Slump in oil price hits WOR, page-79

According to 'The O' Alan Gray fund managers have been buying plenty WOW recently as they feel it is near a bottom and they take a 2-3 yr view. Thing is they bought hundreds of millions of shares in TSE about 4 - 20 mths ago and now hold 19.9% at a guessitamted av of $1.60. SP now $1.14. Maybe in 2-3 yrs TSE will be back to their buy in price. But can WOR go back to levels from 4 months ago i.e. $11.oo??

I can't possibly see that happening as commodities continue to slump incl oil and gas WOR's most important sector. But rebounded strongly yesterday so some has climbed in. Will AG appear as a major shareholder soon?

I focus on the commodity prices themselves. Oil, gas plants and mines demand huge capex at a time when producers have no free cashflow. Hence, announcements of further cuts continue to emanate, the latest from BHP this week ann a substantial cutback in oil work. Even when POO does eventually recover in perhaps 18 mths time it will be 2 yrs from now before new projects get started.

Hence, i see a couple of very leans yrs ahead for WOR and perhaps double that. dyor and look for announcements from WOR re sucessful tenders. 1HYFY16 still sees wk being completed on sevral very large LNG projects and it will ease the pain but after that the cupboard is pretty bare.

Couldn't get the 3mth chart to paste but POO back at 3 week low and very close to 10 week low. Plus 3 weeks ago AUD about 2c +/- 3% weaker than last night. This combination goes straight to bottom line.

OVERVIEWCHARTSHISTORICAL QUOTES

Overnight in NY:
Market close WTI $45.21
Change: -$1.08 -2.33%
Volume: 363,325
Oct 21, 2015, 4:39 p.m.
Quotes are delayed by 10 min
Previous close $ 46.29
Day low $44.86
Day high $46.08
Open: 45.88
52 week low $39.22
52 week high $81.61