From a legal perspective if there was a leakage based on a known failure of the 105 well and the share price tanked as a result over an extended period, say 3-4 hours then the company is obligated to put out a statement of clarification. No to do so would put the company in danger of ASX penalties if is was later shown the company new of bad news coinciding with an sp fall.
One can assume at this point that the company sees no correlation between what has happened with the sp and bad news from 105...this may be because 105 is still a work in progress with no result as yet or because early signs are promising.
MY gut feeling given the elapsed time from opening is that this is atree shake. With drill results near there would be a very significant number of stop loss orders in place. It takes only a little selling pressure to trigger the loss orders which in turn have a domino effect. The originator of the selling pressure can then buy back at lower prices. The net effect may be a 2-3c gain over a hefty number of shares. Not something your average punter can do economically given fees but an inhouse trade from a broking firm can be very profitable at these levels given the ability to waive fees.
The fact the sp has picked up from its early lows also suggests common sense is over taking poor sp based on a faked market behaviour masquerading as bad news.
To clarify matters it would be useful if the ASX issued a speeding ticket but they seem pretty blind to the comings and goings of the small cap sectors.
NEN Price at posting:
25.5¢ Sentiment: LT Buy Disclosure: Held
