Ann: Po Valley Half Year Results , page-7

Why would they raise capital now? They've survived - and made progress - for a couple of years now without raising capital. And they've just managed their first farm-out, which will weaken the case for a raising.

At current levels, it's hard to see a raising improving the return on equity or the net present value per share - any projects that are _that_ rewarding can be funded out of existing revenue or through farm-outs. So neither Masterman, Pirola or Hunter Hall - who hold 48% between them - are going to want their holdings diluted. While they might be able to wangle some deal whereby they got to buy into a raising and the rest of us didn't, that might fall foul of regulations designed to protect minority shareholders. Masterman buying on market suggests no such raising is imminent, anyway.

The timing of the share price crash was actually rather fortuitous, happening just as revenue from Sillaro started and could replace the regular capital raisings Masterman used to pull off.