Daytraders After Market Lounge 19th Jan, page-36

Just heard the conference call and Q & A. Here is my take on SEH.

IMO - compare to other O & G company SEH still in much better position in terms of cash and gas reserved & fundamentals. However, similar to other companies it also has -ve along with +Ve side and so it's all about risk appetite from individual. Look at some blues chips, they are bashed down (Specially iron ore) much harder than SEH, which still seem to be on track except current payment issue from one of the partners.

Current MC = AUD 56m
Cash USD 63m
Debt USD 10m
Leaves in hands USD 53m = AUD 76m
Currently trading at AUD 56m MC ; about AUD 20m to catch up when we open tomorrow.

Fundamentals:
Immediate action to resolve Gas payment issue.
ODP preparation will commence as expected.
Long term development plan remain on track. Payment issue from pilot plan is minor compare to long term growth of the company & gas reserve it holds.
Gas market outlook remains very strong.

Current outstanding from pilots is USD 5m and current steps company taking is having partners to put some thoughts on negotiation. However; it's just a small contract between now and ODP but management working to resolve it ASAP. Hence, the main objective is to get through to ODP.

Apart from this company is in strong position in terms of cash and future outlook of gas production & demand in china.
  
Just watch out the space tomorrow to climb back up over $80m MC (i.e. around 4c).

All IMO. Please DYOR.

cheers
J