I only started looking at this stock and the UCG technology a few weeks ago. As far as gas stocks are concerned, I have been mainly investing in Coal Seam Gas (CSM) companies which have done very well in the last couple of years particularly.
From what I can see, UCG has as much, if not more potential than CSM in the long term.
So, I have started to focus my attention on UCG and made my first investment in CXY and CXYO a few weeks ago. It is certainly paying off at the moment.
What I am now interested to find out is timeframes and capital requirements to get UCG projects up and running. If anyone has any information and could post it that would be great.
CXY's cash position is not great at the moment but I guess the market is expecting that if they can prove up the potential for their project at Kingaroo, there should be no problem raising funds (especially given the amount of cash available at the moment).
I see investing in this company at this stage as mainly an investment in Dr. Walker and his association with Ergo Exergy - the world's leading body of knowledge re UCG technology. I found it interesting that they gave Linc energy the flick about the time when Dr. Walker left Linc and went his own way with Cougar. Also very good to see that they continued their association with him at Cougar.
This company certainly appears to have some very strong potential and I think the next 6 months will prove whether they have the business skills to realise this potential.
It all looks promising to me, especially with the recent appointment of Dr. Dalling.
CXY Price at posting:
0.0¢ Sentiment: Buy Disclosure: Held
