Cautiously optimistic, page-88

I've been somewhat sadistically amused at all the headless chickens today...for me, I'll wait until the dust settles and purchase more - the oil is there, the oil price and logical reasoning is not.

I remember watching Hardman all the way up and at times - just like now for FAR - there was confusion, misinformation, disbelief, tall poppy syndrome and a lack of logical reasoning. Maybe FAR will need to move to another bourse where it will be more appreciated? Tik tok, tick tok...how history rhymes!

http://www.theage.com.au/news/business/hardman-accepts-147bn-irish-bid/2006/09/25/1159036472877.html

Hardman managing director Simon Potter said the board recommended the Tullow offer in the absence of a higher bid because it represented both "an attractive premium to our recent share price, (and) captures potentially several years of the risked upside in our portfolio".

Shareholders also had the opportunity to retain their exposure to Hardman's assets in Africa and South America. But he conceded that the bid reflected the "short-term" approach taken by Australian institutions and companies compared with their overseas peers, especially to companies active in high-risk, less-developed nations such as Mauritania, Uganda or Guyane.

"I would say that Australian (investment) houses are much more influenced by short-term cash-flow issues," he said.

"The UK analysts would look at the full life cycle of the assets rather than the short-termist approach of looking at near-term cash flow, which is volatile and exposed to risk."

Mr Potter said although production from the $US750 million ($A997 million) Chinguetti project was half the planned rate, the barrels remained in the ground and most reserves would ultimately be recovered.