Here's another reason to ignore the 12 cent offer by Gillon Securities for the soon-to-be-listed entity, Stellar Resources: the former precious & base metals arm of Gravity Capital also offers exposure to some very promising Gippsland oil acreage. Like Cassanova, this junior explorer drills anything that's stationary.
Once listed (by end of year, management hopes), Stellar Resources will offer exposure to a host of highly prospective oil, silver, gold and base metal tenements, several of which are at advanced stages of exploration.
Below is an abridged version of today's article....
Sydney - Monday - November 15: (RWE Australian Business News) - Lakes Oil NL intends to farm out part of its interest held in Vic/P40(V) and PEP 155, together with a major percentage of the option held in Vic/P47 (the Gilbert Blocks), to a new oil and gas exploration company, Gippsland Offshore Petroleum.
The new company will focus its interest on these three areas, which have all been flown by the Falcon Airborne Gravity System and have resulted in several "leads" being developed, together with seismically defined prospects already identified.
Gravity Capital Ltd, which flew the airborne gravity on behalf of Lakes, has earned an interest in all three permits.
These interests now reside in Stellar Resources, due to Gravity Capital splitting its non-diamond assets into a new company.
Gippsland Offshore Petroleum today lodged a prospectus with the ASX and ASIC for the issue of shares with accompanying options, and in due course shareholders in both Lakes and Stellar will be offered a priority allocation to the issue.
As I stated in a previous post, Stellar Resources has cash backing of 13.3 cents a share and has been independently valued at 23.7 cps so Gillon's offer to me seems smacks of opportunism.
I hold both GRN and Stellar Resources and believe both have excellent medium term potential.
