Sacca. So demand will rise because there is more supply. Must remember that one. Don't recall seeing that in any economics textbook though. I agree projects will be delayed or cancelled indefinitely. They will restart, especially fracking, when the oil price creeps up. Easiest to do with fracking due to the low start up costs and onshore. Next scheduled OPEC is June 2015. I dont see anything happening much beforehand. Lookout for an emergency meeting being called and pile all you have into oilers when the news breaks.
Will inevitably rise. It's a simple case of demand rising to the surplus supply. As projects are delayed and activity deferred and as consumers reaxct to the cheaper prices the price will slowly creep back up. Inevitable really! That being said its a slow process....2015 could be very xhallenging
Almost certainly dead cat and the fact lightly traded. Nothing has changed on the supply demand front and as we approach end of winter prices will fall further. Plus big threat to euro demand from Greece issues.
Funds have been put in place via Maquarie bank backed by warrants for shares, I believe for $30 million , which can be drawn down to fund the drilling and keep us afloat until the farm out completes. I do not think it will be required. I suspect signed this week before New Year deadline in any case. Perhaps Mr Biya has not been given his Xmas present in the brown paper bag as required to get the biro flowing.
The company has been planning how to respond if President Biya does not approve the sale by the year end. It recently extended the long stop deadline for completion of the farm-out a second time, to December 31 from October 31 while awaiting the decree.
What are the repercussions, does it negate other agreements?
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