Ann: Notice of Annual General Meeting/Proxy Form , page-5

re: Ann: Notice of Annual General Meeting/Pro... Having just read the notice i cant say how i will be voting yet.
Some pretty strong and not unexpected responses there.

1st thing i thought was that the MD has always been keen to keep his funding options open, this isnt the 1st time he has sought to make a placement in advance so that he can keep his 15% handy if he needs it. This is not necessarily a bad thing to have up your sleeve in a capital intensive business with no cashflow.
Nothing worse than trying to raise capital when you are on your knees !

2nd thing that occurred to me is that it really doesnt matter diddly squat what i or others here think. The motion will likely pass anyway. I cant say whether or not that is a good thing.

3rd... I hope it is placed at a price higher than todays !
If you want to raise $xx million then you are going to have to demonstrate some uplift. I am guessing they will want to place this close to when they spud the next well.

Gannp said....
"200mill shares by say .045 [about .057 x 80%] only = $9mill. yet according to the annual report they have got $16.5mill cash and another $17.5 mill to come from Oil Search.
That is $34mill. !!!! Why do they need a piddly $9mill extra at the expense of screwing us all for a long time to come?"

I say... there are lots of variables in those numbers. I dont agree that $9m is a "piddly amount" especially when you consider that a really really cheap hole in PNG costs over $10m (i know we have our own rig but they could have lost it for all we know !). They currently have $16m in the bank ($17m to come but dont count your chickens...), $34m wont go toooo far in PNG. If the placement was done at 8c as opposed to gannps figure that would be $16m, which added to our $34m = $50m. NGE will be well funded to carry out its drilling obligations

With such a large land holding there is a big spend to retain the leases and meet commitments.

devils advocate signing off :)