Africa Oil Corp. T.AOI

Net cash in Prime

[Lonegaurdian19]

So end of Q3 prime had net cash of $250 million for our 50%. For Q4 we did 30,000 barrels @ $52 net of costs so $140.4 million. Add in January we're the net is about $62 a barrel so 55.8 million.

so 250 + 140.4 + 55.8 = 446.2 million

Feb = add another 55.8 million


debt: 514.7 million

less 150 million in new credit facility over 7 years

364.7

446.2 + 55.8 - 364.7 = 137.3

so at the end of February they could repay the whole RBL

with around $100 million to do with as they please

maybe 50 million buyback and 50 million divy?

as I've said before I'd prefer a 100 million buyback followed by a divy next quarter


feel free to correct me if these numbers don't look correct

[Ferryboy]

I didn't attempt to validate your numbers but they seem reasonable to me.  Just shows how much cash on hand there is in Prime The only thing I would add is that if AOI is wanting to acquire another producing asset, as they have indicated, I suspect they will want as much cash from Prime as they can get to put towards that. They will paydown some of the Prime debt for sure and Keith Hill

[Lonegaurdian19]

Agreed, I was just building a base for how this thing is a cash machine. Most oil co's are moving to 60% FCF return to shareholders. So even at 40% they could abide by Keith's ambitions for an aquisition. Timing and acquisitions are not currently ideal at the moment but they could build up their cash position. The fact they are holding so much cash in Prime may be indicative of something

[firstworld]

I guestimate the next Prime div payment will be $80M.

[EGF30]

"I looked up the release date for 2020 Financials and it was Feb 26.  So I am guess we have just another 2 weeks to wait before we find out whats going on" I was thinking this must be a typo and looked at the corporate website to confirm. Looks like it will be Monday, February 28th for the release of the 2021 financials. Financial Calendar & Events | Africa Oil Corp. Cheers

[Rsoleblocka]

Likewise!