Hedging erodes margin significantly, especially if they hedge on...

Hedging erodes margin significantly, especially if they hedge on oil and usd. Banks charge big for this. Although a 30 % hedge for 6 months during ramp up at manora clearly would have made sense.

Debt level not a surprise, the headroom was though for me. Means cash flow in mid term is tight unless they refinance, oil goes up or Northern buy them out.

Doubt cap raise, better to reduce capital expenditure and wait out the current low oil price which they can do. Even if they did a CR, what would the money be for? No sense in spending on exploration currently.