Agreed Oily.
But it wouldn't be for exploration, as the Tas oil website states, they are going straight to drilling.
As has been touted before, they have apparently spent $50mill in Exploration and have the Targets ready to be drilled. LOL...
This could be done as you state or confirmation from the Drillers that they have been paid a retainer and that the funds are in Solicitors accounts ready for payment on completion. I don't think they would be able to contract any other driller in Australia otherwise considering the last debacle. It is a more favourable time now to find drillers, as they are currently in a slump due to the current oil price as opposed to US$147.27 it reached on July 11, 2008 which caused a flurry of drilling everywhere and impossible to find Rigs. Then on Sep 11, 2008 Hunt Energy Drill Rig Arrives for preparations in Tasmania to Drill Bellevue #1. On December 23, 2008, WTI crude oil spot price fell to US$30.28 a barrel because of the GFC which is around when the problems began with Smart Win. No wonder why they got scared and reneged on EEGC and tried to take a larger share of EEGC by bending management over a barrel.
Having hindsight, Mal probably should of accepted the cucumber.
You know, an old Greek saying, some people eat a cucumber and feel refreshed while others eat it and feel pain. Get my drift.
Junior oil explorers though in Aus just before they are ready to drill, do a Capital raising. This is why I have a problem with the State Gov's comment.
The State gov's decision to even entertain awarding to an entity involving EEGC again, I believe comes from the Many Tasmanians who want closure and just want the 2 bloody wells drilled. If there is nothing there, every body can just move on.
If they have no intention of stumping up cash up front and are relying on a cap raising after the area is awarded, then maybe a more simpler solution here would be that the Tas Gov awards the licence but stays intimately involved with full Fiduciary powers to control any funds raised via a capital raising and ensure that the bloody wells are drilled.
H.
