csg speculation, page-9

The timing of the CR is very significant....

Phase One was concerned with proving up "Known" resources and lets face it CTP has more than exceeded expectations on that score (pending Gas flow test results & analysis) however monitisation is mid term to long term for CSG or UCG etc etc....

Phase Two is concerned with discovery and early monitisation of conventional hydrocarbons. By its nature it is higher risk than Phase One even if two of the targets are redrills of prior discoveries. CTP needs success in this phase for its continued future and ultimate market cred. If it came up with 6 dusters its chance of a successful CR post campaign would be close to zero, if it has 6 successes then it will be able to monitise and self fund future campaigns and would not need a CR........Hence the CR now.

IMO the timing gives SH a last chance to top up pre drill at very attractive prices and with some free oops thrown in. As someone suggested a payback for the RCB's.....This time SH and not the bond holders can share in the profit (if there is to be one)

I anticipate progressive release of news over the next 2 to 3 weeks to entice SH who may need just a bit of prodding to open their wallets so this will be good for all SH confidence levels.

As a fallback we still have a majority of the RCB facility in place for future campaigns or to develop production facilities, the slim chance that CPTOA will be in the money by end June and the posibility of Patts securing some more cornerstone SH which IMO would earn them the 60Mil Oppies they will be paid for their efforts.

The major risk IMO is that the sharks will be watching very closely and we may see M&A activity if CTP comes up with the goods....

Lets hope that the CR is done professionally in the least possible time so that we can all get on with the real Discovery......Exciting times at hand for CTP.