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Reconnaissance Energy (Africa) Ltd V.RECO

Alternate Symbol(s):  RECAF

Reconnaissance Energy Africa Ltd. is a Canada-based oil and gas company. The Company is engaged in the opening of Kavango Sedimentary Basin in the Kalahari Desert of northeastern Namibia and northwestern Botswana. It holds 90% interest in a petroleum exploration license in northeast Namibia and a 100% interest in petroleum exploration rights in northwest Botswana over the entire Kavango Sedimentary Basin. The Company's exploration license covers an area of approximately 25,341.33 square kilometers (6.3 million acres) and 8,990 km2 (2.2 million acres) in Botswana. The two licenses together comprise 34,325 sq km (8.5 million acres). Its conventional drilling program is focused on analyzing the rocks to determine if there is a working petroleum system in the Kavango Basin.


TSXV:RECO - Post by User

Comment by jwa444on Sep 22, 2022 12:27pm
181 Views
Post# 34979314

RE:Simple Logic

RE:Simple LogicThe closing of this transaction was originally scheduled for the end of March, 2022.  I suspect the delay was on Namcor's side, awaiting evidence (seismic, drill cores, etc.) that it was to their advantage.  As a partner, they have full access to these results.  Their willingness to go forward with the deal indicates that there is strong evidence of a lot of oil.  Namcor will now participate in the longer term Recon profits coming from Botswana instead of just Namibia.  The simultaneous announcement of an extension of the expiry date of the warrants is an interesting preview of the time frame in which the company anticipates the value of the stock will justify the warrants being exercised (cash flow for the company).  That's the second broad hint coming the same day, that we have commercial quantities of oil.  The details will no doubt be released to us soon. 
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