ASX:AJL’s chairman Andrew Purcell’s other company ASX:MAY is in need of two things: 1) a rig, 2) a full crew to service that rig. Currently they are using Sherritt’s rig/crew (however I don’t believe this is sustainable).
ASX:MAY’s new discovery will require decades of drilling if they are going to get the P50 prospective resources out of the ground.
Your CEO has a background in oil and gas. ASX:MAY is drilling for oil/gas.
As a shareholder of ASX:MAY nothing would make me happier to see a collaboration of ASX:AJL and ASX:MAY.
I understand ASX:AJL is probably already restricted to fixed contracts and probably can’t leave without a penalty, but… if it was worth it, I know I would be willing as a shareholder to start paying my share of the expenses for ASX:AJL to start drilling.
Problems with this new idea: 1) AJL is probably stuck in the UK/Australia on contracts. 2) The idea is based on moving a rig + crew to Cuba long term. 3) maybe AJL don’t own a suitable rig to drill to 3000+ metres MD? The rig would also need to drill horizontal wells (directional drilling).
Benefits: 1) friendly customer 2) less restrictions and hostilities to oil/gas/drilling 3) faster development (less red tape). 4) possibly a project that might be “long term”. $$$$
This idea probably has already been thought of, and I wouldn’t be surprised if the two companies were already in discussions.
Thoughts?
AJL Price at posting:
1.1¢ Sentiment: Buy Disclosure: Not Held
A personalised tool to help users track selected stocks. Delivering real-time notifications on price updates, announcements, and performance stats on each to help make informed investment decisions.
(20min delay)