A delay in drilling Cervantes is not a bad thing for MEL at the moment . By their actions I always thought the drilling of Cervates might be delayed until after the option date . Now there is the chance that a good result at Odin might lift the SP enough to get the options in the money .
Often after the liquidation of a business the assets end up in the hands of the original owners of the liquidated business. Anyway someone will own the drilling rig after the dust settles and if the rig can be brought up to specs it is the logical unit to do the drilling but it needs a good rig operator too. I would definitely like to see it successfully drill the two wells for RCMA before it drilled Cervantes. VEN seems a capable operator with experienced people on its BOD who would be all over that. The arrangement on who pays for the drilling of the two wells before Cervantes is drilled will possibly change.
If the options don't get into the money it is not that big a deal . It is just another form of dilutive capital raise. You either put your hand in your pocket to pay 4 c or you are offered a CR at a price less than that . Just hope they don't do a placement with the Vultures.
MEL Price at posting:
2.5¢ Sentiment: Hold Disclosure: Held
A personalised tool to help users track selected stocks. Delivering real-time notifications on price updates, announcements, and performance stats on each to help make informed investment decisions.
(20min delay)