Potentially Massive

TA & FA have aligned perfectly - TA just broke out & FA below:

RBR is a labor hire company & is only 1 of 3 accredited providers of labor hire (with a labor broking license) in Mozambique. IMO this company is on the cusp of a major re-rate because of the Oil & Gas opportunities which have opened up in Mozambique which are a kin to the O&G boom we saw on the North West Shelf in WA.

Over 180TCF of Natural Gas has been discovered in the Rovuma basin by the Texas-based Anadarko & ENI (Italy) and they are at the commencement of constructing the Afungi LNG Park (est value USD25-30B) which will see Mozambique a major LNG exporter by 2023.

Independently, ENI have also commissioned a floating LNG facility for its Coral South Project & it is due for completion in 2022.

Given the extra-ordinary opportunity in the area, global O&G Tier 1 players are being attracted to Mozambique & in 2015 ExxonMobil was awarded concessions for exploration & production of 4 offshore blocks with exploration commencing in 2017.

(Read more on the Macro O&G space in Mozambique here - https://www.export.gov/article?id=Mozambique-Oil-Gas)

Production investment decisions & financing have been approved for the major ENI projects (https://www.bloomberg.com/news/articles/2017-06-01/eni-finalizes-7-billion-investment-in-mozambique-gas-project), with construction about to commence. Note the purchase contract is with BP which will buy the gas for 20 years.

One can only imagine the sheer number of skilled workers which are going to be sourced for the ‘construction phase’ of these mammoth projects – noting that the construction phase of Australia’s O&G boom lasted for nearly a decade and created unprecedented levels of wealth. Mozambique is at the beginning of this exciting journey.

RBR group is the only Australian Listed labor hire company with direct exposure to this & importantly, it is only 1 of 3 accredited providers of labor hire within the country of Mozambique.

The icing on the cake is that there will already need to be thousands of employees engaged / hired by these projects from the very beginning – i.e. as soon as they turn some soil for earthmoving, clearing works.