Africa Oil Corp. T.AOI

Nice on the surface

[Suppe11]

Ehm....without the non cash 300m tax refund. (Prime paid 60m taxes cash) the Prime number would have been in the red. Their cf was negative, even if you take out the paid divi (125m).

On the Aoi level....take out the tax level and the Kenia impairment and the result is roughly zero.

[Lonegaurdian19]

Pretty typical of a company building for the future. plant mode the next couple quarters to enable harvest mode next couple years.

[papaloapan]

Having trouble getting my head around this.  Appreciate if you could explain this. What exactly is a non-cash refund ?  If its a refund, and if not cash, then it is another form of asset ? But deferred tax is a liability ? What happened to create negative cash flow.  Prime has oil sales revenue, against which they charge nominal production and administrative costs, and taxes. 

[Suppe11]

The 300m was non-cash = no casflow for it. It raised the the book value of Prime. It had to do with the licence extension of OML130. Prime generated 23m from operating activities (working cap. movements and 60m tax payment included). Capex was 77.8m and interest payment 29.2m = -107m.  23m-107= -84m...and they paid a 125m divi = -209m.....raised 30m more debt, then repaid... Regarding

[DAGUY]

A person needs to take a few accounting courses to figure some of this out. Sure a lot of "non cash" entries all the time.