Ya, here is a copy of ahab32's Q&A for reference.Post #:...

Ya, here is a copy of ahab32's Q&A for reference.
Post #: 4513141

Hey guys! :)

Ok, so i dont want to get everyone's hopes up. I didnt really find anything out today that we didnt already know. Its more the feeling i got which I will go into below.

Firstly i will answer some questions (or should I say, tell you what Jurgen replied to some of our questions);

1) Even though it will most probably be the Farminee's call, do you think Artemis can be "drill ready" this year?

A) He mentioned that they originally had a commitment to commission drilling (for their Artemis Lease) by 1st Feb 2009. Due to unforseen issues they managed to negotiate this to the 1st Feb 2010. Thus, he implied (did not SAY) it unlikley to be this year.

2) Is Tassie Shoal totally dependent on the success of Artemis?

A) No. He reiterated that this is the main reason MEO exists. Artemis and others are just a "bonus". He believes MEO has a very low cost base (around ~$3m p.a.) and can continue doing what its doing i.e. farming out its plans for years to come.

3) Re-ratings are mentioned in the recent presentations, are you referring to a re-rating through general market perception or is management more specifically looking toward a broker/s for re-rating MEO's SP?

A) All of the above. (with a smirk)

4) The presentations of late seem to be building up to movement in the Tassie Shoals project. Would the CAPEX for such a large project be possible through a cap raising alone? OR will MEO look to prove up reserves here with funds from Artemis before seeking a JV partner?

A) All of the above. (with another smirk)

5) Do you consider MEO a potential takeover target considering its relatively low market cap and big neighbours?

A) unfortunately he couldnt give me a straight answer on this. BUT, he laughed about the fact that I said it was worth $0.07 (i said JESUS, I couldnt believe it myself). He said, people wont be laughing when it is $3.50 - i.e. Takeover target becomes a LOT harder at these levels.

***** Please note I am paraphrasing, not quoting! *****

He did say the words $3.50 though. But what CEO of a company doesnt say their company is worth more than it is! He wouldnt be a good CEO if he didnt! Spruiking is part of their job! :) AGAIN IMHO.

6) Any interest from the Chinese? Petrochina etc with major shareholdig in CUE?

A) Both he and Stephen Hopley (who was also present) smirked here about the CUE comment. Then Jurgen said, of course there is interest from China Inc. He said "maybe not specificially Petrochina, but definitely interest from the Chinese"..


He did make one slip up (I believe) as he said ".... when we sold (or were selling) our stake..." I believe he was talking about Artemis in the past tense... BUT, this is ONLY my opinion.

A couple of other notes that i felt i should share with you guys and gals is...

- 70 companies have looked at the data in the last 6 months
- interest says that it is "DRAMATICALLY UNDERVALUED"
- ~12500 shareholders, they know its a LOT of mums and dads, but they feel that the big boys are dipping their toes in and you can see that from the new Top 20 each month
- Jurgen DEFINITELY has his finer on the pulse. VERY articulate, genuinely agressive and ambitious! I want him and the team running this company, they have really made MEO turn a corner IMHO. Not to mention the WEALTH of experience the team has.
- There is a F-LNG (Floating LNG) presentation tomorrow which they are presenting the Tassie Shoal stuff to. I dont believe what they are going to showcase is market sensitive so no gems to share there...
- im really upset that i cant remember his exact words, but when talking about Chevron vs Woodside and others, he used words to this effect... "healthy competition" - I REALLY liked this..

So, that is pretty much it.

Jurgen and directors are very positive about the company and i got the feeling that he was almost offended at the current & recent price. He almost scoffed at it. When I mentioned the 20% Top 20 in a negative light, he implied "ok then, sell them..." with a cheeky grin. He asked if i was "in the money", which I am, just, and a lot of grey hair to show for it - he then stopped my bombardment of questions by saying something along the lines of "well then, you should be happy"...

I may think of other things over time, but the main thing is i am holding a serious amount of shares and Im not selling anytime soon. BUT, who knows what the future holds, so dont quote me on that! :)

When the meeting ended, my friend said "well, its just hit 70c (technology is a beautiful thing)".. Lets just say, HE DIDNT seem surprised.

Hope some of you found this useful.

Although i feel it stupid to say this, as it would be stupid to purely invest on anyone on Hotcoppers advice, but PLEASE DO YOUR OWN RESEARCH! I wouldnt be trolling hotcopper each day if i had made it big, i'd be in Barbados drinking Pina Colada's...

Good luck!




21/09/09 16:14 (View) Back