Well thats got two issues out of the road , the carbonates are not deemed commercial which is certainly not a supprise but would have been a nice bonus...a large CR of $80 mil at a small discount fully underwritten in a tough market tells us everything we need to know about the quality of our assets..
The size of the raising and the small discount was the main supprise for me, once instos and sophs are involved there was always going to be a discount...so a fairly substancial dilution but IMO more than matched by a substancial increase in resources and the long term value that adds, we are now well cashed up and still no debt, which is all you can expect and what is needed at this early stage from a Company with no income and 3-4 years away from expecting any...
This should be enough cash to see us through to FID with several more wells on the way to it, then we have to start looking at reserve based funding...as a long term holder I'm a very happy camper, SNE is an exceptional oil field...
Cheers Whisky
(20min delay)