drilling for cash

Funds are generally raised for a specific purpose, although in the case of junior resource stocks its usually just to stay afloat. In the case of Clean Global Energy, one of the specifically stated purposes is to fund an exploration and drilling campaign in the Surat and Bowen Basin. The initial reaction was BUT aren't there more important projects e.g. corporate expansion in India, China or the US.

A quick comparison with Linc Energy may provide a ready answer to the apparent mis-application of funds. Linc sold its substantial coal properties for a fortune to provide funding for its expansion plans. CGV may see the opportunity to define a substantial JORC resource on its Surat and Bowen coal tenements in order, like Linc, to underpin future global expansion.

Defining a resource for the purpose of developing UCG in Queensland is worth a chuckle. Since no ones laughing and the rights offer is fully underwritten, I assume that investors must have caught hold of the bigger picture.