" I believe that they are largely responsible for the position...

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24/07/15

17:45

Post #: 15690764
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Originally posted by dougfr ↑

Good job Rob - sorry if I caused you some stress.

The chart just reinforces my complete perplexity with this stock. Production has significantly increased over the past 2-3 years but the sp continues to freefall. They are going in completely opposite directions. Even allowing for the drop in the poo, increased debt and dilution due to cap raisings, it appears that the company will continually struggle to impress the market no matter how many more wells come into production.

The sp peak came on top of TB playing real estate broker and selling off a large chunk of land resulting in $70 million being deposited into the Bank. Add this to the hype over Rodney, Earl and Gary and the company became the darling of the market. How things have quickly changed - it is now a market pariah.

It is my view that it is incumbent upon the Board to instigate a strategy that will turn the company around. I believe that they are largely responsible for the position the company is in by embarking on a an ambitious drilling program in untested areas which resulted in numerous uneconomic wells, rather than first shoring up its position in North Stockyard. It appears that the $70 million was burning a hole in its pocket and they decided to go and play Roulette. Remember too that a significant chunk of that cash found its way into the directors own pockets by way of bonus payments.

Maybe it is time for another TB real estate deal.

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" I believe that they are largely responsible for the position the company is in by embarking on a an ambitious drilling program in untested areas which resulted in numerous uneconomic wells, rather than first shoring up its position in North Stockyard. It appears that the $70 million was burning a hole in its pocket and they decided to go and play Roulette"

And what "if" the ambitious drilling program of Roulette finally pays off with commercial qauntities of oil, with Bluff and SOA2 (20 000 acres - 18 prospects).....Which we all supported it at the time.....

The jury is still out, imo

SSN Price at posting: 0.5¢ Sentiment: Hold Disclosure: Held
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0 Great analysis

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