There are an interesting mix of positives and negatives in the background of this announcement- I am slightly leaning towards the positive given more positive results i.e High modelled reservoir temperatures validated around 240C at 4,500m
I mean this is as good as can be expected from the modelling. The dampener is the Govt "delay" of the ETS and as you mention the selling that has occurred recently (hopefully that is just a response to the ETS news along with a quiet period waiting for news from AGL)
On the other hand while TEY is not producing the ETS will only have an indirect effect on TEY and there is a strong possibility that the Govt will offer alternative measures to support the alternative energy sector
In any case all the signs indicate that TEY has some great resources. Just hope AGL thinks now is the time to move forward and get some deeper drilling.
Just my thoughts.
Cheers, Pete
TEY Price at posting:
18.6¢ Sentiment: LT Buy Disclosure: Not Held
