Maybe the reaction is muted as there is no incentive for existing holders to buy if you can participate in the SPP st 20% discount, it is in your interest to keep a lid on the share price to get more shares. Also as others have mentioned the overall market sentiment to oil/gas plays is smashed when you see even the big guns of the industry share price hammered and staying down. IMO if you are buying into OEX it has become more of a longer term play if you believe oil/gas prices will recover/stabilized in 6 to 12 months time. It maybe the reason RM is in no rush to embark on a drilling campaign immediately when the market is negative to this industry as a whole for now.
OEX Price at posting:
7.0¢ Sentiment: None Disclosure: Held
