logo-loader
viewAminex PLC

Aminex encouraged by ‘evidence of gradual unlocking’ in Tanzania approvals process

“We continue to see significant potential in our assets in Tanzania and look forward to being in a position to deliver value for shareholders," said chief executive Tom Mackay.

Aminex PLC - Aminex encouraged by ‘evidence of gradual unlocking’ in Tanzania approvals process

Aminex PLC (LON:AEX) boasted of its ‘encouragement’ as the Tanzania-focused firm anticipates further progress for its gas development projects.

A week ago the company told investors that it had seen positive movements in Tanzania with the government actively resolving several long-standing issues with other operators in the country.

It bodes well for Aminex’s Ruvuma project and provides confidence to the company and its partners ARA who are now prepared to further advance pre-drilling operations for the planned Chikumbi-1 well.

READ: Aminex and ARA to move ahead with pre-drilling work

Such sentiments were affirmed on Monday, in its half yearly results, as chief executive Tom Mackay said: "We are encouraged that the delays the company has experienced over the past eighteen months in being able to pursue our operations programme in Tanzania appear to be finally coming to an end and there is now firm evidence of a gradual unlocking of the approvals processes in country.

“Having successfully pared back our administrative expense, through the year to date, we have been able to advance a modest technical and operational planning work programme on both our KNDL and Ruvuma permits in what has been both a difficult and transitional period for your Company. 

“We continue to see significant potential in our assets in Tanzania and look forward to being in a position to deliver value for shareholders, from a low-cost base, which we have worked tirelessly to achieve this year".

In terms of financial results, Aminex revealed that it generated some US$140,000 of revenue from continuing operations, all coming from the provision of technical and administrative services to its joint ventures – as there was no production revenue from the Kiliwani North gas well during the period.

Whilst the company intends to remediate operations at Kiliwani North this programme, subject to regulatory approval.

The company incurred some US$1.78mln of admin expenses, and, it reported a US$2.2mln loss for the first half of the year. And, it made a US$2.19mln loss before tax.

Aminex raised US$2.18mln during the six months via equity, and, more recently inked an agreement with partner ARA Petroleum to allow US$3mln to be paid via instalments pending completion of the agreed farm-out deal for Ruvuma.

The company ended June with US$2.02mln of cash and equivalents.

Quick facts: Aminex PLC

Price: 1.3 GBX

LSE:AEX
Market: LSE
Market Cap: £49.02 m
Follow

Add related topics to MyProactive

Create your account: sign up and get ahead on news and events

NO INVESTMENT ADVICE

The Company is a publisher. You understand and agree that no content published on the Site constitutes a recommendation that any particular security, portfolio of securities, transaction, or investment strategy is...

In exchange for publishing services rendered by the Company on behalf of Aminex PLC named herein, including the promotion by the Company of Aminex PLC in any Content on the Site, the Company receives from said issuer...

FOR OUR FULL DISCLAIMER CLICK HERE

Watch

Investor Update: TUI delivers solid fourth quarter update

Headlines from the Proactive UK newsroom. Package tour group TUI (LON:TUI) delivered a solid fourth quarter update just a day after main rival Thomas Cook collapsed. Problems with the Boeing Max jet are still causing headaches, but summer bookings are as expected and underlying profits will...

on 24/9/19

2 min read