Morning all, it's a bit of a sorry end to what we had high hopes for, and what I'd personally invested a large position into STX to begin with. That said, I won't feel any remorse with the exit even if Talon can eventually make it work. The key mission for all small caps is to find that one company-making asset
with extremely tight and limited financial and human capital that can then be leveraged to help fund other growth avenues. Now that we have found our company-maker, it makes no sense to ever look back and wonder what-ifs. One can't succeed without trying, and it's highly improbable to try and not face setbacks and failures. We had Rayburn and those great acreages in the US, but made a bad selection regarding frack crew. We had a good go with JAWS which was always high risk given the pioneering nature of the process undertaken, but the early promise didn't eventuate into the outcome that we had expected. New science and technology will continue to evolve and no doubt will eventually enable the secret to JAWS success to be unlocked, but we can't stand still and forever hold in hope - especially now that we have that potential company-maker well within our grasp.
We are extremely blessed to have been presented with the opportunity at WE with (potentially) the size of the resource, the high production rate and the long production life. If WE turns out as expected, it will help fund many other growth candidates. Much to the credit of the board, we now have a long pipeline of potential growth candidates as a result of their UIL and geothermal acquisitions, as well as the innovative idea of adding value by being on both the supply and demand side moving towards upstream project. Given the nature of the industry, some of our future ventures will no doubt be unsuccessful. Nonetheless, the expected cashflow to be generated from WE (esp when Phase 2 comes onine) will cushion us against impacts of failures and enable us to at least have the financial means to pursue them. It is only through targeted and education ambitions, willingness to explore options, as well as disciplined executions that will lead to long term success. We have much to look forward to without having to look back and wonder
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