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"Conclusion

The forecast indicates that there will be a cash deficit from July 2024. To manage this the directors mitigating actions include cutting discretionary expenditure and deferring creditor payments until funding across the business at an asset, subsidiary or Group level are successful, however, it also acknowledges that this short term funding is not, at the present time, in place....

....Based on feedback from ongoing financing discussions, the Directors have made a judgement that the necessary funds to adequately finance the Group's obligations will be secured and that the Group will continue to realise its assets and discharge its liabilities in the normal course of business."

Does this mean a placing with HNW and groups?

Either way, the financial situation has effectively killed off sentiment, because buying or holding now does feel like you are walking the placing tightrope, and the sword could fall at any time in the coming weeks. Having issued these statements, if they have no intention to raise before Anchois, then it's down to the BOD to confirm that. Otherwise, it's very much a risk or likelihood reading that. All imho and dyor

That's basically what we all need to consider. We are, after all, here for the ultimate purpose of making some money. The company will be drilling and testing in about 6 weeks' time. At the moment, the shares are trading dirt cheap because of the inevitable placing. It was always going to be heavily discounted.

Not anticipating this placing was the first mistake - if you made that mistake. The second mistake will be to spend all your time moaning about the first, and not spotting the opportunity currently in front of you. Basically, taking your eye off the ball. You will soon be moaning about not buying earlier.

In no short time, this placing will be consigned to history and barely get a mention. Just like the previous placing was also forgotten about it - and that one was far, far worse than this. Instead, the talk will soon turn to the upcoming drill and EWT, and the sentiment will soon change, as the share price is likely to rise once again into these events.

This is AIM. It is the wicked wild west. By all means participate in bb discussion and moan if you want. But also have your wits about you and make the right buy/sell decisions. That's more important than chest bumping rage on here. You don't have to like the company or its BOD in order to make money from it.

I can't stand this BOD, but this share is one that if you approach it correctly, will make you a money. It has a massive following and this BB is testimony to that. Look how many trades there were today as well. We have seen this often with He1, and time after time. It will be the same now going forwards. All imo and GLA

The problem is that by referring to only having enough cash to cover costs until July, it would be somewhat risky and almost reckless not to raise now. They won’t be getting any cash from Energean until long after drilling and results. So unless they have asset sale on the near term agenda, then they have to raise whether they want to or not. Unless Energean are legally bound to a strict timetable under the terms of the partnership deal? Does anyone know if they are?

Yes, that's what I think. It will be seen as very cheap at these levels and a lot of the placing overhang will go. By next week, most will start to forget about the placing as well. Then it will be ramp fest all the way to the drilling and the EWT.

There were plenty of warnings that a placing was coming up. Folk duped themselves into thinking otherwise.

Forget trying to work out the fundamentals and the geological results, because you more than likely won't be able to decipher wth is going on. There is too much grey and very little black and white when it comes to HE1 (and its neighbour NHE). Just trade it for better or for worse.

Boy she looked very uncomfortable - almost as if she is reluctantly forced to come out and defend the indefensible. But still, the company has a massive following and there is always money to be made (and lost) in it. Which is all we should care about really.

Let's see what the price does tomorrow. You can certainly make a case for it going back to 1p in the coming weeks.

Strong buying support after the sell on news brigade. Probably HE1 also had a part to play.

But having cleared these sellers, we can look to resume the rise in the coming days and weeks. The Scoping Study was certainly worth waiting for and then some. $19 million capex is ridiculously cheap. Risk to reward here is very high.

They will do well to raise anywhere near 7p when the share price is in the 6s. Only way that happens is if they have a insti or HNW lined up to take the shares. All depends on how much cash they need/want pending the decisions by Energean.

When you look at the financial implications of doing so, what was the point of drilling onshore so close to Anchois?

They surely can't and won't take the risk of waiting on Energean. They will have to raise beforehand as there are no guarantees with Energean, or the outcome of the drill. It would be financially very reckless to wait on a contingency and the outcome of a drill to secure the company's financial future.

And what kind of look is this for Energean - they will surely go in for the kill by playing the slow game?

It's the clear likelihood of a low ball placing that is going to kill sentiment and any share price rise with it for this upcoming drill. Unless they expressly rule it out, which they probably won't if they do need the cash by July?

I took some first thing in the morning, and then added. Not sure it will fall back into the 0.5s, but have left lots of powder dry in case it does. It's only 6 weeks or so until they start operations. So a relatively quick swing trade back to 1p?

"We are on track to commence the EWT early in Q3 and have commenced the mobilisation of equipment required to perform this work. The rig is currently hot stacked on the Itumbula West-1 well pad, where the well has been cased and suspended and to enable a quick re-entry. We plan to deepen the well by a further 100m-150m to intersect more fractures within the shallow section of Basement, prior to commencing the important phase of testing."

They are moving very quick. Will be operational again next month. First re-entering and drilling, followed by the EWT. I've bought back in here on this placing, as I said I would do, and will look to add. 1.5 billion shares traded already, suggest that there isn't going to be much time to get in at cheaper levels, given the rate at which this placing overhang is being taken up.

Once a clear level develops on the chart, can see this moving back up very quickly. Only 6 weeks left, which is nothing at all really. All imo and GLA

They have had $29 million in the last year alone. The company is a big cash drain for sure. Unless they already know what Energean's intentions are, it does look like there is at least one more raise left in this. After which it will depend on the Anchois results. I too was disappointed not to learn more about the Strategic Review. There will be no cash left by the time they finish it.

Great interview, I was thinking about divis and growth through new projects and then DM must have read my mind, because he came out with: "Dividends and new projects on the horizon..." Targeting first production in 2025 and already in discussion with financiers.

Probably knows the other projects have run their ramping course, and she can no longer credibly bang the drum on them. So why not get a new project, a more conventional one, and keep the lifestyle operation going is probably the thinking here. All imho and dyor

Little bit of a tree shake? Going to get them on the way up I guess due to the small free float.

Capex of only $19 million.

Fantastic results from the scoping study. Onwards and upwards for Hex. GLA

Just curious why Noble are going for an appraisal well and HE1 are going a EWT. Can anyone shed light on this please or if it’s already been explained then direct me to where. Thanks