look at it go, page-35

re: md's statement tomorrow jocam9...

I have never objected to an alternative view on NDO, or any other stock for that matter...and thank you for yours!

My objections are only directed towards individuals who post on stocks, good or bad, specifically in order to help their current position!

As for NDO...

It's no secret that I have long been a fan, in spite perhaps of previous management and the lack of permit activity...but must admit, was tested when UNOCAL initially pulled out of Galoc.

I guess I was initially attracted to the nature of their Philippine assets and sense that the instability in the middle east and world energy demands in general, would eventually see Galoc developed...but of course, it was always just speculation in the early stages!

The real crunch came for me however, when the Philippine DOE announced the new PCR round and future "facilitation" of any development applications...which I think you will find, is one of the reasons why NDO should have little trouble getting Galoc signed-off!

Since my initial interest in NDO, when oil was only about AUD$40 a barrel, my outlook for NDO has improved considerably...

We now have a new management team at the helm, an AUD$70 per barrel oil price, the green light on Galoc, an obvious growth strategy for the North Sea and hopefully upcoming activity on their permits...all of which, to be honest, is much more than I was hoping for at this stage!

On the downside however, I agree with most of what you have said and hold similar concerns.

Obviously, until the new JV partners confirm they have the appropriate finance in place, there will be lingering doubts, which may hold back the share price somewhat...but on the flip side, it introduces yet another announcement that could have a stimulating effect on things!


As I see it, Nido/Matinloc needs to become productive asap, and they need to get at the Nido1-X1 structure as soon as possible...which is why I think this particular JV announcement, when it finally comes, could have an even bigger impact on the company's short term future!

When you consider the time required to turn these marginal fields around, there has to be an obvious question mark regarding existing cash...so as I see it, the quicker the work-overs and additional drilling gets underway, the better!

Management's salary arrangements show they obviously recognise this and will be doing everything possible to make it last.

The bottom line, as I see it, is that they need enough cash to keep them going, at least until their options get exercised...so as an absolute worst case scenario, even if they do have to go down the capital/debt raising path, it should be limited to around $500K.

At today's closing price of 4c, that is only about 12.5m shares...or about half of today’s volume!

I am not trying to discount their obvious tight cash position, but really, I don't see it as a major issue.

Cheers!