I'm not sure if Renergen would be able to put much of a dent in Total's expected output. The gas plant in Mozambique is/was expected to produce 13.12 tonnes of LNG per annum and I think with phase ii that Renergen expect to produce in the vicinity of 110,000 tonnes of LNG per annum. (stand to be corrected).
It would certainly be in Totals interest to assist Renergen reach its full potential considering the issues encountered in Mozambique. Renergen is geographically in a prime position ie Inland and closer to the trucking industry with less political unrest.
I believe the CEO has never made a big play in relation to financing because Renergen are very well placed through both its LNG and Helium to obtain financing when it's required. The biggest play is proving the (large) probable reserves for both are in the ground and recoverable. When that occurs try not to be run over in the stampede.
RLT Price at posting:
$2.10 Sentiment: Buy Disclosure: Held
