i'm sorry if that sounded a bit rough, i re-read what i wrote and it was probably uncalled for :)
what do you mean dragon could spend 200m here? on the 1 well?
full development would be around 600m (say 8 wells at 40m each) + platform, and off the shelf packages processing on land.
so cost JKA 90 million they could/would raise some on AIM listing and borrow the rest. (getting this money is easy when the returns would be $50m a year)
but the aim of the game is to get into production so you can pay for exploration without dilution. if you keep selling assets to pay for exploration 99% of the time you will fail because roughly only 1 in 5 wildcat wells is a success.
to me the well looks good, i would be surprised if it didn't flow enough. so we could have 2 potential income streams in the next few years. will dragon try and buy JKA out? i don't know. i hope not though.
GLTA
JKA Price at posting:
10.7¢ Sentiment: LT Buy Disclosure: Held
