Ann: Pipeline Seabed Geophysical Survey Contract Award, page-64

Hi @Knightrider63

agree if the required debt was $15m that would be very acheivable. On my numbers HHR need debt funding between $100-150m though which is harder to acheive.

On the flipside a further divestment could have HHR free carried through Phase 1 and the farmout would be very attractive to existing producers as it would reduce their EPL liability.

I do think that HHR has the potential to be a multi-bagger from the current 2.3c I just can't get near 22c unless gas prices are running hot.

I would also be interested in @sergeant view as I know he is running an updated DCF. @sergeant how much debt does your DCF run to? I got to $130m, less whatever cash HHR are tipping in.

I am not negative on HHR. I like the project, I like the company, I think it is undervalued. I just think that the true fundamental value is not 2.3 or 22.

As I said in the previous post I am running down one option only. I realise that there are other options that HHR might take. IMO a further divestment would just be the path of least resistance.