Relative to stated expectations it is a failure, sure. Is it an economic failure using any independent financial measure? Probably not. G3 clearly not going as well as any of us would hope, but G5 alone should see this round of drilling classified as a genuine success.
100% my view. The company is taking a 'use all available equity to drill' approach at this stage, in order to build a large production base. At any point they can turn the development tap off and rake in the cash. There is risk to this approach, but management have shown that they have strong relationships with partners/suppliers that gives enhanced flexibility. However, raking in the cash is not the strategy...it is clearly to prove the acreage and technology and sell the farm. Having two successful platforms provides a very, very good base for this. Unless they want to raise equity, the share price is really an irrelevance for an existing holder that doesn't need to sell...the only number that matters is the end sale price.
BYE Price at posting:
14.0¢ Sentiment: Hold Disclosure: Held
