will the permain basin deal go ahead?, page-2

Four more reasons/clues as to why Permian Basin deal will not go ahead ...

5. "The Letter Agreement is conditional upon:
?h obtaining all necessary regulatory and Shareholder approvals (as required under the
ASX Listing Rules and the Corporations Act 2001); and
?h release by Arturus of a 3% royalty over-ride burden over the leases prior to settlement
to ensure the Company receives 75% of the net revenue interest in the leases.
The Letter Agreement may be terminated if the conditions are not satisfied or waived within 4
months of execution. In the event of termination, the refundable deposit will be repaid to the
Company."

... in my many years of trading/investing I have never heard of a company raising funds for a deal which has not even been done yet! Usually the deals are only subject to financing and/or shareholder approval. If it was a case of simply paying AKW more $$ for the acquisition then I am sure they would have simply just done this by now ... I think there is more to it than that though ...

6. Continual 'caveats' in the Prospectus and announcements viz:"If for any reason the acquisition of the Permian Basin Leases from Arturus Capital Ltd does not complete, the Company will apply the funds set aside for that acquisition (being $2,314,083) towards identification, analysis and completion of alternative investments by the Company, and towards working capital requirements." It's the best fall-back position I have ever seen.

7. Lack of marketing. The figures and prospects ("99% success rate") of this Lease are tremendous ... so why not take advantage of such a supposedly fantastic acquisition and market it heavily to insto's and via investor presentations ... as has been done with previous acquisitions ... is it because there is still significant doubt that the deal shall not go ahead?

8. Lack of institutional support. Since the notice of acquisition was provided, the SP, if anything, has fallen ... it seems therefore the insto's/small cap funds have no interest in this play ... perhaps because, once again, they are aware that it is quite far from being a 'done deal' or there is far too much uncertaintly with the deal actually proceeding ahead(??).