Hi Moneybags, mate I totally understand what you're saying but give the company's track record i just don't believe shareholders would support another Cap Raise without compelling prospects (6.5c massive raise was the final straw).
Given Kerogen now speak for around 67% of our equity, as well being our major financier, I believe the credit card interest rates were their pound of flesh for maintaining support. However we just can't continue on with their vampire fangs in our neck indefinitely, sucking the lifeforce out of our drilling division. Should regulatory regime swing back in our favour, that should be the catalyst for them to agree to remove their 18% fangs and get behind their best interests which will then be their major equity stake in the company. Cannot happen soon enough...
Given our level of indebtedness, capital fatigue and sunk capital in UK shale, I think AJL is a massive Call Option on UK shale gas. The need for more UK domestic gas is dire, the underground resource is reportedly vast and high quality, we have enormous PEL acereage, just need to be able to properly drill, test flow and prove up the resource. Infrastructure is sorted at Lancashire with gas pipeline extremely close to sites.
Next week should be a big week - they simply have to get cracking on fixing the UK's energy mess, or the residents and businesses are going to be tipped into a God awful self-induced energy own-goal.
AJL Price at posting:
9.8¢ Sentiment: Hold Disclosure: Held
