CUE on the radar, page-7

Settle Gents, I started this upward little avalanche by buying 1 mil@7 cents 2 days ago, I think everyone has piled on in FOMO mode. I am a sergeant Schultz.

I made a motza on SFG and cashed out as I think with China's debt to GDP ratio and Trump pushing them over the brink with tariffs then now is not a good time to be raising funds for a prawn farm, but also thanks to Trump O&G are good. I placed 2/3 on CTP and was going to up my stake further but the new gas discovery at palm valley pushed the SP too high. So I bought CUE instead.I have the following thoughts to share . The POO is not always a reliable indicator for SP as the oil  price can go down as well as up and lets face it $7.5m is slim pickings in O&G as profits go. 

At todays share price the P/E ratio is high 6's so I see little downside @7c.

Why is an O&G minnow with roughly $20m in the bank and no debt prepping for an up to 25% capital raising? I wonder if they arent deciding to spread their wings and take a punt. Ironbark is an elephant. If CUE decides to retain 20% equity for the exploration well, then they will need about $4m to drill and then another say $20m for a production platform, xmas tree etc etc. I see no suggestion they are to be free carried with the well. So maybe this suggests they are going to bite the ironbark themselves. 1 in 100 exploration wells ever becomes a production well so an exploration well with an estimated 1 in 4 chance of success would be a very good 1 off chance to become a billion $ company..Otherwise they will remain a cashed up minnow. I can see good reason for NZO to swallow the minnow before Ironbark but also if CUE takes on Ironbark they still have good exposure to a good outcome but if the outcome is -ve it will have little effect on their SP. Come si come sa. For me it suggests that Ironbark is set to go.