10-16-2012, 11:52 PM
Honestly at this point I'm fine with giving the PNG govt a good deal...here is why...1) Even if we sell them another 28% at $1mcf that still puts a "value" on the whole project which in turn bumps ioc up to the 110-115 range. 2) as we all know on this board E/A is just the tip of the iceberg and the only two things that have kept ioc from drilling/exploring more rapidly has been Cash & Govt support. A sell down of any nature solves problem 1 & gives us enough cash to go develop our other prospects and a sell down in which the govt and People of PNG get a "good deal" helps drastically to solve problem two. Even Morgan Stanley said in their article yesterday that they believe people will soon stop valuing the "risk of PNG" and start valuing the assets of IOC. This goes to show you right there that a lot of the "lack of publicity" and probably one the strongest reasons for the large short position has much more todo with PNG then IOC