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Let’s be honest who is going to give MEL additional debt when...

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boysy1

9,373 Posts.

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17/04/24

18:39

Post #: 73393694
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Originally posted by Mitchdon ↑

So a CR of $5m @ 0.005 that would mean MEL would be almost doubling their shares on issue to 2.064bn and massively diluting all existing holders. IMO it would be a horrible dilution for an unknown gain.

The JV is committed to O2. (and by default the Odin- Vali connection upgrade) MEL's share of costs is $1.3 O2 and $1m to complete and connect. Then they need another $1m to re-pay the short term finance. So MEL needs $3.3m and I'm still hopeful that it can be a mix of debt and CR. Call it 50/50 so $1.65m debt and $1.65m CR.

Lets get O2 drilled and flowing, lets understand O1 decline, get Odin field resources converted to reserves and reconcile Vali failures. There is so much more that can be done to progress the JV apart from trying to drill our way out of trouble.

You could be correct @boysy1, perhaps a massive CR is on the cards but I hope it's not the case.

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Let’s be honest who is going to give MEL additional debt when they are cashflow negative and wells are seemingly still declining …..

MEL isn’t going to have options and I expect they will want two bites at the cherry ie O2/O3 to have better odds of keeping their jobs

the reality is the later they leave the CR the more they have painted themselves into a corner

MEL Price at posting: 0.7¢ Sentiment: Buy Disclosure: Held
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(20min delay)
Last 0.6¢		Change 0.000(0.00%)		Mkt cap ! $6.383M

Open	High	Low	Value	Volume
0.6¢	0.6¢	0.6¢	$26.18K	4.364M

Buyers (Bids)

No.	Vol.	Price($)
3	318726	0.6¢

Sellers (Offers)

Price($)	Vol.	No.
0.7¢	3527725	5

View Market Depth

No.	Vol.	Price($)
3	318726	0.006
6	7420199	0.005
3	10400000	0.004
5	18451686	0.003
2	25000010	0.002

Price($)	Vol.	No.
0.007	3527725	5
0.008	3292724	7
0.009	2232224	4
0.010	3000000	2
0.013	514000	2

Last trade - 10.04am 07/05/2024 (20 minute delay)

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