Ann: Non-Renounceable Rights Issue, page-27

IMO, any objective assessment could highlight the likelihood of a CR before the end of 2018. It was obvious. Cash only enough to complete Winx; BoD history in liking significant cash buffers prior to spudding a well; the trip to London (and past sometimes being a predictor of the future); the need to have balance sheet strength when negotiating farming arrangements.

Had to be done, and would have been atypically risky for this BoD not to have raised. I don't see this as being a negative indicator for farmout chances. Quite the opposite.

The only regret for me really is the price. But reality is that the market is showing much resistance to increasing from the 2.0-2.2 cent range until events such as farmout or drilling proximity eventuate. News on upgraded conventional prospectivity didn't piush the needle much and news on cheaply locking up some useful acreage on the edges of Icewine have also had no impact. So, little choice but to issue at this price.

Going first to the current register, rather than new insto's is a good move in terms of shareholder relations....but it remains to be seen how many LTH's can justify increasing their exposure. Especially those that are already heavily in. Averaging down has some merit, but not at the cost of portfolio imbalance. IMO. But each to their own. No details of underwriting arrangements, but noted that the BoD may elect to place any shortfall.

Interestingly, the deadline for accepting the rights offer is a few days after the GM vote on director performance rights.

All IMO & DYOR. GLTA