Another 23.7m shares traded today, all well above Gina's latest cash offer, even if she does pick up 40%, which I doubt. Do we assume MIN has been buying, or someone else with their eye on Strike down the track?
Still lots of questions with this saga, so I'm happy to hold while everything is still in play.
Strike also had reasonable volume of 21m shares with someone, that probably bought millions of shares in the 20's trying to push the SP down (Hello Gina)... But there's no manipulation of stock prices on the ASX .....cough BS, cough BS, cough....
If MIN buy up 1% extra they have to inform the market now they are above 5% holding, but they get 5 business days before they have to announce. I wouldn't be surprised if they have been buying all week, so we get a couple of these announcements from today. Will they put in a bid??
People are basing what's bid on known reserves, but IMHO there has been enough drilling in the area to give reasonable confidence that reserves will go up markedly over time with more drilling, and the big boys (and girl) realise this, so are prepared to go higher than most expect. Plus easy to get, quality gas is only going to go up in price over time. At current gas price Warrego have around $4-5B worth of gas assuming an eventual ~750Bcf, just for 50% of the WE tenement.
The big players are trying to get everyone to forget just how valuable the gas is here. Whoever gets this will probably make hundreds of millions per year for years if the overall operating cost is similar to Strike's Walyering at around an expected 33c/Gj...
Now how much is/was Warrego worth if miraculously after the big players have bought both WGO and Strike, the whole Perth Basin reverts to the same 15% reservation policy as the off shore gas, at well over $20/Gj??
WGO Price at posting:
39.0¢ Sentiment: Buy Disclosure: Held
