Correct me if I am wrong but if a number of shares were issued at market price there is no dilution. There is an increase in the number of shares issued but there is a corresponding increase in the cash position of the company. If Peter Landau had done the deal @ 20 pence a share there would be no argument. We would be approximately 4 pence off per share better off. This would have been the position, in effect, if it had happened before February 20th and essentially early August last year. The share price for the vast majority of this time has been below 12.5 pence. So this is about 3.5 pence, on a share price that has risen by at least this amount on expectation of the results in Puntland. Yes, it is a dilution of 5.25 million pounds on what is suggested is a share price inflated with expectation. I suggest that a number of shareholders have been surprised, excited and pleased with the recent share price increase. It seems to me those that sold in London tonight were looking at a bottle and believing it was half full not half empty. Peter Landau has topped up the bottle with more potential for the Company and only time will tell if it is worth a questionable cost of 5.52 million pounds. If the wells in Puntland are successful the price paid for the offshore leases may prove very cheap and then there is Columbia as well.
Cheers
RRS Price at posting:
24.0¢ Sentiment: Buy Disclosure: Held
