I honestly think KEY should tough it out in Tanzania.I don't...

I honestly think KEY should tough it out in Tanzania.

I don't think a sale of our Tz assets will yield anywhere close to a reasonable $ figure, so why sell just because the assets are going nowhere fast?

If, and I agree it is a big if, things start progressing over there then the assets would instantly be worth multiples of the current value, whatever that is.


I agree Starmanwin, however much of my buying of KEY was on the basis of the Tz assets so I tend to be a bit biased in that respect.

The UK was purely some cream on the top (or using KEY's seedling as the metaphore, some fertiliser) to pay the bills and supposedly to avoid massive dilution whilst Tz got commercialised.

The UK assets if Lidsey #2Hz goes very well will provide cashflow but will just deplete the oil field so much more quickly.

Italy has some good prospects, but having watched PVE for the last couple of years progress there is waaaaaaaaay slower than Tz. Even once the Italy wells are drilled it would take 4 or 5 years minimum to bring them into production. It's taken KEY 3 years just to gain approval for the 3 of their 4 off-shore licence applications.

I thought originally that Suriname could bring some minor cashflow until I did some in depth research a few months ago and realised that the government of Suriname is using this drilling purely to increase their reserves of oil with no indication of any production until their existing fields are nearly depleted.

Back on Tz, the question now is if approval is granted before the end of June how quickly can the tie in be achieved and can the JV delay further drilling until KN#1 is producing?