While the AOI SP has come under some pressure due to general market sentiment and dilution, it remains in good shape compared to most speculative plays. This tells me two things - firstly, the register is tightly held by believers in the story, and secondly, that the Lundin's are not under any significant pressure to sell, but are in fact financing current cash flow needs of the Coy.
I believe there is little reason to doubt AOC's committment to take the Puntland project through to drilling. While there are bumps in the road, the end destination is still the same.
With Range, not only fully exposed to any of the onshore upside, it now has an opportunity to position itself for considerable offshore exposure. With a new management team and strategic involvement from another credible player, Range will once again provide the astute, risk tolerant investor with considerable upside.
RRS Price at posting:
5.5¢ Sentiment: Buy Disclosure: Held
