huge capaital raising on the cards, page-13

Jake, do you really think that ICN has to budget for the construction of a LNG plant and all the pipelines to get the gas there? I would have thought that the only "plants" that they would need to construct would be from the well to the existing pipes and then do deals with the big boys such as Origin and Santos or, dare we say, BPT-if they decide to go to SA instead.

ICN hasn't got a hope in hell of constructing their own LNG plant and why should they even contemplate doing that? And there are massive pipeline systems already in place which will take any gas that ICN can find, in any direction.

And when will we need this "huge capital raising being "on the cards"? It is going to take them months to drill Lydia and to get results, then the rest of 626 and then a few in 855 (well into July for 855) before they even have to consider any capital expenditure. I can't see any justification, or necessity, for a CR this year and with the SP around 22.5, couldn't imagine that the company would be even contemplating one.

This is not going to be a CR type project, IT IS MASSIVE for a lttle company like Icon and their absolute NUMBER 1 aim would be to get input from the majors and/or the Chinese.

What would the point be of doing a proportional CR from shareholders? We have a most enviable Issued capital number of just 438 million, compare that with the BILLIONS that some of the other "minnows' have on issue putting them behind the 8 ball for fund raising. But, RJ HATES diluting issued capital and consequently HIS equity which is already down to 4.76%.
A 1:8 issue would create another 55 million shares and @ .20 cents, "could" raise $11 million!! And how many of those would be taken up??? Not many I would think in this market. That is chicken feed in the context of the overall outcome that we are hoping for. It would give them some "drilling money" at best and they shouldn't need that until late this year, or next year, at the earliest.

Keep in mind also that if BPT win with 855, BPT would need to spend $8.5 in drilling costs there and give us $3.5 million, and that is the WORST case scenario.

So, I am forgetting all about shareholders having to dip anything in yet and counting on the company getting some VERY SERIOUS contributors and putting some real muscle into the company and the SP. With the GSA and the Stanwell CONTRACTS, the company should be able to attract some very serious money.

SURELY the most over rated advice given in HC is DYOR????? How many questions are being asked in this forum alone that are clearly spelt out in company releases.

You only have to open the cover of the 2010 AR, page iii, to get the full story on Stanwell and Lydia and then there are EIGHT pages from 8-15 inclusive ALL about ATP6262P. EIGHT PAGES!!

So, if anyone IS SERIOUS about this company, surely the least you can do under that much abused piece of advice, DYOR, is to at least read the last AR and subsequent QR's???