buyers are building issue the breakout alert, page-4

I hate to reduce my exposure to the decent projects that management are neglecting, but this company is heading in a direction that involves far too much risk. 5500m through solid granite just to drill one test well, then another 5500m to drill a second, circuit-establishing well. This will require a specialised, dedicated rig (you just can't hire that kind of rig in Australia), costing roughly double the current mkt cap. On top of this, well failure is a very real option as the rig functions are learnt by the drilling team (who are equally difficult to secure).

Who's going to buy into that much risk, or, more specifically, which company would want to establish a JV over such a high risk project? Could BHO justify such a rsk to their shareholders? Could any company?

The competition for investment dollars in this sector is fierce - there are cheaper, lower risk and higher profit exposures out there.

We need to put O.D in storage for now, raise the profile on some lower risk projects, secure $1:$1 (up to $10M for 2 wells) funding on some shallower, hotter wells, and give the SP a overdue kick up the bum. This isn't like GDY. There is no exceptional resource at the bottom of the highly risky, extremely expensive well. The risk for GRK is too high to pursue O.D before they have something to fall back on (preferable generating an income).



GRK may have it's time, though it is unlikely to be soon.