To state the obvious the SP would certainly be enhanced in the short term but beyond that it becomes anyone's guess. GLL would be a producer if the anticipated commercial gas flows become a reality. The major gas players are best placed to capture and distribute the asset, although the possibility of Asian interest cannot be discounted, and importantly the NGP, which is completed to Galilee doorstep would enable molecules to get to market. I suppose in reality the institutions are just punters just like us except on a grander scale. To suggest one or more of them would have an interest in taking our company out is probably unrealistic as we don't need a middle man in the supply chain who would just be clipping the ticket. GLL is one of the few explorers in frontier tenements which the market is focussing on in a positive manner and to best of my knowledge there has not been a play for any of them from any source (apart from the unsuccessful BigMac bid for CTP). What has probably hindered this eventuality may be best explained by the following extract from the recent statement by BUL.The Board is acutely aware of the need to monetise the Company’s gas reserves and resources and indeed fulfil the commitment made to shareholders in this regard. The company continues to be confident of completing a gas sale agreement for the gas reserves and resources in the Company’s Bowen Basin permits (ATP814 and ATP 854). It is a frustratingly slow process, which has been exacerbated on the gas buyers’ side by uncertainty created in the supply-side for the East Coast Gas market, due to; x the clear medium (and longer) term shortage of gas supply that is developing, x confusing and erratic supply forecasts by regulators x LNG feed gas supply shortage for Gladstone; x Growing global LNG demand – affecting LNG pricing – affecting LNG netback pricing and domestic gas price x threats of Government intervention through LNG export restrictions; x gas user price sensitivity (i.e. legacy expectations of low gas price); x Potential domestic gas supply from LNG import terminals in eastern Australia
Keep the faith and GLTAH.
