MXP issued full accounts today and they make for very detailed reading. Many questions that shareholders have been scratching their heads over with regards to the cash burn and production issues are answered.
It’s a little shocking that the corporate governance at MXP deems some of the information revealed as not market sensitive. For instance, the new Kaza gov rules on exports have heavily effected the production numbers/revenue and continue to do so. Today is the first time that shareholders have been informed ‘in detail’ over the restrictions in place. There’s a bundle more ‘sensitive’ items that have been disclosed that really should have been RNS’s long ago.
In summary – it’s a wonder that any international business operates in Kazakhstan as the red tape and protracted nature of exploration and production seems utterly presposterous.
One thing is clear from today’s announcement/comments. Never have the shallow drills been so important to MXP than now. They have 4 drills coming up (one currently underway) and they need at least 2 successes.
A further 3 drills could follow but are subject to finance.
Full results RNS can be found here