I'm not sure I'd worry about the terms being adjusted, Ariana are in a strong position with no need to sell and with the strengthening of gold prices both now and on an outlook basis, if anything Ariana should be changing the terms of the deal in their favour.
I actually sold this morning, as I'm a bit concerned about the Covid-19 situation in Turkey which is escalating and could see production impacts. I'm aware this means I could miss out on a strong rise due to the corporate action but I had good gains to lock in.
More significantly, junior gold stocks fell with the overall market, while gold has reached new highs - junior miners are starting to fly now and buck the market trend, while still being someway off their pre-slump prices.
Nothing wrong with the TW figure, the point is that you cannot add the £514k debtors onto the £808k revenue figure - it is already included in the revenue figure. Revenue was £808k not £1.3million as claimed.
Tony is right - Russian production costs are sub $20, split around 50/50 capex and opex, lifting costs are something around $8per barrel. Saudi, Kuwait and Iraq are sub $10, UAE and Iran are around $12.
Alternative view is that this is a business with no cash flow and has a high yield bond imminently due. At the same time global markets are in flight, oil has slumped, liquidity is drying and risk is off the table.
There will be very few if any suitors for this project in the current climate - the North Sea was already the preserve of juniors and mid caps, many of who themselves are facing solvency crises. Anyone that is interested can see I3E is in a perilous state and can lowball any offer.
I’d be really surprised if I3E survives this current downturn - if it does it will also certainly be with massive dilution in a debt to equity swap it by surrendering a large portion of its assets in a farm down.
Regardless of your views on the recent fundraising, as things stand today UJO can just ride out the market volatility sat on plenty of cash, with no likelihood of a cash call needed anytime soon. Thats a much better situation to be in than a large number of AIM stocks.
Not interested in the daily fluctuations here - this will all become interesting in Q2 as operations restart