Gassed, so you reckon management's "plan" to which you have referred many times is actually to buy neighbouring leases that are held by production because the company's existing leases have insufficient P1 reserves to provide an asset base for debt funding of further drilling.
Interesting plan, since that would involve management knowing as early as the beginning of December the reserves report would come up dry on P1 reserves (actually probably a couple of months earlier, since they had already progressed to an offer to acquire those leases), because that's when they announced they would buy these new leases.
No wonder they've kept quiet about that plan, because that concept sounds a lot like those bundled assets called CDO's (bundling up a whole lot of rubbish mortgages with a few good ones and calling them AAA assets) that kicked off the GFC.
Oh I almost forgot, the guys who were responsible for CDO's moved on with all the money they made while everyone else was left holding the bag. I wonder who'll be left holding the bag here.
Cheers, Sharks.
AKK Price at posting:
0.6¢ Sentiment: None Disclosure: Not Held
