I'm only speculating here, but if I was management my thoughts would be:
1. Oil is down and many other companies are writing down assets. 2. Our SP is already quite low so the write down is probably not going to have a huge impact on the market at this point. 3. Unlikely to get a buyer in the market at this point. 3. If we write down the assets now we have a tax loss to utilize in future years, and with no buyers no real negative impact. 4. Medium - long term, when prices rebound we have the benefit of the tax loss offset, plus the gain in value of the assets. This becomes attractive to buyers at some point.
ATS Price at posting:
2.6¢ Sentiment: Buy Disclosure: Held
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