It just looks like a numbers game to me, if as you say Pacific Energy end up with 30% then that makes a lot of sense because why else would they be interested in the long drawn out process of getting all three Bakrie projects plus Jambi into the black while still doing ongoing...development...existing...new...projects... Penola... Cooper Basin... Puga... Jambi... whatever diversification. New name is directed toward Indonesia so that's still the focus imv.
okay you say they know something we don't, well if that is the case I reckon it was worked out just prior to the massive increase in stock wanted at .001 put there so they could have a jump on DV and other .0015 issues because they knew the timeframes and the lack of income periods and issues coming. So in that context a lot more have to be sold at .001 before satisfaction is reached, OR a lot more have to be issued to get to the desired ownership percentage. Hence the consolidation before the next issue.
What makes me think this is the complete lack of cash flow forecasts for anything on the ground, = no faith in their own rate of development plans or very quiet on the way the company is going to earn income.
In effect, it seems that the options have the ability to jump over the consolidation without being diluted by it so long as the option is exercised after the consolidation. The issue of so many free options lately is quite a handout in that regard.
PAX Price at posting:
1.0¢ Sentiment: None Disclosure: Held
