Also sentiment is down across the board.Specific to CXY is the...

Also sentiment is down across the board.

Specific to CXY is the awaited outcome of the imbroglio whereby mining leases for underground coal gasification are/have been issued over the same ground as petoleum leases for coal seam methane. Until the Qld government makes a declaration regarding who gets what prospective backers should consider the sovereign risk of UCG projects to be extremely high. Despite the optimism of many, the Qld gov has little to lose by issuing 20 year petroleum licences to CSM following up with general conversion to UCG. CSM is a more advance technology than UCG and there is $15Bn worth of CSM investment lined up ready to go whereas UCG has a few penny shares looking around for a few $M to fund demonstrations. Which option would you license tomorrow?

Intersestingly the Australian Academy of Technological Sciences and Engineering (ATSE) report "Energy Technology for Climate Change: Accelerating the Technology Response" regards BOTH CSM and UCG as unproven technologies worth researching for major application at some (much) later date. ATSE gives much more emphasis to aboveground coal gasificantion alongside standard coal power station carbon sequestration to be developed and implemented on a large scale in the near term. http://www.atse.org.au/