Now headed into dangerous territory here. Have raised money for yet more drilling, yet still no Offtake. Is this approach based on the Mitchell meeting with Molale? Govt has been dragging the whole CBM story for how many years now - words generally thought of as being cheap but in Tlou’s case, their words are becoming horrendously expensive. Cash burn is ok for a while, but for 9 years now ....
Planning to spend 5m this quarter - 3m on exploration and evaluation. How much more needs to be spent on E&E - no guidance given there. I, for one, thought enough wells had been drilled to be supplying gas for up to 10MW power generation. But that seems wrong now. So what exactly have we got to show for cash spent to date?
The update references ‘enhanced gas production rates’ couple of times - are we now being prepared for issues there?
Now the say the reserve certifiers ‘have indicated that drilling of production pods in a slightly different orientation to existing wells has the potential to enhance gas production rates’ - how much is ‘a slightly different orientation’ going to cost.
Nothing but problems and uncertainty here for the past while - paying the price for unbounded optimism previously. If 8 cents tested, problems problems problems
TOU Price at posting:
9.7¢ Sentiment: Hold Disclosure: Held
