Always good to take a bit of money off the table. But I also see...

Always good to take a bit of money off the table.
But I also see an upside from the climate bill for those companies with reserves, environmental approvals, and development plans that are well-progressed.
Takeover speculation is always fun, but in all honesty if I was a predator, I'd be moving now on Strike for the following reasons:
- Walyering cashflows are just around the corner. The move from explorer to producer should result in an upgrade.
- Uncertainty about the future of greenfield exploration and development in Australia.
- Low chances of capital raising soon (with huge cash reserves, which incidentally lower EV).
- environmental approval for a gas plant (a major hurdle) is around the corner (from the sounds of it). This, in and of itself, has commercial value.
- high chance 2P reserves will expand dramatically in the next 12 months. On top of this, you've got NWE and Beach drilling in the area too.
- see through value from WGO was 80 cents (although not all reserves are created equal).

In short,40 cents is still cheap, and waiting any longer (especially with the entry of index funds) isn't necessarily going to result in a lower acquisition price. And again, who knows what the future of greenfield gas development is going to look like in 12 months? Better to have a bird in the hand now than two in the bush later on.