoha2] 16/1/2020 15:01

Looks like news on spud is approaching fast . first stop 1.5p , then the fun begins.

[saw89] 16/1/2020 11:06

Plenty of high impact newsflow near term to look forward to:

1. Cameroon Drill schedule 2. Cameroon Spud (I see this coming very soon as exploration permit has been granted and the rig is contracted as per websites. 3. Upto 3 farm-outs in the pipeline and Cameroon expected imminently 4. South Africa CPR

[holdbucket] 16/1/2020 09:06

Only 6m traded in 1st hour today (buys:sells = 14:1). This time y'day 21m traded. Very very little selling which bodes well.

[thatsmart1] 16/1/2020 08:52

Oilmanmike. I doubt they need to issue and RNS just for the survey ship as it's in public domain.

[mostro] 16/1/2020 08:51

Top of the leader board again!

[thatsmart1] 16/1/2020 08:33

Excellent, I expect everyone will pile back in again, best just to make a decision and stick with it.

[davisc5] 16/1/2020 08:28

It's coming

[saw89] 16/1/2020 08:21

Thanks for sharing! Must be painfully close to farm-out announcement. All the bits of the jigsaw are falling into place

[thatsmart1] 16/1/2020 08:21

Is it on it's way already?

[oilmanmike] 15/1/2020 21:10

our ship is MV investigator
hxxps://www.marinetraffic.com/en/ais/home/centerx:9.673/centery:4.014/zoom:16

[oilmanmike] 15/1/2020 21:04

Ship Ahoy
destination 'drilling site'
well done all that held
2nd RNS in the Morning
Ducks lined up
GAME ON

[oilmanmike] 15/1/2020 18:13

You would have thought Asher has the farmout already lined up.
The survey we are paying for is a critical step. Farm in partners
will want to know there are no problems positioning the rig over
the drill site.Rig contract cannot be finalised until farm out is
signed. Hence the big move on leaky Cameroon extension as it is
the key step to getting this show on the road

[jotoha2] 15/1/2020 17:32

Certainly not , it's been a bit of a P&D , lots of potential once Archer gets his act together .

[apache_dropout] 15/1/2020 17:28

Is this another AAOG.

[jotoha2] 15/1/2020 17:12

On the basis thatJA has had many months to sort out a farmout , he really does now need to inform the market of said details , that should really get everything moving in the right direction , if he dithers again then share price will be back around 0.4p

[thatsmart1] 15/1/2020 14:58

PS This is a discovery well Tower are appraising and once all is ready they can drill with an aim to flow testing asap.