STX

8.82%

18.5¢ strike energy limited

Australian article re Hancock, page-143

First 143 Last

Share
Profile

Follow
Justadabble

9,518 Posts.

3198

18/06/24

08:02

Post #: 74361385
Share

Originally posted by ftroop: ↑

Hi JD

It's all IMHO obviously, but here goes:
The finance package approved by Mac Bank in December 2022 assumed STX would find lots of gas at SE 2 and 3, which unfortunately did not happen.
That means the $80M unapproved facility is likely to never be approved. I just think of it as a phantom facility that evaporated in February 2024 when the SE 3 results were released.
There has not been any announcement about the $40M tranche short term facility which still has not been drawn down and they only have until 30 June to do so, unless renegotiated.
STX needs to move as quickly as possible to develop SE1, but I expect they do not have enough available funds to pay for it because STX must maintain minimum liquidity levels (ie real cash held on deposit which cannot be spent) to satisfy Mac Bank while there are still credit facilties in place.
It is tempting to say that STX can simply delay developing SE1 until Wailyering delivers more cash, but I expect Gina will be playing hard ball on trying to accelerate WE as much as possible, which will require STX to raise hundreds of millions in debt and equity, unless they sell down, which means they will probably lose operatorship.
And Gina will be fully aware of the possibility of unitsation for SE1 and she can play that card hard now since I doubt the WA Gov would approve SE1 to be developed as a stand alone project when STX is arguing that WE should be built as big as possible to allow export sales of LNG.
It's always good to hear from major egos who have SN on speed dial, but this is a funding question that ultimately can only be anwered by Mac Bank, not SN or the STX BOD.
In conclusion, I don't think STX's true financial position is particularly strong.
The simple solution is that Mac Bank insists that a CR is done and I'm tipping it will be done by the end of September.

Cheers
ft

Expand

Agree re tranche D, expires 31/12/24, the purpose for the facility has passed, ie SE2/3 drills, expect this to expire undrawn unless renegotiated. Do we get our $12M establishment fee refunded?
Facilities A-C will expire on 30/6/25, and principal repayments are being made in line with debt being repaid in full by maturity.

Agree, the $80M facility is clearly indicative, and I don't anticipate any movement until W7 test results are known, and SE FID occurs.

STX Price at posting: 20.0¢ Sentiment: Hold Disclosure: Held
2 Upvote

0 Great analysis

Reply

Top Stories

CBA breaks trading record on strong day for Aussie financials

BIT

HotCopper users blunt as Biotron sinks -35%; long-awaited COVID drug results same as placebo

LAM

Laramide sniffs prime Kazakh uranium, with agreement over 6000 square km land position

SBW

Shekel Brainweigh investor presentation webinar – the future of retail automation

QML

Metallurgical testing shows saleable copper and pyrite from QMines' Develin Creek project

Week 36 Wrap: AI hype wave tested again; Oz per capita recession continues; AirTrunk’s $40B+ payday

As Nvidia cools, we're looking to Aussie AI

RMX

Red Mountain Mining: record gold prices, two projects, two greenstone belts

OCC

Orthocell kicks off collagen-based dental bone repair product sales in Canada; eyeing next stop Brazil

PRU

Perseus Mining boosts stake in Predictive Discovery to 19.9% as latter's flagship project stalls

There are more pages in this discussion • 80 more messages in this thread...

First 143 Last

Add STX (ASX) to my watchlist

(20min delay)
Last 18.5¢		Change 0.015(8.82%)		Mkt cap ! $530.0M

Open	High	Low	Value	Volume
17.0¢	18.5¢	17.0¢	$2.155M	12.01M

Buyers (Bids)

No.	Vol.	Price($)
11	851855	18.0¢

Sellers (Offers)

Price($)	Vol.	No.
18.5¢	131078	7

View Market Depth

No.	Vol.	Price($)
9	593855	0.180
13	898781	0.175
34	2111342	0.170
28	2089452	0.165
39	1603646	0.160

Price($)	Vol.	No.
0.185	76078	5
0.190	1277542	11
0.195	1127755	4
0.200	894999	13
0.205	685147	7

Last trade - 16.10pm 06/09/2024 (20 minute delay)

STX (ASX) Chart

Australian article re Hancock, page-143

CBA breaks trading record on strong day for Aussie financials

HotCopper users blunt as Biotron sinks -35%; long-awaited COVID drug results same as placebo

Laramide sniffs prime Kazakh uranium, with agreement over 6000 square km land position

Shekel Brainweigh investor presentation webinar – the future of retail automation

Metallurgical testing shows saleable copper and pyrite from QMines' Develin Creek project

Week 36 Wrap: AI hype wave tested again; Oz per capita recession continues; AirTrunk’s $40B+ payday

As Nvidia cools, we're looking to Aussie AI

Red Mountain Mining: record gold prices, two projects, two greenstone belts

Orthocell kicks off collagen-based dental bone repair product sales in Canada; eyeing next stop Brazil

Perseus Mining boosts stake in Predictive Discovery to 19.9% as latter's flagship project stalls

Featured News

Buyers (Bids)

Sellers (Offers)

Featured News

Australian article re Hancock, page-143

Top Stories

CBA breaks trading record on strong day for Aussie financials

HotCopper users blunt as Biotron sinks -35%; long-awaited COVID drug results same as placebo

Laramide sniffs prime Kazakh uranium, with agreement over 6000 square km land position

Shekel Brainweigh investor presentation webinar – the future of retail automation

Metallurgical testing shows saleable copper and pyrite from QMines' Develin Creek project

Week 36 Wrap: AI hype wave tested again; Oz per capita recession continues; AirTrunk’s $40B+ payday

As Nvidia cools, we're looking to Aussie AI

Red Mountain Mining: record gold prices, two projects, two greenstone belts

Orthocell kicks off collagen-based dental bone repair product sales in Canada; eyeing next stop Brazil

Perseus Mining boosts stake in Predictive Discovery to 19.9% as latter's flagship project stalls

Featured News

Buyers (Bids)

Sellers (Offers)

Featured News