So re my original statement, repeated below for clarity, no one is able to offer a counter argument...you must be disappointed
WTI oil of the type RRL produces is at $49.50, that is below $50, so I remain spot on in year 2.
Bid at .43p, so the decision to sell at .5p still spot on.
RRL receive $1 less than WTI and have to pay 18% additional of the total revenue per barrel at prices of $50 and above, so a slight tick up from here is an expensive .5$. Hence they had to do their b/e on G&A at $60.
LO now in total control of activities on the Island, a distant BOD for compliance etc.
Chen appears to have had a 12-month deal with SIBO, predominantly Sun’s money.
Assets disposal and Lind closed, leaving LO to concentrate on oil.
12 month terms requiring payment from now on, including the failed drills and the $2.5M outstanding from the original PO.
Finance year nearing close and probably managed so that debt liabilities just balance with cash, but exceed unrestricted cash, to avoid an Auditors, who are clearly complicit or incompetent judging by wider events.
Current drills not looking good if expectations are above 20 bopd a well.
Drills still standing idle
Seems that some have difficulty in acknowledging facts.
You do post some tosh Oma. Only YOU banged on about a merger with Trinity about a year ago when Trin's SP was 15p. It is now 2.75p because of their poor acreage
Now compare that with Range's SP compared with a year ago which is about the same now as it was then. A merger win Trin, which only ever existed withinin your seriously flawed imagination, would have been a disaster for Range.
Your prediction probably took into account your ludicrous suggestion that OP would be remain below $50 for a few years.
I hope for your sake you are only investing with monopoly money.
Let me explain as it is the same rules for RRL….it is quite simple, you can only reclaim your capital expenditure by reduced tax liability on production. You have to produce first, hence such a huge pot of money as oil has not been produced.
The $8M will be a refund of tax paid on production. Now check RRL’s accounts.
In RRL’s case they responded in the Q&A’s to say that they would not be producing enough to benefit from the enhanced fiscal regime within it current expiry window.( It may be extended) other operators primarily Touchstone, LGO and TRIN have benefited hence their costs per barrel are lower.
It was because of the tax benefits that TRIN was such an attractive M&A opportunity, which of course they missed and the $20M bond disappeared.
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