General discussion thread, page-4629

Laura Reed wouldn't join the board of directors and chair of the audit and risk committee of Bass Oil if there was something obvious that we're all missing.

My theory is the business is cruising along and management have a few catalysts in mind to propel the business into the gas market and grow oil revenue. A bit like CUE Energy and their recent success.

Tino has stated many times his preference for this capital arrangement and mid tier producer status. This will take time of course.

I believe they can get there however not without some investment along the way. This is why I think a capital raise or joint venture after the Kiwi test or other catalyst wouldn't be a bad thing especially if we know who has invested as the type of investors will be a vote of confidence.

I would imagine they are probably in discussions and have been for a while with one or more parties in regards to funding their growth plans, question is who and under what terms.

Thoughts as to why the share price is 6c is possibly due to the dilutive risk around funding these growth plans and options yet to be exercised.
Currently shares on issue are 268,394,438
Options on issue and strike of 12c are 132,340,789

These options if all exercised at 12c represent a dilution of 49%.
Interestingly the share price is 6c or 50% of 12c.

If all the options are exercised at 12c and the share price is trading at 12c that gives a total share issue of 400,735,227 and a market capitalization of 48million or 3x what we are now.

The market may not be this efficient but I think it could be saying show us the potential of your assets before September 30 and we'll buy in allowing an option equity raise of $15.8mil of which would put Bass into a comfortable position to grow into a mid tier producer.

Given Tinos comments in regard to lots of news flow this quarter it would seem they have knowledge of things to help.

To be open I've been buying these lows.
Lets wait and see.