Ann: Byron Corporate Update, page-198

I've got them at $6.5-7m at end of Q, noting that they receive a month's revenue just after the end of month...so will have a cash balance of circa $10m mid-October.

Drill cost was $5.6m dry hole, plus $2-2.5m extra for the logging tools. Call it $8m. They'll pay extra to complete the well, plus a bit more for standby rates due to the weather. I can't see it being much more than $10m total.

In effect they should have a cash balance to pay the lot in mid-October.

Factor in at least 90 day payment terms (that's a whole quarter) as a buffer and I'm not seeing the issue here.

As you've noted - if they can get a 1,000 bopd flow then they can draw circa $6m extra debt...which would be roughly a quarter of revenue at that production rate. They'd be mad not to do that if they can prove a stable flow.