RE:Judgment DayRadcat,
I don't read the PR the same was as you do. I read it as stating that the appraisal drilling program should be completed by the end of April which would then put the Company in a good position to make a determination about the future in Thailand (sometime later).
Either way, an update on the appraisal drilling results should be coming soon.
It is interesting that you prefer they keep L-53 and invest further in Thailand. Do you think such an investment would provide strong returns or otherwise stimulate investor interest?
Personally, I prefer the Company sell L-53 or operate it for cash returns and return the cash to shareholders. Jeff and the team have sold assets in Thailand before at what seemed to be a very strong price and I would love for them to pull the return forward by selling here over the next six to twelve months with a strong oil price in the background.
As for further investment, I have no great sense of the capital returns that the Company is earning in Thailand and no real interest in them trying again. I would also point out that while the royalty rate charged is not very high, the 50% tax rate effectively means that the private company puts up all the capital, takes all the risk and keeps only 50% of the profit. I don't find those terms to be overly favorable.
Steve