RE: RE: RE: amazing Hi Hound,
I must disagree with the options being an issue. It is my understanding that just like insiders have blackout periods so do companies when declaring options. Given the amount of news expected in the second half of the year this probably the time they had planned to do it and the market cannot be controlled.
Here is the thing. When AOI released Twiga news there was an expectation that the markets would like the news. From what I could gather from AOI, it was a complete shock that the market reacted the way it did and the company had no option but to do a PP. There was every intention of doing it higher. There is no doubt in my mind that AOI had thought that this Sabisa/Ngamia was good news and that the market would respond positively. I don't see anything wrong with the news and KH is a promoter so of course he will always be upbeat.
The fact is that the market disregards any company that doesn't have cash flow or pay dividends. AOI will continue to prove up what I believe will be a significant oil discovery. I am in, as I view this as a once in a lifetime opportunity. We are able to invest in a company that would be equivalent to holding all the North Sea acreage. Tullow has made a huge committment and has basically drilled 3 out of 3, excluding PaiPai as we really don't know what is there yet.
This market makes no sense right now. Has AOI done everything right, no, and neither would we. But this buying opportunity will not last in my opinion. Right now though the market for resources is tough. I am getting 8 - 10% on most of my dividend oil/gas stocks. The valuations do not make sense but what a great opportunity for some of us to accumulate.