THE GRAVY TRAIN SPEEDS UP DESPITE MORE BAGGAGE IN THE 3RD BEGINNING
THE TRAIN NOW HAS 3 MAIN DEPOTS: BANJUL – THE AIRPORT AND MANKAMANGKUNDA
For readers that do not know the last depot, it can be pronounced phonetically as MAK- A- Man- Kunda; the G is Silent!
Behold the new train: There you see the Engine – the power source has taken on a new life represented by the 1, 4 Billion BTU’s of pledged EU Energy to offset the Debt in the Baggage car.
Once again let us review what comprises this train that left the station in January 2017 on its promised destination of New Hope, Freedom, Harmony, Security, and the stated Economic Development
Each of the cars are defined as the Ministries of The Gambia and the last car is the Baggage Car conveying the Finance and Debt.
As the train creeps to its depots despite the new fuel it is slowed by contracts that have become a focus of the IMF and World Bank that have declared a halt on the spending spree. The handling of many of these projects has definitely slowed the train with contracts that should have tenders – bids and proper vetting procedures.
One would and should Wonder as to why the EU and others are so willing to grant pledges against falling tourism and agriculture earnings. Surely, they have a faith in the country being able to honor any payments and generating income. It must be also known to the main passengers on the Gravy Train and by rights they should share it with the citizens!
As they are all rather consumed with Whatever it is they are doing, we will venture an educated guess backed by known facts.
This is known regarding Oil in Gambia Offshore. For better or worse!
Initial indications confirmed 32° API oil quality. That is Sweet or Light meaning Low Sulfur.
HOUSTON – Erin Energy Corp. has received approval to extend the initial exploration period for blocks A2 and A5 in Gambia. The work program includes the requirement to drill one exploration well in either block during the exploration period.
Australian oil and gas company FAR Ltd has signed a farm-out agreement with a subsidiary of PETRONAS to assign a 40% interest in each of the offshore petroleum licenses, Blocks A2 and A5 in The Gambia.
In addition to this, PETRONAS will fund FAR’s share of non-well costs up to a maximum amount of $1.5 million. FAR will remain operator through the exploration phase of the A2/A5 licenses, including the drilling of the Samo-1 well, and PETRONAS has a right to become the operator for development. The Samo-1 well is expected to be drilled in late 2018 and will be the first exploration well offshore The Gambia since 1979. FAR estimates the Samo Prospect contains prospective resources of 825mmbbls oil. (Means Millions).
FAR Managing Director, Cath Norman, said: “This farm-out deal with PETRONAS is further recognition of the value of our Gambian licenses and FAR’s status as a partner of choice in the Mauritania-Senegal-Guinea-Bissau-Conakry Basin. FAR has built an enviable position in the basin and we look forward to drilling the Samo-1 well later this year. Success in this well would be of significant value to our shareholders and truly transformational for the people of The Gambia.
What it means for Gambia, in addition to the Upfront payment (a bit of a Secret) there is a Royalty of 15% to 25% of the per barrel price @ $60 so $9 or $15 per barrel based on well(s) bringing in 50,000 BBL’s per day, (Standard Industry Contract) there would be about 45 years of oil at that daily rate; as under; Platform never sleeps at 365 days a year
@ 9 x 50,000 BBL’s per day = $450,000 164,259,000 per year
@ 15 x 50,000 BBL’s per day = $750,000 273,750,000 per year
This is why they are spending like a Busman on Holiday and the EU is pledging.
At least Mr. Norman is concerned about the average Gambian!
When inexperienced people assume leadership roles and do not consult those that know and when people that did not have Wealth are suddenly faced with the sums now presented and feel they should Participate – Perhaps it would be better to shut the Gravy Train down for top to bottom maintenance.
Again, the Main Task now is to establish faith through Positive Actions. Where are the Wise Minds?
COG – CIVILIAN OVERSIGHT GROUP
There is much to do!