pattersons report on coretrack, page-3

I think this report is a pre-cursor to a Capital Raising.

Patersons usually recommend you buy, hold, sell or Speculative Buy for high risk stocks, yet they chose to not even assign that rating here.

I wouldnt know, but its possible Coretrack commissioned them to produce the report with the intent of creating a perception of external interest in the companys prospects. Well laid out report, nice charts, lots of ROI%'s, global drilling demand is huge, etc, etc.

But I think the most relevant comments from the report are:

"While the GT3000 has completed its first contract it hasnt been proven over a long period of time in a commercial setting. We note that it is likely reliability in different scenarios still needs to be proven".
Interpretation - no contracts until test hole finished at Merredin at depth.

"CKK is not in a position to meet funding requirements for future rig builds and is likely to require additional equity capital along with debt funding."
Just needs to change "is likely to" to "will". Interpretation - CR on the cards soon.

The report makes no mention of the equipment coming from Singapore or when the Merriden test hole will restart, both of which I think are key issues in the short term.