Ann: $5m Placement to Advance Windorah Gas Project, page-11

This all smacks of a plan gone wrong. Pardon the speculation but the previous capital raise appeared cleverly constructed with the creation of RLEOAs to provide the near term cash flow at 12c/share.
It was reasonable to expect them to be in the money if the modelled 3mmcf/d flow rates from T2, 3 eventuated. In this case the wells would clearly be commercial and RLEOAs would be firmly in the money, but flows were lower than model at 2mmcf/d for T2 and a sketchy 2.5mmcf/d for T3 (sketchy as flowing pressure was not advised)
The RLEOAs then had no certainty as cash flow, plan B came out.
It is hard to believe RLE management would fail to budget accurately twice in a row.
To reiterate its my opinion that the lower than modelled flows underpin this capital raise. More than ever now the independent certification of reserves by DeGolyer and MacNaughton is KEY to the companies prospects. Trustworthy no bull proof that this part of the permit is commercial in short.