Well the business news in Oz today proudly announced that the ASX had closed at a record high, reflecting the buoyant business conditions across most sectors in the Australian economy.
And the CTP share price closed at a dismal 11 cents. What the heck???
I think we could describe most Central shareholders as being a patient bunch, but this is starting to get ridiculous. C'mon LD and board, clearly you need to improve your communication and incentivize the market to get behind the Company's 2021 goals and potential, or is it just the market no longer believes what you say? Let's break it down;
1. Amadeus Farmout
Clearly this has gone slower than planned, but can we please have some confidence it will happen? Obviously the market is pricing in that it won't. It was supposed to be done in 1QCY21, and the recently quarterly moved that to 2QCY21, which we are now almost halfway through. In the presentation released on 26Feb21 the drilling was planned to begin 3QCY21 but the recent quarterly moved that out to 4QCY21; doubts must now be forming as to whether any drilling will be done this year, with or without the Farmout. This and the Dukas drilling are the only two blue sky opportunities and they are both fading. Seriously?
2. Range Pilot
Thankfully it's underway, but there is clearly no excitement in the market. Range 6 completed in 11 days, and Range 7 completed in 6 days. Range 8 spudded on 28 April and it's now 12 days, has it completed yet? Are we still on track for testing to commence in June (early or late)? This is clearly our lowest risk exploration, but no excitement is being built around it. Very sad.
3. Mereenie Recompletion
Thankfully it too is underway, but whats the status? WM20 commenced on 22 April and completed within 8 days. Any other of the 3 existing wells completed yet? The market also sadly doesn't seem to value this at all.
I have never complained about CTP director fees or bonuses before, but my patience is starting to fade. Where was the Qtly Webinar this month? There is no shareholder in the Top 20 currently in the black, and I doubt very, very few of the whole registry. But our directors and management are making great money.
I'm happy to give Mick a pass at the moment as he's still getting his feet under the table, but something needs to be done with the share price, and quick.
Of course the other big news in the Oz business press is the record M&A activity going on, with both Crown and Boral today in play. Next we'll get a crappy lowball offer from someone (eg. Santos, Beach) and we'll all be told what a great lift it is on the 30 day VWAP, and that fiduciary duty is required.
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