General Chat - RBR, page-113

Hoping $0.003 will get wiped soon.

Next stop should easily see RBR back to $0.009 ~ $0.011

Since the US$50 billion project will restart soon this month







Mozambique’s imminent LNG boom

According to company statements and news reports, two proposed giant onshore LNG projects in Mozambique are expected to require a combined capital investment of about US$50 billion.

One is the 12 million-tonnes-per-annum Golfinho/Atum LNG development led by Anadarko Petroleum (NYSE: APC), where early works capital projects have already been approved to allow construction to start as soon as the final investment decision is made (anticipated in 2019).

The second a 15.2Mtpa project led by ExxonMobil which involves the construction of two of the world’s biggest liquefaction units outside Qatar. The final investment decision for this project is also expected next year, with production targeted to commence in 2024.

In addition, Eni has already confirmed its final investment decision to develop a 3.4Mtpa floating LNG project in Area 4 of the offshore Rovuma Basin.

According to RBR’s June 2018 quarterly report, there is an expectation that the Mozambican government will mandate a local content quota of between 10% and 25% of the total capital spend. The country produces very little in terms of industrial goods, with the bulk of local content expenditure likely to comprise of labour-related expenses and logistics.

RBR’s stock jumped 37.5% to $0.011 on the news this morning. By afternoon trade, the share price was up 12.5% at $0.009.