Ann: Pentium receives notice of contract award with Roy Hill, page-54

We know end of November it was $2m but end of December is obviously slow and there were maintenance works on existing rigs; but getting close to $3m will be a great achievement given only 7 rigs were deployed in H1.

If they can manage to get close to the $3m EBITDA on 7 rigs, then extrapolating that out gets $13-14m annualised on 12 rigs (as they have previously stated overheads are approx 325k per month). They do appear to be hiring more staff so you can shave off a million for extra overheads, however if they can land the remaining rigs with either Rio or BHP, they will pay greater margins. I'm hopeful that the jobs they have been recruiting for may mean contract news is close.

What we have seen with rig utilisation is once they have been contracted out, they stay contracted so the quality of contract is imperative. This means should earnings should be stable as the rig utilisation increases. So even is we risk adjust a little, $10-12m earnings at an EV/EBITDA multiple of 6 to 8 means a 15-25c SP.

So we know the company is pretty cheap currently for its core business, but I am excited for the growth potential. I want to hear about what is planned / in the works for growth. They did say in the last corp presentation they want to do M&A for borefield management by June 30, it would be great to get an update for that.