Consolidation, page-21

No No No.

Joewolf your current spread argument is the exact reason why there is no need for a consolidation. At current levels we have a floor on the SP, however if we are at 50 cents we have the opportunity to slowly drift down in half cent interval to where? 40 cents? 30 cents? The potential destruction of share value would be much greater than staying at current levels, particularly in the lower global growth and lower oil/gas price environment.

Surandy I take your point regarding genie out of the bottle with regards to a consolidation however I still don't think we should blindly accept what management has flagged. The current PM received his party position by challenging his 'party management direction'. That turned out ok for his party and the country.

I think EGO management are wrong on consolidation and don't feel compelled to tow the management line. Lets hear valid reason for such a move.

I challenge you or anyone else to name ONE company which has undertaken a consolidation and as a result had long term sentiment change along with an increased MC from new investors pouring into the new consolidated share structure.

Investors will join EGO if they prove up further resources so we need the next couple drills to be successful. The new management appears to be stable and on the whole are providing good direction. The ship has finally turned around and it will take time to build momentum and the trust of new investors.

We are now cashflow positive. A few quarters of stable production, increased cash and (hopefully) a successful drill, and (fingers crossed) an improvement in the macro environment and we should see a natural re-rating in the SP.