I don't believe they really need the cash at the moment, so my guess is a fairly undiscounted issue if they do raise additional funds. Around mid 2012 they will need further financing but hopefully the drilling campaign will bring the SP up.
I still believe they may raise a small amount of cash on AIM listing but they do not need to raise funding to add a listing especially being as the last listing had strong European backing.
I'm not sure why it is being sold down but what i do know is at this point in time, this share price is a steal and I bought more shares today.
With regard to Ghana, they seem to operate VERY slowly, they also have Taps additional 5% to approve yet. I still think that all partners will farm around 45% of the whole block interest out to a 3rd party, which I think will be ENI for a well carry so there is no requirement for any immediate funding in Ghana, with CI-202 the only block requiring any funding.
I don't think RIA will look to farm out CI-202 just yet.
In terms of left field announcements, it appears that Tullow will be handing back CI-102 which could mean that RIA may be able to take their interest, depending on whether the interest is put out for tender or just given back to the other JV partners pro rated, hopefully it can be tendered and RIA could get a further interest in Cote d'Ivoire. I also understand that there is an imminent licencing round in Nigeria though this will mean that RIA will need to partner with an indigenous firm but is a possibility.
RIA Price at posting:
24.0¢ Sentiment: Buy Disclosure: Held
