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Africa Oil Corp. T.AOI

Alternate Symbol(s):  AOIFF

Africa Oil Corp. is a Canadian oil and gas company with producing and development assets in deepwater Nigeria, an interest in the Venus light oil and associated gas discovery, offshore Namibia, and an exploration/appraisal portfolio in west and south of Africa. The Company holds its interests through direct ownership interests in concessions and through its shareholdings in investee companies, including Prime Oil & Gas Cooperatief U.A. (Prime); Impact Oil and Gas Limited (Impact); Africa Energy Corp. (Africa Energy), and Eco (Atlantic) Oil & Gas Limited (Eco). The Company is focused on its Nigerian assets, Namibian Orange Basin opportunity set (Blocks 2913B and 2912), Block 3B/4B in South Africa's Orange Basin, and Equatorial Guinean exploration blocks (EG-18 and EG-31). The Block 3B/4B covers an area of approximately 17,581 square kilometers (km2) within the Orange Basin offshore of the Republic of South Africa. The Company has approximately 17% interest in Block 3B/4B.


TSX:AOI - Post by User

Bullboard Posts
Comment by Oregonduckon Mar 16, 2020 6:09pm
117 Views
Post# 30814705

RE:RE:It's a Mad Mad Mad World !!!

RE:RE:It's a Mad Mad Mad World !!!
OilGold1 wrote: Let's hope it's gone in 12 months. The American Hospital Association on the other hand believes that in the next 2 years there will be 96 million Americans that will have contracted Covid-19 and of those 500,000 will have died.


I would be more concerned about millions of people losing their jobs in the  Recession and a billion people or more out of work in another Depression..

Coronavirus is nothing but a common flu. It doesn't really affect healthy people and the very young who will recover fully. More people died from common flu each year.

It is funny the Company is still touting the oil is hedged when there is no market for Nigerian oil. No oil, no cash flow. The $66 put hedge is time-sensitive and will expire  worthless by year-end. AOI is 28 percent hedged for next year but can no longer afford to put on more hedges as it will cost hundreds of millions due to the volatility of the oil market. The Co. is tapped out with no cash left and expected to take massive impairment charges wiping out its equity balance.

AOI needs to brush off its CCAA protection shelf filing just in case. There is a strong chance that AOI may be forced to file for bankruptcy proceeding due to violations or contravention of its loan covenants.

i wouldn't want to touch AOI with a 100-foot pole as it can go to zero like Lundin's other company RB Energy.
Bullboard Posts