"HOUSTON, May 30, 2014 /PRNewswire/ -- VAALCO Energy, Inc. (EGY) today announced that Steve Guidry, VAALCO's Chief Executive Officer, will present at the RBC Global Energy and Power Conference at the Ritz-Carlton Battery Park Hotel located at Two West Street in New York, New York on Monday, June 2, 2014, at 10:30 a.m. Eastern Time."
Looks hastily arranged, could be an announcement. If it's not just more flailing, should move shares up. One would assume that's' the purpose anyway. A "presentation" of the last "update" would be a very bad move.
Don't think you'll find that case you're looking for, being stuck and having no opinion about it. I'm buying shares. As you know it's all about what they do with the money. I see many opportunities for EGY right mow.
Check out the CC. My take, they're going to get a World Bank loan similar to the one EGY just got to move forward on development. Several deals on the table. Ed in Chicago on the 23rd with 3D and possibly a deal.
Exactly right SS, Ed said it last CC. They're moving ahead in Gabon outside the PD deal. This could be a signal that they've got a farm-out deal. For sure it's the potential funding the gov of Gabon wants to see to issue a production contract which is what HNR needs to move reserves to P2 which is what banks loan on.
+P has no interest in announcing anything other than a done deal. No shareholders, no reason at all to announce that PdVSA has already approved, they only lose leverage by doing so. They'll be negotiating things like; financing, the dividends owed Harvest and the declaration of Temblador as a new venture. No reason to announce any of that either but once they're done it'll happen quickly.
" KCA Deutag has won a two-year, $170-million contract from Sonangol for use of the jackup Ben Rinnes offshore Angola.
Under the agreement, which carries a two-year extension option, KCA Deutag’s offshore division will provide drilling and completion services in various Angolan offshore locations, employing around 100 personnel, most of which will be Angolan nationals."
This is the rig Vaalco has been using in Gabon.
I don't think EGY can afford not to get a piece of Dassafu so I'm expecting a deal based on this. If they're after Panoros stake they might take the company. Panoro hit a big surprise down the coast during a liquidation that is interesting but still pressure from insiders to sell out. Panoro must be worth $200mm+ and 20% of HNRs Dassafu stake plus true up could be around $100mm.
Etame is a nit investment for them and waining. If the master plan is to move into Dassafu that might be an investment Addax would nix. They've said no to outboard exploration on their own block and with the recent face dusting from the government, they might be ready to move on. That would more than double production without turning a screw.
If this is the answer to the funding question I guess it means they're going to drill. The Angola well this year and EG a possibility. On-shore Gabon not mentioned but needs more millions to go forward. Screwy PR here, will not help.
"HOUSTON – Vaalco Energy has provided an update of its E&P activities offshore West Africa.
Offshore Angola, the company and new partner, Sonangol P&P have purchased seismic data covering the outboard segment of block 5, currently undergoing processing.
Last month Vaalco received a letter and contractual amendment proposal from Sonangol E. P. which the Angolan government will likely ratify. This provides for a three-year extension for the exploration permit until Nov. 30, 2017, and outlines the timing for drilling of the two exploration wells.
One must spud prior to the expiration of the current Nov. 30, 2014 time extension, and the second by early 2016. The semisubmersible Transocean Celtic Sea should drill this year’s well subject to approval from Sonangol E.P.
Offshore Equatorial Guinea, Vaalco and block P operator GEPetrol are developing a joint operatorship model for exploration on the block. This should lead to drilling of two exploration wells during 2014/2015.
Two production platforms are expected to be installed later this year as part of the additional development of the Etame Marin block offshore Gabon – one on the Etame field and the other between the Southeast Etame and North Tchibala fields.
Three wells will probably be drilled from both platforms during the initial development phase, with the Transocean Constellation II jackup rig due to start the program in 4Q.
He must have put his African contacts to work. Can't wait to here about the deals he's done to earn this.
A merger with post PD deal Harvest? If Harvest closes PD I don't think they'll farm-out. They'll either sell Gabon or develop it themselves. The right offer would almost force the BODs hand given their recent track record. The reserve estimates for Dassafu are right about the same as what's left in Etame and it's a 70% share.
How about +P? Because Harvest has other options the price needs to be right but +P has the PD deal leverage to bundle it all up if they want it. They operate onshore Angola, drilling commitments have all been met on Dassafu.
Me too. If they were to buy out Panoro and enough of Harvests share to be majority operator, I'd eat it up on both sides. A deal like this has to be on the table but the accountants are still shorting the PD deal. I think it's up to EGY to offer up a deal that assumes a graceful VZ exit and make it now. Harvest will get development loans from the world bank just like EGY did once the reserves are booked. EGYs share of Etame got them $65mm. Harvest has twice the reserves in Dassafu and that's enough for the development of the initial wells sans the PD proceeds. Those otoh will allow Harvest to go it alone.