Ive been holding a while and the recovery operation is frustrating and time consuming since everyone was hoping for drilling to be finished around christmas.
Todays announcement even though they still have around 500 feet to go should be looked as a positive.
Anyone thought why would a fund and a stocking broking firm would buy at 61 cents which gave the company over 5 million dollars to help with completing drilling. These 2 companies bought in when recovery operation was still happening, and i would be guessing but wouldnt australian natural resources fund atleast know that this recovery operation could take longer then they initially thought but they still bought into the company. Obviously both companies believe gdn from results so far have something fairly big because i cant see funds like them buying in for a profit of 50 cents if they only found 50bcf.
The directors in the announcement state it is very frustrating even for them they want to get to total depth as much as any of us.
They are taking the course of maximum care to protect the potentially producing well and the shareholders interests compared to faster and more risky methods which could result in damaging the well.
The only thing that has happened is it is taking longer then expected.
They have the funds and big shareholders backing them, we don't know till flow tests are done like has been mentioned heaps already but with the results so far its looking like a good chance of being a producing well.
Anyone got any thoughts why funds are buying in during a recovery operation that they possibly knew could take longer then expected?
GDN Price at posting:
0.0¢ Sentiment: Hold Disclosure: Held
