As promised some updated research hopefully others find it helpful and at the least informative
Market Cap at 0.8c is $8.8m Cash is $5m but $3m earmarked for imminent drilling so really cash is only $2m
Target based on next lowest Canning Player KEY whose market cap is $17m would be 1.6c GRK
Has the following assets
EP417 35% (NSE 65%) has outlined multi Tcf Shale potential based on drilling
Seven Lakes 50% (NSE 50%) adjacent to EP417 early stage when compared to EP417 but already targets of 500Bcf
Backreef 20% (OBL 80%) located next to the Blina Oil field which is the only producing oil/gas field in the Canning Basin so Backreef is near the "Sweet Spot" and also as can be seen from the image ample production infrastructure with the Erskine Oil terminal nearby so any discovery can be quickly monetized.
As for prospectivity of "Backreef" area
"The un-risked USG prospectivity assessment based upon only ‘one’ of ‘six ’ evident shales Backreef Area circa net 10 to 21TCF GIP potential Exploration Permit 5/07-8EP circa net 51 to 253 TCF GIP potential"
Too cheap and IMO a move to 1.5c would still make it the cheapest Canning Basin player. I have taken a position at 0.8c which I think is safe given the fact that the current capital raising is being done at 0.9c with a free out of the money option.
May need to churn through a bit of volume to get over 1c but 1.5c is my first target
I hope others find my research useful
GRK Price at posting:
0.8¢ Sentiment: Buy Disclosure: Held
