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Reconnaissance Energy (Africa) Ltd V.RECO

Alternate Symbol(s):  RECAF | V.RECO.WT | RCNWF

Reconnaissance Energy Africa Ltd. is a Canada-based oil and gas company. The Company is engaged in the exploration of the Damara Fold Belt and Kavango Rift Basin in the Kalahari Desert of northeastern Namibia and northwestern Botswana. The Company holds interest in a petroleum exploration license no. 0073 (PEL 73) in northeast Namibia and an interest in petroleum exploration rights in northwest Botswana over the Kavango Sedimentary Basin. The Company's exploration license covers an area of approximately 25,341.33 square kilometers (km2) (6.3 million acres) of oil and/or gas exploration properties comprising Blocks 1719, 1720, 1721, 1819, 1820 and 1821 situated in the Kavango Basin of northeast Namibia (the Namibia Licensed Property) and approximately 7,592 km2 (1.88 million acres) in Botswana (the Botswana Licensed Property). The two licenses together comprise over 32,933 km2 (8 million acres).


TSXV:RECO - Post by User

Comment by TurnToTheRighton Jun 12, 2021 4:30pm
247 Views
Post# 33378162

RE:RE:shorts are stubborn

RE:RE:shorts are stubborn

It's absolutely going to take several years until meaningful production comes from the basin. My guess is that it will take at least 5 years until anything over 100,000 bbl/day is produced. The Namibian gov needs to understand this, otherwise they simply have unrealistic expectations based on inexperience with O&G development. 

Exploration drilling needs to wrap up (likely at least 1 more year, if not more). Then appraisal drilling and development needs to take place, with only marginal production. Development drilling, with commercial production, will still be a few years after appraisal begins, and will require substantial infrastructure to get the production to market. So ya, likely several years off until meaningful production is achieved, and this is a very rough explanation of the development process.

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