Century Petroleum Corp (CYPE)

[Tengri]

Latest DD package on CYPE…

Updated with data ($180/ton) from today's press
https://www.pressreader.com/nigeria/thisday/20180602/282020442978379

Short term FMV estimate = 1 x revenue potential of operating plants = $270M from Rivers Plant + $400M from Enugu Plant = $270M-$670M market cap = $420M / 271M OS = $1-2.4 per share = 5x-12x up from $0.2 today

Sources of this guesstimate...

Founded in 2001, Ibeto Cement Company Limited is a leading player in the fast-growing cement industry in Nigeria. It has a majority control of the market in the Southeast region of Nigeria. It was founded as a division of the Ibeto Group, which is worth $5 billion.
http://venturesafrica.com/innoson-ibeto-and-the-rising-men-from-nigerias-east/amp/

OPERATION

In 2005, Ibeto started producing cement in Rivers State. The production capacity of 1,500,000 tons per annum, i.e a production capacity of 4,000+ metric tons per day
http://ibeto.com/IBETO-page.asp?P=24

1.5M tons x $180 per ton = $270M revenue potential from Rivers Plant

In 2015, it signed a contract with a Chinese firm, Sinoma International Engineering, to build a $386 million cement plant in Enugu State, with capacity of 2.2 million metric tons per year.
http://www.financialnigeria.com/ibeto-cement-in-390-million-deal-with-chinese-firm-news-142.html

2.2M tons x $180 per ton = $396M revenue potential from Enugu Plant

At present, Ibeto is developing two cement plants in Nigeria – one in Ebonyi State and one in Abia State. Each of the plant is a 6,000 tons per day plant and sitting on an abundant reserve of quality limestones.
https://globenewswire.com/news-release/2018/05/25/1512283/0/en/Century-Petroleum-Announces-The-Proposed-Reverse-Merger-With-A-Nigerian-Businessman.html

4.4M tons x $180 per ton = $792M potential from Ebonyi and Abia plants

FINANCING

Ibeto plans public listing with $850M investment deal with Milost. Ibeto has started the process of going public a reverse merger in the United States as efforts to become a publicly traded company. The Nigerian Billionaire Cletus Ibeto will personally consummate the acquisition of the publicly traded company to reverse the assets of his cement business
https://www.businesspost.ng/2018/05/24/ibeto-cement-plans-public-listing-with-850m-investment-deal-with-milost/

The public listing will allow Ibeto to raise enough capital to grow beyond west Africa through the acquisition of other profitable cement businesses outside Nigeria in next 12 months.
https://globenewswire.com/news-release/2018/05/24/1511317/0/en/Nigerian-Billionaire-Cletus-Ibeto-Closes-Financing-With-a-New-York-based-PE-Firm.html

SHARE STRUCTURE

483,000,000 AS
71,857,024 OS

45,103,024 OS restricted
26,754,000 OS unrestricted => FLOAT

Ibeto received a control block of:
200,000,000 shares restricted

200,000,000 CONTROL BLOCK + 71,857,024 OS

= 271,857,024 TOTAL OS

Source: Joe Arcaro