cottee, what's going on with the sp ??, page-8

At the end of an earlier post I said,

'The SP seems much further south at the moment than it should be, given Kitty wasn't a completely dead cat. Almost makes you wonder if you're missing some critical piece of information...', after pointing out that the timeliness of CTP's media releases leaves a lot to be desired (but they did mention the Dingo PL eventually, right, and the ASX only thought it was a little bit price sensitive, hardly worth mentioning).

The share price drop with a positive announcement like this and Mt Kitty still pending full assessment really does make me concerned that there is something else going on, as the rest of you guys in the thread suggest.

Whenever I hear anyone mention a capital raising, the first thing I do is ignore it. Because as a holder I don't want to hear it usually. This has been a painful experience in the past with CTP, among others. With the share price drop I'm thinking more about it as I'm concerned that the cause others might know before we do and I'm trying to learn from my mistakes. (Yes I am also worried about no further flow reports from Surprise but I think management really would get toasted by angry shareholders if they didn't mention a significantly lower production rate).

From what I can see from the March quarter statement our cash on hand should cover the drilling of Surprise East and admin costs, beyond that we have a quite a few quarters of admin costs covered assuming no input from Santos/Total/Surprise West (a very pessimistic assumption) and roughly the same cash burn rate as recent quarters.

To me therefore it wouldn't make sense for CTP to raise cash now, given they still have a reasonable prospect in Surprise East and some time up their sleeve to see what Santos/Total come up with. There are our funding commitments to our farm out drills, but it seems premature to raise now. There is always the argument that you should raise cash before, not after, drilling results (which would be a much stronger argument if the SP hadn't just dropped 30%!) I feel like I may have talked myself out of a CR though, I would be interested to hear others thoughts and contrary opinions.