Why, oh why, would MMR bother transferring 60% of PEP11 to Sacgasco?
It is not as though Sacgasco is a whale compared to MMR's plankton.
There's a bit of difference in market cap - SGC is c$6.8m and MMR is c$3.7m - but it's not a material difference when you consider that c$20m+ is needed for drilling on PEP11. SGC can't really raise such funds any more easily than MMR. Is SGC more qualified to manage offshore seismic and drilling? Pahhh, who knows? Perhaps, but probably not. A little flurry of staff hiring could have solved any technical deficiencies within MMR anyway.
The board of MMR must have been confused by shadows when SGC approached. They must have thought "Oh my God, it's a grizzly bear... Quick! Empty your pockets and play dead!" I wonder how they feel now that SGC has been exposed to the light and revealed as nothing more than a wombat with gas (pun intended).
Or maybe the MMR board was just fed up, like an unfit, middle-aged dad who'd been struggling to master windsurfing all afternoon until he finally fell off for the 27,000th time and said: "You know what? Screw this. Hey kid? Want a free windsurfer? Yeah, you. You've got legs and a head, you'll be fine. Here take it. Just...take it."
Or maybe they were just afraid of dealing with another onslaught from the incessant wind? Maybe they thought: If we move away from the low pressure zone then maybe, just maybe, the breeze won't blow...
So now PEP11 is smeared across four ASX listed companies. GBA (indirectly), BPH, MMR and SGC. The only logical solution now is for MMR to start buying shares in SGC! Hahahahahaaaaaaaa. It sounds stupid but stranger things have happened among this particular pod of players.
(20min delay)