re: Could this be the next big play? (RECAF)

I am not a M&A finance expert but while it has some shady it also seems like a show of strength.

I think the regret is going to continue to sting on this one.

I would still add if I were you. The second well sounds promising especially after the confidence they have in the findings from their first well.

This is still a speculative play but imo it's becoming a stronger and more confident play for me.

There is a hit piece out by Nat Geo right now allegedly by short sellers talking about how environmentally unfriendly they are, and how theyve skirted the rules and necessary permits and stuff....Recafs response was epic:


The National Geographic article published on May 21, 2021 describes a complaint to the SEC purported to have been filed on May 5, 2021. ReconAfrica has no knowledge of such a complaint and a request made to National Geographic for a copy was met with no response.

First, it is important to know that anyone can file a complaint with the SEC. There are no standards or requirements for accuracy or truth for these filings, and they should be understood as such—unproven allegations. 

The following points are in direct response to allegations raised within the National Geographic article.

ReconAfrica undertook every aspect of its financings transparently and legally, in compliance with applicable securities laws.All sales and purchases of shares by officers and directors of ReconAfrica are publicly disclosed and are in full compliance with filing and disclosure policies of the securities regulators. Directors and officers of ReconAfrica are net purchasers of over 244,000 common shares and 1,370,000 common shares in the past month and year respectively. Directors and officers are also purchasers in the most recently announced financing.On April 15, 2021, ReconAfrica announced that geological analysis and extraction of oil from well 6-2 samples with subsequent fingerprinting for key characteristics of the liquids, provide clear evidence of an active conventional petroleum system with multiple source rock and reservoir intervals in this area of the Kavango Basin. This fact has been verified by internationally recognized and independent third parties recognized as leaders in this area. ReconAfrica continues its planned seismic and multi-well drilling programs to confirm commercial quantities of oil and gas, as disclosed in the press release.ReconAfrica's licence is for conventional early-stage exploration within the Kavango Basin. As previously noted, no licence to carry out fracing activity exists nor has been applied for.Current operations are more than 50km south of the Okavango River and 260km west of the Okavango Delta.Craig Steinke, the founder of ReconAfrica (Namibia), has been personally and unjustifiably attacked within the National Geographic article. The transaction between Renaissance Oil and ReconAfrica involving the Botswana licence was accepted by the TSX Venture exchange and supported by an independently prepared evidence of value.


LINK


Another reason I really like this company is their president, Craig Steinke just gave an interview and they talk about pretty much everything you'd need to know about their current situation (the drilling of the 2nd well to the alleged short attack) and its definitely boosted my confidence.

I highly recommend reading the whole thing but here are a couple highlights:


"With the first well, as conveyed in the news release, we drilled into some sedimentary rocks and then deeper down we drilled into carbonates. Both looked very opportune because we saw high BTU gas and light oil in the sedimentary rock and then the same in the carbonates. And it comprised 660 feet or 200 meters of light oil and high BTU gas."

"One of the glaring problems in the region is the local population don’t have the wherewithal to drill water wells but there is a fresh water aquifer right under their feet. They have to walk up to 10 km per day with 45 lbs of water on their heads. RECO recognized this problem before Christmas. As soon as we landed the rig, in conjunction with the local water authorities, we started drilling water wells for the local community.  We now have four community water wells operational and are permitting six new wells. RECO is already employing approximately 300 people in Namibia and over half of that in the Kavango region where they need the jobs the most."

LINK /

This should make things interesting. Possible buying opportunities in the future.

440' of pay in just the first section. The 1st well had about 600' in total. Sweet spot indeed, so far it seems to be so as anticipated.

Update shows they have some type of joint venture with Namcor or something like that

TDA or ETrade for sure

Off and running again today. This thing seems to be doing everything right.

Congrats to the folks who got in back in the 3s or lower.