Simba Essel Energy Inc SMBZF

RE:RE:Just $8.6M and no Major interested in 2A

[PapaFritz]

FillToSpill wrote: This deal primes the Kenya asset up ready for a Major.. As noted previously the 2D TRADITIONAL seismic is needed to define leads and add furhter value making th eprospect drill ready. THis si the stage a major will become interested once its ready to go..

I would thiinkt he co i sthinking along the lines of as follows..

Relinquish 40% to get cash and 2D seismic  drill ready and primed for intrest form majors..
When negotiating with a major later down the line the 'group' and Simba give 50% of their stake each in exchange for interested party to fund drilling of a well.

This would leave the following 
Major or funding partner 50% (operator)
Simba 30%
'Group' 20%

All IMO..
 

Great post FilltoSpill; I completely agree with your comments~! Passive seismic alone didn't cut it and companies that went through Simba's data made that very clear. except for Ajax 2D,3D and/or FTG is needed to provide the right data for the big boys to get excited and who know maybe one of them will even make an offer to drill~! "Upon completion and interpretation of seismic results, both parties mutually agree to either drill a first exploration well with each party responsible for its own share of costs OR farm out to other third parties on mutually acceptable terms."