Over the past fortnight I have been briefly reading the Information Memorandum from ANN 4 Feb 2011. Todays ANN came out of the blue, and not an option I had considered.
Today I have printed it off and trying to us my bush lawyer skills to piece thing together - without much success.
Blades May Notice must have stated a reason for termination, but that reason is not being communicated from Raisama to shareholders. I think this is unfair. Maybe the contract has a number of contrasting clauses, such that it is not a workable document.
There are plenty of other issues - amount of finance needed, drawdown facility; funding for 2 wells now, or 1 now and then a second, use of BP working capital, equity partners --
Arbitration is likely, or Raisama clearly gains finance and 'money talks' and they all shake hand and suddenly harmoniously work on the Cadlao project. I really dont know.
BTW Philippine govt Environment Assessment approval is still outstanding.
RAI Price at posting:
5.6¢ Sentiment: None Disclosure: Held
