A lot of very valid points in this thread.And I tend to agree...

A lot of very valid points in this thread.

And I tend to agree with most, in particular I also won't be buying until I've seen the quarterly's.

Meo are in a position of severe weakness.
ENI know this and will now try work things to their advantage to get MEO's assets at a much cheaper price.

The beauty is though that as long as you have two or more companies interested in MEO or certain assets then the price will be driven up.

The first thing that I would do if I was MEO would be to get themselves out of this weakness and unfortunately that means making decisions that under normal circumstances are just unreasonable.

The industry in genuinely excited about Ibu Horst.
So I would finalise the 3D interpretation asap and show the industry all those exciting leads and prospects.
Rather than asking for back payment of costs of $15m and 2 wells to be drilled at an approx cost of $35m each for 50% they state that the whole permit including gurame (which has gas there but just needs someone who knows how to extract it) is for sale.
If you can give us $50m quickly you can have the lot.
Although MEO's market cap is not $50m that would still be a great bargain for any company (remember if 2 companies like what they see, it will be sold despite their current situation)
If the data they have gained from Thailand is half decent they might try and flog that off for a couple of mill as well to whoever wants it.

MEO solve their cash position, are no longer half as vulnerable and can take their time making the right decision with their other assets that ENI really want and would have to fight other companies for.

All of a sudden with cash in the bank and a SP that has rebounded due to the sale, ENI are thinking that a take over is not going to be a walk in the park and that if they want Heron and Blackwood they'll have to stick with their original deal.

Given the strong interest in 454 by other majors MEO might also ask for a greater upfront cash payment for a reduction in interest.

Next thing you know, ENI are drilling blackwood and have plans for the second well at Heron (this time Heron North)