Africa Oil Corp. T.AOI

Target Price

[HurricaneAmanda]

My target price is currently $4 per share. AOI's 50% interest in Prime supports the value of the shares to a large extent. AOI has indicated it plans to "return capital to shareholders", either through dividends or share buybacks. The company is currently trading at less than book value of $2.45CAD (according to the Q3 2021 news release).

[Splinnter]

Intrinsic value is north of 6$ to my belief if Venus-1 kicks in. 

[PrinceCherwayko]

Care to share your numbers ?

[ogod00]

chances are well is a duster, something that cost 100 m to drill , where drill rig most likely has been released gets publicized if any good ,even if it does come in with 3-5 year offset to production direct effect negligible glad i sold some in the 2.30 range, oil most likely slides and now we are back to praying for a pleasant Year end meeting and divvy hopes GLTA

[firstworld]

they wouldnt know after just a couple weks of testing and moving on to spud second location is why it left. doesnt matter glad the price dropped bought more today averaged at 1.65 now....looking forward to next monster Prime div cheque and decision on share buybacks or div to AOI shareholders. Curious how much they hedged at $85-100 BL. USA shale says no production increases beyond 5%. even of

[ogod00]

funny i have exactly same average cost , but have been staring at this in my portfolio a number of years , easily the worst performing oil stock i own in past 18 months, onward and upward with or without total !!!

[firstworld]

I just had good timing buying in at 1.20 a week before strarted going up. I love the the Prime investment and alignment with supermajors as well as Africa that wide open for oil business with little transparency. Let the Bolsheviks dream on carbon free transport and energy while the other 5 B people on earth use oil and gas haha. Bought in largely with cruise line gains profiting through 4 cycles

[mrposhman]

Voyager is still onsite. What makes you think the rig has been released?

[ogod00]

you are right , lease has been extended to March according to updated info https://cdn.maerskdrilling.com/media/2222/fleet-status-report-february-2022.pdf

[ogod00]

voyager cost roughly 500 m to build,in 2011, maiden launch 2014,  eni leased it for 1 year in 2015 for 545 M !! to drill a duster if i m not mistaken, the money is in supplying the shovels obviously

[firstworld]

[firstworld]

That is a low cost offshore drill. Probably only costs $500K a day incl all consumables if that. Nice asset yield with $120M annual cash flow on a $500M asset that was paid for long ago!