Hi all. To put things into perspective, the average daily volume...

Hi all.

To put things into perspective, the average daily volume over the past 6 months of trade is 82,013 shares, which represents approximately 0.014% of the total registry. NO ONE is making a profit selling at these prices even if they held shares in RES prior to the '09 consolidation. If there was genuine cause for concern, trade volumes would be much higher and we'd probably see a Change in Substantial Holding announcement.

On the flip side, no one is buying either. Our major shareholders took up their positions during the Entitlement Offer last year and, well, the rest of us seem to be out of money! RES needs new buyers to enter the fray but that won't happen until news of funding hits the market. RES has always been an extremely tight lipped company so I don't expect the SP to rise on rumour or anticipation alone.

Having spoken to PJ a few weeks back, it was clear that the current SP is of little concern (nothing new there). Securing finance will be a major game-changer as we all know but there isn't much RES can do right now except wait for the banking syndicate to make their decision. What is concerning however, is that if we don't secure finance prior to June 30, the timeline to production will be extended. I'm guessing this may in turn have a negative impact on offtake agreements, rail and port contracts and repayments on the Noble loan facility. I don't think the banks care too much about these issues, so I'm thinking another equity placement might be on PJ's mind.

If you're reading this PJ, please consider a market update even if there isn't much to say...