Oil Rally Confirmed, page-24

In $aud terms how much is WTI up?

However I think it is really good that we are above $3.85 - thats a big hurdle and I thinks all stops would be cleared now which leaves a clear run up twd and over $4

Need buyers to come in from now on and esp once cross $4. volume has only been light last few days so STO has yet to garner any real institutional support and as a relative play in the energy sector there are better risk/reward payoffs. Remember STO actually needs poo up around $50 esp. if aussie$ rallies hard on the back of oil rally. ie to meaningfully pay down debt and to lift CapEx

Having said that if oil can show itself to have a sustainable increase and insto become interested again then you are going to see a nice rise- - debt is an issue.

From their filings I worked out Hony investment is probably around an average of between 5.20 to 5.50 per share. if they can get their average down to around $5 I think thats a good target and achievable so they may start / continue to really buy more. That would be one boardroom with a collective sigh of relief.

We all know this but it is dependent on oil - but the long only buy side dos not appear to be convinced yet re sustainability and therefore whether STO is worth getting back into.

With the jump in ASX futures and crude holding above 38.40 as long as no adverse news b4 Monday I think I can safely say STO will have a good day. Just keep an eye on buying interest and where it kicks in.