what does mr market dislake about this share, page-7

Not sure ADE does want it.

Not the most usual thing to pre-ann merger, normally just presented as fait accompli.

We got cash over the odds, BPT get cheap controlling interest via the options which they pay nothing for, and they get a fully funded top class operator for their otway stuff via the SNE tie up.

I reckon BPT would have wanted to buy out 218 and 855 and have ADE just go on its way with a mountain of cash to develop other projects, they may have been willing to throw in SNE as well cause they are small beer now compared to what their doing in the cooper.

Our major shareholder prolly said piss off as it plain as day the multi billion potential of the nappamerri, but we need cash to keep funding development.

so the compromise is:

We get cash at a good rate given the value the market is putting on us, but BPT effectively get control and a cheap blocking stake in us via the options.

SNE is a side dish, quite a bit of work involved as lots of Joint Venturers and the otway to date is hardly setting the world on fire with production potential, and even if there is good shale there, while close to production facilities we will no doubt have the same enviromental concerns as QLD and NSW are currently experiencing.

On a more positive note the shale potential in the otway does seem quite good and I notice the media has changed it tune regarding the commerciality of the nappamerri. They seem to have gone from outright dismissing it to claiming it would be a good back up source for the CSG plays.

Eventually it will come to pass that the cooper is the main, and only viable game for the level of supply needed and the enviromental back lash against CSG along the coast.

All in all I am happy with deal as far as it keeps us viable and moving forward, but I really was expecting a much bigger pay day at this point.

A lot of risk has been taken for holders to get to this point and I dont feel commensurately rewarded - to date

As someone already said we do have a nice piece of security in place for the company on the downside but we have paid a price with some limitation on the upside.