You make an interesting point - right now a couple of mining...

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30/12/15

23:14

Post #: 16705473
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Originally posted by Birds ↑

We keep saying that price of oil needs to go up before the big boys will even look at our acreage, but wouldn't this be short sighted of them to wait for? Oil companies know just as we do that POO will rebound and as a finite resource, rebound heavily the more it is suppressed. I really don't think the current slump in POO will stop the big boys lining up for our acreage if it turns out to be a significant find. I know it has to be profitable with cost/benefit calculations, but they will surely be forecasting how and when in top management. It would be foolish to ignore a significant discovery and not submit a small bid for one of the largest remaining reserves of crude oil in the world, knowing that one day it will be worth many times more than they paid for it. They are oil companies - this is their business, it's what they do - drill for oil and store/sell it. Just like we see value in 88E one day being worth many times what we pay for it, I don't believe on significant discovery that there wouldn't be a company who would see the value in throwing an offer 88Es way (behind closed doors? would we even hear of these unless they were accepted?) for our acreage. It's a gamble but these guys businesses are built on that. I would get in at a low cost buy out, while the POO is low / undervalued, before the others beat me to it later on.

As for renewable energy, IMO that is a long way away. Look how slow the uptake of the hybrid car is let alone stamping out crude oil dependency. We will be close to depleting the remaining fossil fuels on earth before we are prepared to pay more to save the planet / out of necessity. The technology is getting better and cheaper, but it's still a long way off and even if it isn't...yhere are too many powers that be involved in the oil industry. These are some of the wealthiest companies in the world - they aren't going down without a crude fight before old mate renewable energy takes over. God bless America and their congressmen hahaha.

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You make an interesting point - right now a couple of mining companies in Australia are running around buying up anything and everything that even vaguely resembles a mine because they know that they are buying them at the bottom of the cycle so are buying them cheap ready for the price upswing when it comes. Some oil companies might make the same move soon.

88E Price at posting: 0.9¢ Sentiment: Buy Disclosure: Held
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