Sunny,I have been a long term holder of this company and believe...

Sunny,

I have been a long term holder of this company and believe they do have some great value in the ground. The only thing that worries me at the moment is cash.

They had $15 million in the bank and paid I believe $7 million for the remainder of the Churchie field. Leaving $8 million (albeit this being an upfront payment and monthly instalments).

With the current exploration program and costs for seismic acquisition in Cooper Basin perhaps a capital raising is not out of the question. Especially due to the increased positive sentiment out there at the moment (a large turnaround from recent years).

I know the company has stated that Churchie will be funded out of existing cash and future revenue I have a feeling they will need more sooner rather than later.

The only other way they could get cash is to do a deal on their Kimu holding, similar to what HZN did recently. I did notice that they were getting an independent valuation on that holding. Could be why.

What are your thoughts everyone on existing cash to fund future exploration and he possibility of of cap raising??