All eyes are rightly on the DERM decision at present however there are at least two other announcements pending.
The first is the LIH Definitive Cooperation Agreement, due by January 31st, which will see another $1m cash and commitment for a further $3m seed capital per the announcement on October 1 2010 below:
'Cougar Energy and LIH will negotiate a Definitive Cooperation Agreement with each other by 31 January 2011, which will set out the arrangement to work jointly to develop and operate Underground Coal Gasification (UCG) projects in the Peoples Republic of China.
Upon entering into the Definitive Cooperation Agreement, LIH will take up a further placement of Cougar Energy shares to the value of A$ 1,000,000 at a price of A$ 0.035 cents (3.5 cents) per share.
The terms of the Definitive Cooperation Agreement are to be finalised with the intention that Cougar Energy and LIH will establish a joint venture entity to which Cougar Energy will contribute, amongst other things, its operational and technical knowhow and LIH will contribute seed capital initially expected to be A$ 3,000,000 and access to its Chinese coal leases for review as potential UCG projects.'
The second is the strategic review by PwC Securities, which was due for completion by the end of 2010. The second phase of this was an 'extended corporate finance role depending on the preferred strategy agreed by the Cougar Energy Board.' It may be that management decided against releasing the strategy, however more likely they are waiting for the DERM decision before announcing.
Hopefully both will follow shortly after the good news from DERM to fully maximise share price appreciation, unless of course the DERM news is negative where they will prop up a battered company!
CXY Price at posting:
4.4¢ Sentiment: LT Buy Disclosure: Held
