Net debt, means, current debt, all things considered, so either they have called on the money to create the debt, or can still do so, but in doing so have the extra cash to offset it.
The quaterly cash flow, also says, which may shed light,
Cash at end of quater, 1.38m,,,current loan facilities, 6.5m (and 6.5 used), credit standby arrangements 6.2m. (amount used 0)
So the net debt, based on that is the 6.5m of loan used, less the cash of 1.4 =5.1,,,
so currently, i think, they have 1.4m of cash, 5.5 or 5.1 of debt, and this further 6.2 m facility they can call on.
If that is correct, then they can call on this further debt finance through convertible notes, for operating cash, until the sp improves.
We are pushed low due to a major reducing their position, i dont think it accurately reflects the value.
to the maps,, light pink J1, note that j2 is in dark pink. so maybe yes, light pink=miogyp resv above oil water contact.
worth phoning the company and asking them specifically, no harm, i do that sort of thing plenty of the time.
Just been a little busy lately.
What i like, is that, the upside, they suggest they can drill deeper when the first resevours a deepleted in the same holes.
But also sounds like these other targets and prospects are close enough to exisiting traps to have a decent chance of coming good.
Doing well for a penny dreadful, with production, and good prosect to increase it.
You dont know what goes thru an instos head, a major reducing position, nothing wrong here.
Go ask the instos who bailed out of ROC at 30c, what they think now?
GGP Price at posting:
3.9¢ Sentiment: LT Buy Disclosure: Held
