I don't want to get into a game of ping pong with you ssailor, but if you think that ssn's problems relate solely to the price of oil then you are delusional.
The company was already in dire straights long before the poo went into a dive. Remember the sp went into freefall from 24 cents to 3 cents before the poo fell and since then it has plummeted further to .006 cents. Bloody long yo yo string if you ask me.
Ssn's problems can be traced back to the huge amounts of cash it invested in the Roosevelt project with little or no return. Prior to drilling Gretel, SOA, AusII and others the company had $70 million cash in the bank. Now it has a bank debt of approx. $15 million which it appears to have some difficulty in servicing. Sure, a lift in the poo will help service the debt, but that's about all.
The company has numerous wells producing, but it appears that most of the revenue raised goes to towards debt servicing, admin costs and exorbitant directors salaries.
Where do you think the cash is going to come from to further develop the company's tenements and grow shareholder's wealth?
SSN Price at posting:
0.6¢ Sentiment: None Disclosure: Held
