the oip debacle is embarrassing!!, page-5

nervous

Through listing OIP, ESG was able to raise capital to meet drilling committments (mostly conventional) and hence hold onto the leases, that it would have struggled to justify at the time with its own limited funds. in terms of the share price decline from 20 cents at listing ... well all the conventional wells were dusters essentially so end of story.

My beef has been that they have put off for years drilling the most prospective parts of the leases (Edgeroi extension and other Bohena targets) which would have supported the share price. makes you think OIP was just a holding company for the leases until such time as ESG wanted them back .. and as cheaply as possible. Helps to explains why Morton just has 1.5m OIP that he was granted and no more .. but heaps of ESG (26m).

H