Wasa, I think we all know that VPE would like 100% of the oil fairway. To do this would require them to purchase ITC which could be via a cash and script purchase, or cash at a later date when they have maximised their CSG interests.
I would like it to be cash and VPE script because the inherent value of VPE is much much higher than what it is today. I don't mind waiting a year or two/three until the fairway gets proven up.
With that in mind, and remembering that VPE has only so much cash at the present time, then it would make sense for VPE to protect it's position re their ITC ambitions.
And so to stop any predator such as a Santos making a swoop on ITC, VPE have, as Mljet suggested, taken a 10.18% blocking stake. And that does make sense because both Santos and Beach are interested in this territory.
jmho.
ITC Price at posting:
6.0¢ Sentiment: Buy Disclosure: Held
