what a rip off..., page-6

Hi gs,

I agree that the interest rate is high but I don't think we will need much of the money anyway. We are well funded thru the first 2-3 wells anyway.

Based on what ES said in the past, I was under the impression that they are drilling G4 and G3 first because they wanted to use the cashflow from the added production to fund Warhawk as well as the other three explo wells.

The facility fee is fairly standard. I am sure they went to some banks who at present aren't giving money out anyway so not sure how they would have gone there.

We can only speculate whether they did approach the bank or not, but it's not impossible to get funding from the bank. STX got 11mn from CBA - http://www.strikeoil.com.au/media/2008_05_02_Debt_Facility.pdf

Admittedly, STX'a Rayburn field is higher quality than Growler, but all I am saying is that it isn't "impossible" to get funding.

Conflict of interest - maybe but the man has single handedly kept this baby afloat for some time.

Fair point. Guess it's a better alternative than further placement/dilution.

618