I would love to know OG Energy's point of view on CUE..the original goal was to T/O but that didn't go to plan and only secured a controlling stake.. MD of ECH saying no to wanting full control of CUE is a head-scratcher for me ..do they see a lower value to come as CUE production CAPEX hits the bottomline ?..like all O&G companies you're only as valuable as your life of reserves and exploration upside
CUE has had a great run of late mainly as they finally made the right move and paid a dividend to the long-suffering S/Hs had they not I believe they still would have been priced 6-8c share ..that fat dividend and talk of more has keeped the market bullish on CUE
.But personally, ECH looks like a far safer investment ...and most of their moves in recent times has impressed to me they want more market attention...As I said years ago NZO/ECH needed to first change the name if they wanted to attract more Aussie etc funds ... good to see the move .
.. also JVP into attractive projects .. NT Gas and Perth Basin are both great moves .. the third of course was deal with CUE be it sell down interests or T/O .
..fourth what's OG energy plans to hold 70.1% seriously hurts liquidity esp as so many of the retailers of NZO are stale NZX holders that have held for years and aren't traders if we could see OG reduced to 50.1% would help greatly with liquidity if the extra shares were going to ASX holders (also adding capital to buy more AUS O&G projects)..
ECH Price at posting:
38.0¢ Sentiment: Buy Disclosure: Not Held
