Correct & there are, & approx 450m of those were purchased above 6c which means a 9.5c head price from the base when considering the conversion factor.. How many are left at prices above who knows?
The issue being that since the high of 17c (20.5c conversion) when near 20 million went through the gate the traffic has been only 1 way..
Add to that the amount outstanding, plus the conversion price req to exercise before 10 or 12 Sep what ever the date is, v the current SP v heads value & you can see an immediate issue..
Some are still well under water... That pressure then pours in on the head price at every point of a rise due to cutting loss conversion pressure.. Seen it before with huge performance shares pending & it's playing out here again now with the oppies timeline.
For the company the plan remains the same, drill, flow if possible, permit and appraise..
If Zapato bursts out then who knows but gut says the pressure will dampen some of the enthusiasm at least until mid September & then the blindingly apparent market disconnect from intrinsic value will re-balance..
Tis a universal law, I'm afraid, none can escape cause & effect..
Personally with oil in the ground valuing the Co. at well North of 20c you'd be half inclined to borrow to cover? (nil advice given I might add, dyor) But people are funny darn cattle as Chad Morgan used to say... (nil advice given I might add, dyor, FFS)
Should be a great October long weekend however hehehe ;-) GLTAH 8tey
