Thursday, 24 August 2017

5.4.3.2.1.....Aminex Ready For Lift Off


With anticipation building and news due anytime, I’m so looking forward to putting the first of an expected stream of direct Aminex news onto the blog.  It's only been three weeks since the appointments of the new COO and the companies own solicitor were made and just five since collaboration with io GE was announced who themselves, bring possible leveraging of their own parent companies to the party.


During the last five weeks, the share has seen around 50% increase in SP as it has edged

towards the (pre-expected news), broker value of 6p and shareholders are holding with baited breath as to what order the news will come.  There is so much due here and it’s expected to roll in from early September as indicated by the CEO with possibly something before August is out!

The following is summary of some of the news expected and what is known so far.

COO & Company Solicitor Announced
Aminex is pleased to announce the appointments of Aaron LeBlanc as Chief Operating Officer with immediate effect and Brian Cassidy as Head of Legal effective 1 September 2017

Aaron is a Geologist by background with 15 years' experience in oil and gas exploration, development and operations.  He has worked in Western Canada, the Former Soviet Union, Europe, North Africa, East Africa, the

Middle East and South-east Asia.  His early career was spent with Devon Energy Corporation where he was an integral member of the acquisition and development group for the Iron River oilfield which saw production increase from under 3,000 bbl/d to over 30,000 bbl/d.  Prior to joining Aminex he was Vice-President Exploration at Serinus Energy Inc and was a key member of the team that grew its Ukrainian gas production organically by approximately tenfold through an active drilling programme.  As COO he becomes responsible for all operations in Tanzania and elsewhere when applicable.

Brian is a Solicitor with over 20 years' experience in the oil and gas industry, during which time he has worked in the UK, Azerbaijan, Singapore, Hong Kong, China and South Korea.  Before working in the industry he practised law with Ledingham Chalmers LLP, McGrigors LLP and Clifford Chance LLP.  Prior to joining Aminex, he was Head of Legal and Company Secretary at Bowleven plc.  As Head of Legal at Aminex he will be responsible for all legal matters related to commercial and operational activities.

Io GE collaboration announcement
Aminex is pleased to report the appointment of io oil & gas consulting, a Baker Hughes, a GE Company, and McDermott joint venture, to prepare a gas commercialisation study to assist with the development of the Ntorya field, part of the Company's Ruvuma PSA acreage in Tanzania. The study is designed to identify gas monetisation options available to the Company including potential early development facilities to supply gas to local market and enable near term revenue generation.

The Ntorya-2 appraisal well was drilled earlier this year and successfully tested in March 2017 at a stabilized rate of 17 million cubic feet per day. The well was suspended for future production. Aminex's management estimates that the Ntorya appraisal area has Pmean GIIP of 466 billion cubic feet.

CEO Talks Commercialisation Study
Expected News

  • Basin upgrade
  • Assets update
  • NT3 Location
  • NT3 Spud Date

Work on the updated basin model for the Ruvuma acreage is ongoing to evaluate deeper targets and liquids potential in the Basin.   This information will be incorporated in the Ntorya 3 drilling programme in order to maximise target potential at greater depths.

“In the Ruvuma area, the Company is fully engaged on its updated basin model which includes preliminary re-mapping of multiple stratigraphic fairways and updated resource numbers. A gas development plan is being prepared by io oil & gas consultancy. These, together with submission of the Ntorya Field development plan to TPDC, are expected to be completed in early September.”

  • Plan to Market
  • Pipeline Connection
  • Local Sales
  • 25 year Development Licence

Io GE collaborating with a development plan being prepared and the Company is working directly with the Tanzanian Petroleum Development Corporation (‘TPDC’).  This will include early production opportunities to be implemented prior to a longer-term project for tying a fully appraised and developed gas field into the Madimba gas processing plant and the national pipeline system

  • Possible Leverage of GE
  • Possible Leverage of Baker Hughes

Robert Dickson, Partner and Business Development Lead Africa, said: “io is looking forward to supporting Aminex and Solo in understanding the commercial options for the exciting Ntorya Gas Development. io will bring greater certainty to the Ntorya Development through our expertise in gas commercialisation technology, gas commercialisation study approach and in leveraging the capabilities of our parents including Baker Hughes a GE company, the only Full-stream Company

Richard Dyson, CEO, said: “I am really pleased that Aminex has chosen io as their advisor on this strategically important gas monetisation study and I am sure that we will be able to demonstrate our value add to Aminex and thereby build a long-term collaborative relationship with them."

  • Kiliwani Test Results

Kiliwani North tested at 40MMcfg/day from Kiliwani North pool only 2km from the new Songo Songo gas plant and pipeline for Dar es Salaam

Production maintained over previous quarter to a satisfactory level at a slightly lower rate to accommodate temporary restriction at the Government owned gas plant

In July 2017, it was planned to shut down for at least 15 days for maintenance during which time pressure tests at the well will be conducted.

  • 3D Seismic

 “Aminex is also re-evaluating existing data over its licence interests around Songo Songo Island to identify further drilling targets which could ultimately produce additional gas into the Songo Songo Island processing plant.”

It was also announced that 3D Seismic was being put out to tender

Asset Summary

Ruvuma PSA:

Composed of Mtwara and Lindi Licences

Ntorya 25 year development area to be carved out of Mtwara licence

Ntorya-1 discovery well (2012) tested gas at 20 MMcf/d with 139 bbls of condensate (maximum rate)

Ntorya-2 appraisal well (2017) successfully drilled and tested 17 MMcf/d (stable rate)

Ntorya development area:

                Channel + discovery mean GIIP 823 BCF*

Ruvuma PSA (excluding Ntorya): Mean GIIP 4.2TCF**

Kiliwani North

Producing at 15 MMcf/d (2,500 BOEPD) – one well

Net back price $3.30 per MCF 9gas sold at wellhead)

Generating approx. $1.5 MM (gross) per month FCF to partners

                $0.8MM (net) per month FCF to Aminex

Nyuni Area

Multi TCF potential in deep water

Existing processing plant and pipeline for tie back opportunities

*Management Estimate

** RISC report 2012



CEO Presents Ntorya-3 Test Results


CEO Debt Free A new Base From Which To Grow
Business Environment
As said many times by CEO Jay Bhattacherjee.  "Aminex is working hand in hand with the government" to aid them in their quest to change the lives of the people of Tanzania.  A Government that has set about a massive industrialisation program for the development of gas power plants and the aim of electricity being available to all of its population within three years.  Much of this information can be found within the blog.  


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