It must be a matter of perspective. Because i saw some progress.
The EOR opportunity was an inspired investment. Especially in Wyoming. Rancher spent $100m on this and had to sell for $20m due to the GFC. Great buy by bond. 100m barrels in the ground at a production cost of $30 per barrel now and $20 when they are up and running with the GTL plant. The economics of this investment surpass the economics of CTL. For half the investment they will make twice the revenue. They key long term to EOR is access to CO2. Its just not available. Natuaral resources are diminishing and anthropogenic sources are slow coming on.
I could never work out the sense of the buy back. And see that as a negative. And they do have too many things going on at once agree.
Wyoming timing was always going to be 3 years before construction started. I think i posted on this before. Each site is unique and they need to get operating data to design the plant.
Spending money in Akaringa is a waste of valuable resources. Similarly I think Alaska is a long bow for a minnow like Linc. I think they are doing a lot to create value and not much value destruction. They do however need to either increase revenues quickly or raise further capital. I imagine the drawdowns on the credit line were always going to be front ended in order to bring forward the revenues.
LNC Price at posting:
$1.29 Sentiment: LT Buy Disclosure: Not Held
