Far enough Auto. I have been averaging down this week with DLS. As you say, this may not be the bottom, but DLS has great assets and is actually exploring with potential success that can actually provide real value (unlike say BPT, who even though continues to explore, is just too big to be moved by small drilling successes), with one well coming up soon aiming for 50+ million barrels in place. Not often wells in the Cooper target such large structures these days.
I know you dislike the debt component that DLS has, but in the end its not going to mature for 3 years, in that time the USD/AUD rates could change dramatically. Also, DLS could simply refinance the entire convertible notes at perhaps 2-3% interest in USD, which would make the debt negligible, as long as they keep the same amount in cash earning interest, I see no real risk, with perhaps some merit in others seeing DLS cash as a possible way to bolster their own balance sheets if they have access to cheap debt (or even better, some currency hedging).
Agree about the gold stocks. Good way to hedge if things get nasty.
DLS Price at posting:
54.5¢ Sentiment: Buy Disclosure: Held