RE: RE: IMO, AOI is down because ...AOI / Lundin deal took 11 weeks for Kenya Government / TSX approval. AOI / LEO farm in deal was announced 10 weeks ago. i'm assuming that farm in will be finalized this week or next.
i think the drop in both is just weak hands bailing because they see the drilling has started yet neither company has announced it. freakin out because they think something could be wrong.
in think its far from that. CNOOC is the operator and calls the shots. AOI cant PR the spudding until CNOOC notifies them to do so. Not a high priority for CNOOC. They dont care about AOI or LEO, just that they get the cash from both to cover a disproportionate cost of drilling. LEO cant issue a PR until TSX / Kenyans approve the deal. I dont see any reason why they wont, it just takes time. 11 weeks if we look at a recent example with the same regulatory hoops to jump through (AOI / Lundin deal)
all will be well in a week or two. LEO will get approval. CNOOC will notify AOI. news will get dissimated. stock prices will see a nice jump.
patience.
ggup