Page 19 - LatAmOil Week 47 2020

LatAmOil NEWS IN BRIEF LatAmOil

NG Energy International Corp. is a publicly
traded E&P company on a mission to provide
a clean and sustainable solution to Colombia’s
energy needs. The Company intends on exe-
cuting this mission by producing and bringing
gas to the premium priced Colombian gas mar-
ket from its concessions, SN-9, a 311,353-acre
(1,260-square km) block which is adjacent to
Canacol’s Nelson field, as well as Maria Con-
chita , a 32,518-acre (131.6-square km) block
located in the region of La Guajira. NG’s team
has extensive technical expertise and a proven
track record of building companies and creating
value in South America.
NG Energy, November 25 2020
Oil produced in association with natural gas extent and severity.
production was being trucked to and stored at The May 28, 2020, federal government decree Petrobras on “More
Total’s Rio Cullen offshore loading facility and which set the price for 34 degrees API Medan-
subsequently sold in conjunction with Total oil ito light sweet crude oil at $45 per barrel (which Value” programme
sales in July and September 2020 for an average was adjusted for each type of crude oil by quality
price of $31.11 per barrel. With the reopening and other inputs), was repealed on August 28, Petrobras has launched the “More Value” pro-
of the Cruz del Sur facility in late August 2020, 2020 following a 10-day period during which the gramme (Programa Mais Valor), a new finan-
associated oil production is now trucked to the Brent price exceeded $45 per barrel. cial solution tool for suppliers. The pilot started
San Martin field, blended with San Martin oil In conjunction with the repeal of the decree, last week and, on November 30, the tool will be
and transported via the San Martin oil pipeline the export tax on crude oil sales was reinstated. opened to companies interested in anticipating
to Cruz del Sur for storage and sale. The rate of export tax is determined by a formula invoices with more competitive rates.
Cerro de Los Leones Exploration Permit: As based on the price of Brent oil, ranging from 0% The program seeks to stimulate the oil and
at September 30, 2020, the Company is commit- when the price of Brent oil is at or below $45 per gas production chain in Brazil, hit by the coro-
ted to drilling one exploration well on the CLL barrel to a maximum of 8% when the price of navirus (COVID-19) pandemic, offering sup-
exploration permit before February 23, 2021 Brent oil is at or higher than $60 per barrel. pliers the opportunity to anticipate the invoices
under the Period 3 one-year term of the permit. Crown Point Energy Inc. is an international of goods and services already delivered or per-
Outlook: The Company’s capital spending for oil and gas exploration and development com- formed, in addition to increasing competitive-
the last quarter of 2020 is budgeted at $500,000 pany headquartered in Calgary, Canada, incor- ness in company procurement.
for improvements to facilities in TDF and one porated in Canada, trading on the TSX Venture The new solution will increase companies’
well workover on the La Angostura concession. Exchange and operating in South America. access to working capital operations at more
The Company’s capital spending for fiscal 2021 Crown Point’s exploration and development competitive rates with partner banks, using
is budgeted at $1.5mn in TDF based on expendi- activities are focused in two of the largest pro- Petrobras’ payment risk (drawee risk). Around
tures for ongoing improvements to facilities in ducing basins in Argentina, the Austral basin in 10,000 companies that integrate the supplier
TDF. Investment in TDF has been significantly the province of Tierra del Fuego and the Neu- base will be able to join the programme.
reduced and investment in CLL has been post- quén basin, in the province of Mendoza. Crown Petrobras CFO Andrea Marques de Almeida
poned due to a sharp decline in capital invest- Point has a strategy that focuses on establishing says that “More Value” opens a market space that
ment in Argentina as a consequence of the a portfolio of producing properties, plus produc- brings together suppliers and the financial sector
impact of the COVID-19 virus on both Argen- tion enhancement and exploration opportuni- in the same tool.
tina and the global economy. ties to provide a basis for future growth. “We evaluate that the program will have a
COVID-19 and economic summary: In Crown Point Energy, November 25 2020 positive impact on the cash flow of suppliers that,
response to COVID-19, the federal government like the company, are going through the crisis.
has closed the country’s borders to non-resi- We will follow the adhesion, but the volume of
dents. The mandatory country-wide quarantine FINANCE transactions has potential to reach BRL3bn per
period was suspended on November 2, 2020, month,” he estimates.
with certain restrictions remaining in place. NG Energy announces The CFO has also declared that the new pro-
During this time, economic activity has slowed gramme is part of a financial solutions agenda
substantially and inflation rates remain high. grant of options that has the purpose of bringing robustness to
COVID-19 continues to have the potential to the supply chain and the construction of pro-
further disrupt the Company’s operations, pro- NG Energy International announces that it has ductive relationships so that the company can
jects and financial condition through, among granted an aggregate of 3.9mn stock options implement its projects in a more agile and eco-
other things, the disruption of the local or global under the company’s stock option plan to direc- nomic way. “We are also holding conversations
supply chain and transportation services, or tors, officers, employees, consultants of the with financial institutions to evaluate solutions
the loss of manpower resulting from quaran- Company and charities with an exercise price in which these agents can directly provide the
tines that affect the Company’s labour pools in of CAD1.00 per stock option, exercisable for a most capital-intensive segments, such as the
local communities or operating sites which may period of 10 years from the date of grant. construction of platforms and subsea systems,”
require the Company to temporarily reduce or All of the above is subject to approval of the he said.
shut down its operations depending on their TSX Venture Exchange. Petrobras, November 24 2020

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