BK I don't think anyone ever suggested there was no risk here at this end of the market it is very easy to say it has the potential to be a worthless investment. There are/were 3 main risks with AWD, sovereign risk, financing risk and operational risk. For me the lowest risk was/is operational, they just need to get a rig on site and drill. Then put up with all the usual, broken bits, missing the target, etc. But reckon given the intent is to drill on top of an existing well the flowed there is a good chance gas will flow again. Sovereign risk has played out, I had originally thought the risk was some bureaucrat stealing the lease, not the entire country having a change of borders. Finally financing, this for me was always the greatest risk, even with an apparently good project. A low cap company requiring significantly more than their MC in funds is a big ask and even bigger if you have a good asset on your books, it's about getting money, whilst there are many vultures circling think they can get a better deal from the corpse rather than something with a heartbeat.
Funny to say, but there is more clarity now on the risks.
AWD Price at posting:
0.1¢ Sentiment: Buy Disclosure: Held
