Aiteo meets with Niger Delta ex-militants, youth leaders, to curb illegal oil bunkering
22 March 2018
Niger-Delta ex-militants and youth leaders have pledged to join Nigerias leading energy conglomerate, Aiteo Group, in its bid to engender more peaceful coexistence, stop pipeline vandalism, illegal oil bunkering and oil refining in its areas of operation.
This consensus was reached at a meeting coordinated and hosted by the former leader in the Niger Delta struggle and a major stakeholder in the Aiteo NTCL, Rivers State, Sobomabo Jackrich, known as Egberipapa.
Egberipapa said the meeting was called as a result of the peaceful dialogue between him, some other leaders and Aiteo to address issues bordering on surveillance contract and environmental pollution in the creek, river and land within the communities that host Aiteo.
The representative of Aiteo, Tamunokuro Iyalla, said the management of Aiteo is ready to compensate the region, if they will quit carrying out illegal refinery and illegal bunkering activities.
Every community that is affected by our pipeline shall have a representative in the surveillance service. Aiteo management will visit each of the communities affected by our operation. They will discuss with CDC, the youth wing and provide support where necessary in terms of social amenities and capacity building.
Aiteo will not fail to settle all Bunkering persons or owners of Kpom-fire, if they withdraw from the menace Let it be that we join hands to fight this economic and environmental sabotage in our communities, Tamunokuro added.
He noted that the coordinator of Cawthorne Channel would be Sobomabo Jackrich.
Another former Niger Delta militants leader, Asari Dokubo, who also participated in the meeting, said: We should all prepare to support the move to end oil bunkering. I am not making this statement because of this pipeline contract because I have never engaged myself into bunkering.
Midwestern subsidiary, Mart Umusadege Resources unveils new brand identity
Mar 22, 2018
Mart Umusadege Resources Nigeria Limited (MURNL) has unveiled a new brand identity for the business following its 100% acquisition by Midwestern Oil and Gas, the parent company of the erstwhile tripartite partnership, The Guardian reports.
Prior to the acquisition, Midwestern Oil and Gas, Mart Resources and Suntrust Oil Company, operated a tripod strategic alliance, operating at the Umusadege field, at the northern area of Delta State.
According to the Managing Director, Midwestern Oil and Gas, Charles Odita, the rebranding was very important for them to create an image that would represent Mart as a fully nationalized company that is strategically positioned to play a major role in the oil and gas industry in Nigeria.
Going down memory lane, he said, Mart Umusadege Resources Nigeria Limited used to be Mart Resources Inc. an international upstream oil and gas company which explores for, acquires, develops, and produces oil and gas in the Federal Republic of Nigeria.
linksdean - have been trying to find the admission docs/ production agreement to remind myself where Sahara sit in the overall structure and with what % interest but without success - can you help please? it is certainly very interesting that these other indigenous companies are going for listings now and suggests that puts some pressure on Jite to keep up in the regional power plays and particularly as I believe he has much bigger plans from here. thanks.
-Morning Links,-----that's an interesting valuation on Sahara Grp.
---At present they only produce 25,000 BOPD and they are talking about selling 25% for $600 mill.--
---Now lets get a PROPER rating for SLE.
Nigeria's Sahara Revives IPO Plan as It Looks to Pump More Oil
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Sahara to boost production fourfold to 100,000 barrels a day
Co-founder Tonye Cole had to put IPO plans on hold in 2015
Nigerian energy conglomerate Sahara Group Ltd. said it revived plans for a share-sale as it looks to increase oil production four-fold to 100,000 barrels per day.
Lagos-based Sahara mulled an initial public offering in the Nigerian commercial capital and London in 2015, before falling crude prices forced it to backtrack.
The IPO is now back on the table, Tonye Cole, Saharas executive director and co-founder, said in an interview in Kigali, Rwanda. After we made the announcement then, the entire market crashed, oil prices went down, and so we put the plans on hold.
Cole didnt provide a timeframe or say how much he wanted to raise. In 2015, he said he would look to sell as much as 25 percent of Sahara for $600 million.
Sahara and other Nigerian firms such as Aiteo Eastern E&P Ltd., Seplat Petroleum Development Co. and Shoreline Group pump about 20 percent of the countrys total daily production of 2 million barrels. Theyve taken advantage of so-called indigenization laws that are meant to boost domestic private companies presence in the sector by buying assets from the likes of Royal Dutch Shell Plc, Total SA and Eni SpA.
Sahara wants to buy more oil fields to reach its 100,000-target within four years, he said.
The option of buying more gas and oil blocs is looking brighter now, more assets have starting coming on the market, Cole said.
all in all Ripley sle are suspended due to a proposed rto with Midwestern which if it comes off could see a reformed company which could be worth multiples of sp!..so all still to play for. .at the mo sle with its working interest of 5.4% already gives the company production which it is owed through dividends..SPAngel have stated 2970bpd from sept/oct 2016 onward..that production has gained and wained daily through 2017.. but on the whole sle are due that oil production in the form of dividends in which nnpc hold the key..though they themselves have stated paying 2015/2016 off by 2018!.. we will see..most of erotons cash calls have been met 2017/2018.
39m of loan payments have been met with another 19m due before/during april 2018.. with each quarterly payment back to sle the deal they made with the consortium for the production agreement on oml18 sle basically has the deal for free!
No if about the loan payments GPb they are guaranteed plus a whopping 17%pa until they are.. The rto completely agree with you it's could be massive and a main listing IMO could also be on the cards..we will see!.
Can this be true - are you finally questioning the reliability of promises relating to the world of SLE?
After SLE's failure to deliver profits from any of their activities in Poland, Turkey, Spain, France, offshore Morocco etc. are you just a tiny bit sceptical of their ability to make money from their enterprise in a place like Nigeria?
We have to pay our arrears of about $6 billion that were incurred pre-2016 and we are also paying up a tranche of about $1 billion 2016 arrears. We started in April 2017 with the payment of $400 million and we will pay the balance before the anniversary of the first payment.
The NNPC in December 2016 got a discount of $1.7 billion from the $6.8 billion it owed its JV partners as cash call obligations and was asked to pay $5.1 billion instead. This is however in addition to the $1.2 billion cash call debt owed the partners in 2016, for which $400 million was paid in April.
Baru, however, explained in the statement that the NNPC would seek to balance the outstanding debts before April 2018.
" It was learnt that as at January this year, NNPC owed the IOCs cash call arrears of $5.5 billion, while their indigenous counterparts are being owed $1.1 billion, and an estimated $400 million that would have accrued between January and now"
contact NNPC tell them your predicament!..Im sure them believe in ghosts too!
" I saw one poster on here recently admit that they didn't hold but argued that was a plus as he was therefore more unbiased in his views - he has posted quite regularly over time I think. I mean what kind of weirdo does that and why?"
Thanks for the compliment (I take it you have been talking to my wife?) but this weirdo HAS skin in the game (and is down about 48% ATM) which, if nothing else, apparently allows me post as many asinine comments as I wish on the SLE board. Yippee. My point was a general one. I presume Rex Tillerson is not an SLE holder (......) - despite being a non-holder, now that he has time on his hands I would greatly welcome his independent and unbiased views on the future prospects of SLE (etc etc).
In the meantime I would appreciate if, at a minimum, the suspension was finally lifted. Are you listening, Oisin - give us a St Patrick's Day surprise.
whilst talks are still on going a deal is still on the table..the actual makeup of these two coming together would make a the beginning of a very profitable organisation that will in turn want financial houses to invest.
Indeed one has to think this is a major plus for JO here, that and restructuring his debt and clearing the San Leon oml 18 loan at a stroke. This would be hugely empowering both in terms of field development and projects like the pipeline. So we end up say as equal partners or more in the resulting newco. fascinating prospect and opportunities, so I just hope they can get the thing agreed.
denknees!!..you post like an old woman!!..many had from 40p/£40 to sign out to profit from 8p/£8 yet it looks like you held tight and now complain as if its not your own fault ..aim its dirty knees!!..
Oldgeo - thanks for clarifying your position and am encouraged that you clearly see the big potential and significance of OML18 and even that SLE and its principal shareholders may even have been quite clever in 'deal making and financial transactions ' here, as you put it. Pleased also you see significant dividends, although i probably measure the future here in shorter terms than you. so I think, having spent a career spanning 40 years splitting hairs professionally, that maybe semantics can be overdone. we may not agree on every last detail but the bigger picture here is becoming clearer for all to see now and it is a mighty nice one.
in this video OF states sle partnering eroton..no matter how you put it sle are partners of a producing oil and gas field..being a partner and actual shareholder makes you a producing company hence san leons statements..
First let me say that I have never said the OML 18 deal was bad for San Leon. Even with the sketchy history of Nigeria, it does have the potential to be a cash cow. SLE does not have a good track record in exploration or field operations, so perhaps it is best that they stick to deal making and financial transactions.
Perhaps I am lost in semantics, but I am trying to make the point that SLE does not have reserves and is not a producing oil company. The key words in this release are indirect interest. SLE has no control over the operations of the fields nor are they responsible for the capital investments or operating costs of the fields. They have an indirect economic interest that may well pay out significant dividends and/or distributions at some point in the future.
It is interesting that they have been asked to be advisors on the operations. The idea of them providing drilling, workover and seismic services to Erotron may be complicated by potential conflict of interest and insider advantages.
Indeed all quite shocking linksdean. I saw one poster on here recently admit that they didn't hold but argued that was a plus as he was therefore more unbiased in his views - he has posted quite regularly over time I think. I mean what kind of weirdo does that and why? I think we have a mix here of those who have invested badly here and lost so have an axe to grind and those who are deliberately targetting SLE for specific reasons either as disgruntled former employees or perhaps supporting short holders. I suspect SLE will know who some of them are.
Oldgeo - i'm struggling to get your drift here or i suppose i'm thinking so what? because of the quite complex structure here and matrix of contracts, you're drawing i think a distinction between us having a full economic interest in the field and a direct share in ownership? if i've got that wrong please advise though. but you still acknowledge that we might get significant gains from this interest in due course - yes? from my perspective and am deffo not an oil man, i am just interested in growing revenues coming through, so am i or should i be bothered by these distinctions?
i guess your insinuation is that somehow this is other than good news, although you persevere with your belief that Tosca will buy the company for a song, so i assume you say they can grab more of the riches for themselves but why would they want to if the deal Oisin did is as bad as i think you suggest it is? and will they treat Capital and other instos as shoddily? and will they somehow squeeze all this in before the rto with JO? please do enlighten us.
Alaric..as a shareholder here I am attacked for my positive position and research by mainly non holders who post nothing but propaganda against sle..you have to ask why they do it and why they are actually here!!..
they go out their way to get you banned from sites so to block out any such information found and also threaten families and wanting to find you or want meetings for obviously one thing violence!!....as I say you got to ask why.. as no other company blog I have read has this sort of barbaric behaviour from people you have never met before..imo san leon should sue these people as they are out to harm shareholders investment..
before I take my wife out for a nice mothers day afternoon..here is something found in minutes of looking!..
The completion of the acquisition of OML 18 in Nigerias Delta State is significant as its valuation contribution not only dwarfs the rest of its portfolio, but also provides it with near term opportunities for growth, in both production and reserves. Furthermore, the asset provides the Company with access to further opportunities in country and regionally.
OML 18 Acquisition a Game Changer
The acquisition of OML 18 represents a sea change for the Company in not only does it make the Company a producer.
Upon completion of the OML 18 Production Arrangement, the Enlarged Group will benefit from an initial 9.72 per cent. indirect economic interest in OML 18, held through an indirect 20 per cent shareholding in Eroton;
Through the ownership of MLPL and other commercial agreements, SLE is an
indirect shareholder of Eroton, and the Company holds an initial 9.72% economic interest in OML 18.
Eroton is the Operator of OML 18 while San Leon has a defined partner role.
The OML 18 Production Arrangement represents the entry by the Company into the Nigerian onshore oil and gas production industry, one of the largest oil producing countries in the world.
Oisin Fanning, Executive Chairman of San Leon said:
This is a transformational transaction representing the progress that we have made in delivering against our strategy of securing production and near-term operational cash flow. The OML 18 field in Nigeria is a world class asset currently producing more than 50,000 barrels of oil per day and 50MMscfpd of gas and containing substantial 2P reserves. San Leons interest in OML 18, secured through an initial 9.72% indirect holding, provides material production, cash flow and significant expected returns to our Shareholders.
In 2016, San Leon Energy delivered what it had promised in last years Annual Report:
The OML 18 deal was approved and completed, moving San Leon into production.
Thus, 2016 was Year One of OML 18, the year when San Leon became a company partnering in exciting production assets, focused on Nigeria.
With the 2016 OML 18 deal, exciting opportunities and perspectives opened up for San Leon in Nigeria, starting with production, workover and drilling service opportunities to EROTON, OML 18s operator.
San Leon Energy plc Annual Report and Accounts 2016
CHIEF EXECUTIVE OFFICERS STATEMENT
Chief Executive Officer
2016 was Year One of OML 18, Year One of the new San Leon.
We are now more of a production, asset-management company,
with a solid base our indirect interest in Eroton provides us
with exposure to a world-class Nigerian oil and gas block,
OML 18, over one thousand square kilometres of energy
resources and infrastructure, rich with production, workover
and service opportunities.
There you go again Links. If you cannot make a logical argument you attack the other party personally.
I have worked in the oil and gas industry my entire career. I am old and I have experience. I can recognize a smoke and mirrors person from a mile away. I seriously doubt you have any experience in the industry.
I have several ORRIs in producing wells, but I cannot say that I have oil and gas production or reserves. I own stock in a number of oil companies and MLPs and I receive dividends and distributions, but I cannot say I have reserves and production.
If I was a working interest partner in an oil well and shared in the costs and the profits, I could say I have reserves and production.
If Barryroe becomes a big success and SLE has income from their NPI, they will make some money, but they will not be able to say they have reserves and production. They will have a revenue stream from an investment, and that is a totally different thing.
I do not have a problem with you personally. I do have a problem with your very bad habit of attacking personally anyone that dares to disagree with your positions. I also have a problem with you pretending to know more than you really do and trying to make your point by cutting and pasting articles that many times are not germane to the argument.
I will say it one more time for clarity. SLE does not have reserves and it does not have production. They may at some point receive dividends and/or distributions from their investment, but unless they actually become the owner or part owner of the O&G fields, they will not have reserves and they will not have production.
Can you show me one place in an RNS or financial statement where SLE states they have reserves and production? The companies they have invested in have reserves and production. SLE has loans and investments.
Now to change the subject, how much do you believe Tosca is going to pay us for our shares? They are in this to make money, and when this investment is a success and SLE starts receiving distributions and/or dividents , they will take us out at the lowest price the law allows.
Cruncher/Oldgeo - you guys really do seem to have a problem with linksdean and am not sure i can help you there. he posts a lot of actual fact and research to back up his positions, so perhaps you should address the facts not the person? as for your views on OF, well he's only there because our principal shareholders want him there and maybe that just has a little to do with his relationship with Jite Okoloko? as linksdean hints at below, if Oisin hadn't pulled off OML 18 for SLE, we would perhaps have been down the Swannee some while ago...
a long time ago sle went from 8p to 41p before the downturn, aul went to 90p before the downturn and sle stupidly took their licences, but a nice £25 mil of their cash and of course the avobone carbuncle!! ..3legs went to over a quid!..went bust!!..
I made big on sou and petromarco due to sle..aim.. you have to understand the beast or the beast eats you..looks you have had your arris bitten!! due to no understanding.
and if OF was ejected..oml18 wouldn't have happened as OF knew OO..where would have sle been then! at least sle are still in business due to OF which could lead to a recovery of shareholders investment in time..
old geo..your old and don't understand that the deal includes sle in production of oil&gas.. the rest below should take you a while to understand too!
A timely reminder of San Leon's new scale, according to SP Angel
Broker SP Angel described todays update as a timely reminder of the new scale and direction of the company as a result of the Nigerian oil deal.
Its acquisition of up to 9.72% interest in OML18 will not only provide it with access of up to 5m bpd of production and ~47mm bbl of 2P reserves on completion, SP Angel said in a note.
SECTION 14. EVALUATION OF THE EXPLORATION PROSPECTS
This section focuses on the review of prospects and leads in the OML 18 block originally identified by SPDC and to review further prospects not previously recognised by SPDC. 21 out of the 36 SPDC leads have been reviewed at a scoping level.
Some leads, not identified by SPDC, were also noted during the review and where time permitted a rapid evaluation was carried out. Of particular interest is the possibility of significant reserves in stratigraphic pinchout traps within the larger rotated fault blocks.
It should be noted that at least 15 other identified prospects remain to be evaluated and it is anticipated that additional new prospects will be identified in future work..
At the time of the Eroton acquisition a reserves report by RPS Energy
attributed 2P reserves of 407mmbbl and 3Tcf of gas to OML 18.
A more recent CPR by Petrovision has increased reserves by over a third to
OIL & GAS FLASHNOTE 26 August 2016
576mmbbl and 4.2Tcf reflecting the strong production performance.
Additional contingent resources are estimated at 203mmbbl and 1.6Tcf, while
there is also considerable exploration potential (471mmbbl and 1.6Tcf are
attributed to the top 20 ranked prospects on a risked basis).
Importantly, San Leon negotiated the acquisition on the basis of the old reserve numbers so will immediately benefit from the reserves upgrades.
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