Outlook: Watch for Intra Isongo
After the completion of the farm-down to Lukoil/NewAge in 2015, the bulk of Bowleven’s value lies in its 20% interest in the Etinde gas condensate field and significant cash resources. In the current market, these cash resources (with no debt or outstanding work commitments) put it in a strong position as a well-funded developer and mean it has the ability to screen additional inorganic opportunities, as well as take advantage of falling service costs to maximise value. We expect the two carried appraisal wells in the Intra Isongo to be drilled in late 2016/early 2017, with the potential to more than triple the company’s resource base. As the project approaches FID in 2017, we would expect investors to attribute more value to the development but, for now, more than half of our core NAV of 45p/share is made up of cash. Our RENAV of 60p/share includes an uplift from the Intra Isongo and a potential development at Bomono.Bowleven is an oil and gas company focused on Africa, where it holds a combination of development and exploration interests in Cameroon. Co.'s assets are aggregated into a single reporting segment: Africa operations, which focus on exploration and appraisal activities in Cameroon. All assets that are aggregated in this segment are in the exploration phase.
Edison is an investment research and advisory company, with offices in North America, Europe, the Middle East and AsiaPac. The heart of Edison is our world renowned equity research platform and deep multi-sector expertise. At Edison Investment Research, our research is widely read by international investors, advisors and stakeholders. Edison Advisors leverages our core research platform to provide differentiated services including investor relations and strategic consulting.
.
Unfortunately, this report is not available for the investor type or country you selected.
Browse all ResearchPool reportsReport is subscription only.
Thank you, your report is ready.
Thank you, your report is ready.