Eshmun, the price of oil in USD (assuming a AUD of $0.75), would need to go below US $25 for over 12 months before DLS started to tread water profit wise. The entire sector would be massacred by then. I hope in such a situation, DLS would be buying up distressed assets with its $150+ million in cash. Long dated debt means it has the flexibility to buy into assets producing an income (assuming they are low cost). I wonder if STO has any nice assets they want to sell to DLS?? or ORG etc.
If the SP goes much lower, I might have to sell the car to buy some more. Unbelievable opportunity.
DLS Price at posting:
48.5¢ Sentiment: Buy Disclosure: Held
