Only a few months ago, i watched KEY SP go down to the 8c mark, had $7 million cash on hand, and no debt. Investors did not even taken into account the strategic assets they hold such as Kiliwana North, West Songo Songo, Italy and Suriname, and at that time the market cap was about $8m. A screaming buy!
Currently, with UK assets added, and having so much progress made towards Kiliwana North #1 gas discovery, a 40m cubic feet per day through a 72/64" choke, pure gas. In addition possible leads in the area ranging up to a potential size of 500 bcf of gas in place and an estimate 2 TCF yet to be discovered in the NYUNI block. This is just amazing.
KEY is so close into production, in an area where gas is in huge demand and furthermore there is still a possibility to find oil. It is simply a matter of time now that +ve cash flows will come in addition to the UK oil producing assets. Simply put it, in a right mind, it is clear that KEY is trading significantly under NPV, or the underlying value of their assets and cash put together. Currently the market cap is about $14m, with not much shares on issue. One would suggest, market cap has a long way to shoot up, with a booster of having exploration assets with GREAT potential.
Energy demand is not to go away. We are in the right place, right sector. I am back in KEY @ 11.5c. I have watched KEY for a long time now, and believe in due time there is a possibility for KEY to be re-rated. I am holding.
Furthermore, good to see a few loyal shareholders hanging on since the T4P days. Nice to see you all.
All the best to all holders
LM
KEY Price at posting:
11.5¢ Sentiment: Buy Disclosure: Held