LNG 25.5% 29.5¢ liquefied natural gas limited

Edison's latest report lowers valuation by 30% thanks to our...

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    Edison's latest report lowers valuation by 30% thanks to our reduced SPA pricing which now appears to be public knowledge. Not a particularly pretty picture but I am at least slightly buoyed by the comments they lsited as follows.

    US-China trade talks have added an element of uncertainty to the signature of offtake agreements for Magnolia. China’s decision to increase import tariffs on US LNG from 10% to 25% will probably have minimal impact in the short term, other than being negative for investor sentiment. We believe that China’s retaliatory increase in LNG import tariff announced in May 2019 is likely to be temporary, as it will ultimately lead to higher gas prices for Chinese domestic consumers as the global LNG market swings towards a supply deficit.

    What is next for the Red Ant? Clearly they are waiting to see what happens in the G20 if indeed Trump and Xi meet up. Nothing official as yet though however if they do, one would think that talks would then recommence with a possible holding off on increasing tariffs. Better than where things sit at present anyway but will it do anything for our SP? Who knows.
    I see one or two of our regular posters have sold out and can't say I blame them however we all have our own reasons for holding on or not. I'm down deep into the six figure mark but I can't see the point of selling at rock bottom prices and crystallising my losses in the hope of making some back somewhere else. I haven't come this far to miss out on a reversal when Trump next tweets. It can be something as simple as that that changes investor sentiment.
    We are all dreading the next cap raise but our SP will need to be much higher or management will be lynched. IDG and Baupost won't tolerate being diluted into oblivion so what form will it take? Share placement, rights issue or maybe a loan of some sort? Either way, funds will be raised, we will not go bust as some have alluded to as the big shareholders will never allow that to happen. Is a takeover a possibility? Can't see why not at a market cap of a comparatively lousy USD106m, fully permitted and shovel ready. Depends on what price the big boys would be happy to sell and get rid of this headache. Even more frustrating is when I look at Tellurian which went up by another 9.3% overnight to USD8.00 for a market cap of USD2.148B! 20 times our market cap with half the number of shares on issue!!! If those figures don't make you bang your head against the wall like I do every day then I don't know what will. I never would have thought we would be in this disastrous position at this time of the Company's history and again Tellurian draws the inevitable comparison and it's only about 3 and a half years old!
    Mike Mott pulled a rabbit out of the hat by securing IDG almost a year ago and those funds have now been chewed through yet we still don't have a single customer but plenty of employees doing god knows what. A bit like the episode of Yes Minister where they couldn't afford to open the new hospital for patients because they had too many admin staff to support. Not really a great selling point to raise more money is it? I can only pray that the hat has another rabbit still inside. It'll need to be a fu**ing big one.

 
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Last
29.5¢
Change
0.060(25.5%)
Mkt cap ! $135.3M
Open High Low Value Volume
23.5¢ 29.5¢ 23.5¢ $1.787M 6.662M

Buyers (Bids)

No. Vol. Price($)
3 81725 29.5¢
 

Sellers (Offers)

Price($) Vol. No.
30.0¢ 273390 11
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Last update - 16.10pm 22/07/2019 (20 minute delay) ?
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Last
29.5¢
  Change
0.060 ( 26.8 %)
Open High Low Volume
23.5¢ 29.5¢ 23.5¢ 1737969
Last updated 15.59pm 22/07/2019 (live) ?
LNG (ASX) Chart
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