Developing PNG assets, page-54

First 54 Last

Share
Profile

Follow
ronstieb

8,914 Posts.

541

03/07/15

11:26

Post #: 15575593
Share

Originally posted by Fairclough ↑

When I was a first year at university, all undergraduates in commerce no matter theirvdegree focus you had to do accounting. Learn how to read a balance sheet, basic accounting, spot a under valued share etc
etc. At the time I did not appreciate at it, I thought it was pointless when I was majority in business law and management. Fast forward awhile and a few of it stuck, I'm glad I learnt it. Leo, the lecturer had one major saying. Not all debt is bad debt. Debt can be great.

A company is not like household debt
debt. Your home doesn't necessarily produce income, your new TV on your 20%interest credit card doesn't produce income.

A company does. Similar to your shares, you turbo charge it by borrowing to allow rapid expansion to bring more income in as long as it can down play that debt. Each industry has an optimal amount. Similar to mining, oil and gas gearing is quiet high. To be competitive you need gearing, you cannot expect horizon to expand without debt. No debt means it stays still and becomes less competitive.

Right now is almost the lowest credit limit in history. Lowest. In this conditions it's the time to bring on debt to expand so when the market recovers you steam a head
head. This is how Santos chews through the field when oil is above $70 a barrel. They spend more on oil field research. They're pumping costs are similar, but larger exploration costs
costs. So when the economy is pumping they can expand rapidly without buying fields at a premium. It's why all analysis say above $70 Santos explodes away from Woodside and oil search in profit margins
margins.

You have to invest when debt is cheap! Lay the tracks before the oil rally begins, otherwise the train isn't coming to your stop.

Horizon is building the png express.

Expand

Makes sense Fairclough

Equally understandable that punters will put their money to work elsewhere until things start moving again for HZN.

HZN Price at posting: 9.0¢ Sentiment: Hold Disclosure: Held
2 Upvote

0 Great analysis

Reply

Top Stories

ARN

Aldoro shares jump 47% on news of strong niobium recoveries from Namibia play

RCE

Recce scores US$2M deal from US Department of Defense for burn wound infections gel

Shekel Brainweigh and Calmer Co lead innovations in the retail space

Week 28 Wrap: ASX hits all time high; CBA shares' two realities; US inflation hits 3% ahead of China plenum

I88

Infini soars 50% as company reveals it could’ve just made uranium history – redefining what it means to be “high grade”

There are more pages in this discussion • 17 more messages in this thread...

First 54 Last

Add HZN (ASX) to my watchlist

(20min delay)
Last 19.5¢		Change 0.000(0.00%)		Mkt cap ! $316.4M

Open	High	Low	Value	Volume
20.0¢	20.5¢	19.5¢	$155.0K	773.0K

Buyers (Bids)

No.	Vol.	Price($)
11	1497307	19.5¢

Sellers (Offers)

Price($)	Vol.	No.
20.0¢	24457	1

View Market Depth

No.	Vol.	Price($)
11	1497307	0.195
15	1680921	0.190
13	960559	0.185
18	882163	0.180
31	1948885	0.175

Price($)	Vol.	No.
0.200	24457	1
0.205	786368	12
0.210	1540162	11
0.215	264000	3
0.220	320000	3

Last trade - 16.10pm 15/07/2024 (20 minute delay)

HZN (ASX) Chart

Developing PNG assets, page-54

Aldoro shares jump 47% on news of strong niobium recoveries from Namibia play

Recce scores US$2M deal from US Department of Defense for burn wound infections gel

Shekel Brainweigh and Calmer Co lead innovations in the retail space

Week 28 Wrap: ASX hits all time high; CBA shares' two realities; US inflation hits 3% ahead of China plenum

Infini soars 50% as company reveals it could’ve just made uranium history – redefining what it means to be “high grade”

Featured News

Buyers (Bids)

Sellers (Offers)

Featured News

Developing PNG assets, page-54

Top Stories

Aldoro shares jump 47% on news of strong niobium recoveries from Namibia play

Recce scores US$2M deal from US Department of Defense for burn wound infections gel

Shekel Brainweigh and Calmer Co lead innovations in the retail space

Week 28 Wrap: ASX hits all time high; CBA shares' two realities; US inflation hits 3% ahead of China plenum

Infini soars 50% as company reveals it could’ve just made uranium history – redefining what it means to be “high grade”

Featured News

Buyers (Bids)

Sellers (Offers)

Featured News