I think its also because KKO is still in very very early stages...

I think its also because KKO is still in very very early stages of exploration..

The total number of prospective gas compartments has more than doubled to 79 totalling 1,229km2

The Company’s current drilling program comprises onlya small percentage of just one prospective gas compartment

This "play" will probably need many years in the making - its still very early stages.


Money is definitely the issue here. The last CR was not fulfilled to full capacity (as i remember - correct me if wrong). And as i have mentioned, all the wells currently drilled is just a small percentage of one prospective gas compartment out of 79 (imagine how many CR you will need to finish all the drilling)

There is also cashburn as directors are paid well in $ and not in shares

If the company does get a SA insto investor to fund the drilling programs - then that will definitely be a game changer for the SP - but they've been saying that for quite a while and no news / progress yet.

The company has also been lucky to strike gas in all wells drilled - but there is definitely possibility that some wells will be dusters along the way

Other good news is the offtake agreement: The JV will initially utilise a 1MW gas reticulation engine provided by Vutomi and utilise gas available from Afro Energy’s wells (50/50)

But how much money will they make from 1MW gas sales @ 50/50 JV (im not sure, im asking the Q here - it seems like not much / very small scale operation). Its still better than nothing