HZN reverse TO of ROC, page-5

I'm a Horizon holder (Long). I agree that Horizon going it alone will mean they will need to fund Stanley Condensate on their own but with the tie up with ROC, I find it strange that ROC is considering a CR straight after.

Just looking at the snapshots of the companies cash position, on a combined basis, Cash is pretty much breakeven, when you account for the Osaka Gas Payment.

Both companies have a combined lending facility of $200M I think? If they are able to keep that level of debt facility, this would suffice in funding the Stanley Condensate Project. I think in 2012, I was reading a past analysis which quoted about $300M CAPEX for the project. Let budget $400M CAPEX for inflation and whatever else. HZN has a 30% stake in the project and after PNG Gvt back in, this would be more like 20%? So lets say @25%. this would mean HZN only needs $100M to fund the development. This leaves $100M contingency or to fund other projects. This doesn't include Free cashflows from production.

Also remember upon FID, possibly in 2016, HZN will get another $130m payment from Osaka. Lets also say the LNG plant will cost $600M for HZN share? Free Cash flow from the companies combined should be well over $150M a year (This one is a wild guess)? Add to that, some project financing and we should be in a solid position with no need to raise capital further.

Also, I am surprised that shareholders are being told information such as potential need to raise capital in a time when the Directors are promoting a merger.

"... it is the exact opposite of what I was told by the Roc Oil company employee who called me last week seeking to know my voting intentions at this week's EGM or EoGM.
He said that after the merger there would be an immediate need to raise funds to develop HZN's projects and he was about to say which projects and how much Capital they would need in the interim, but I interrupted and told him I will be voting FOR the "30% share placement limit" Resolution at the EGM thereby seeking to regain my owner's right to a vote in a any takeover of ROC which for some reason cut the conversation short."

I'm not just questioning what people are saying on this thread but also question what people are being told by employees on calls if this is true. I don't think they would be getting the CFO or Directors to be making calls so I am surprised this information would be told to admin level staff in the first place. Also, it is not surprising staff would be very nervous about this merger as they have their jobs at risk. If they are willing to break rules by informing shareholders over the phone of capital raisings in advance, they also have the ability to potentially lie.

Also many opposed to this merger seem to love the thought of where would HZN share holders be without this cash but the better way to see this is, where can the new ROC be in 12-18 months time.