Horizon Oil

[boysy]

Stright out of the horses mouth in a march presentation.

Funding Position

Near term funding requirements

US$10 million related to:

- Maari development costs March 2009 to June 2009 until self funding –US$7 million

- Pre-development expenditure – Block 22/12 and Stanley – US$2.3 million
US$19.25 million BOSI corporate facility repayable 30 June 2009

Funding sources

Proceeds of sale of 25 – 50 % slice of PNG assets – sales process underway

Re-financing of US$19.25 million BOSI corporate facility

New equity, to the extent required

so basically they will hit up shareholders the ammount depending how much they can get for selling some of PNG assets.

[shasta]

Any more Fundamental thoughts on HZN, updates, hows the cash situation?

Placement? capital raising? , Pretty close to technical support, faint signs of life building.

Major shareholder selling down

Financing Arrangements
http://www.stocknessmonster.com/news...E=ASX&N=209385

SPP Proposed (Heavy Dillution coming up)
http://www.stocknessmonster.com/news...E=ASX&N=209383

But for you AA, plenty of volatility ahead

[shasta]

Thanks Shasta, so there should be a floor of around 10c with enough cash in bank afterwards?

Whos buying above 10c and why?

I guess alot about HZN applies to CUE regarding Maari?

NZO is my O&G play, i may look at LMP (for CSG), or LNC (for UCG/GTL).

As for HZN, it's off my radar.

I'm picking the next major upswing in oil will be around the same time Uranium (U308) picks up again (2010?).

[shasta]

Ill keep an eye on it, Theres a 50% gain just between 10c and 15c and thats before the point that any Technical action would occur.

If they can raise the capital, I would be more than happy to be a buyer at 10c at this stage.

I think this is going to break out into a Up Trend.

AA

Just be mindful that any increased volume could well be the overhang of the extra shares.

[Crypto Crude]

fundamentals...?

HZN will earn full year EBITDA of $75-80 million AUS dollars at these prices......
it is safe to say that even at these low oil prices, HZN is a future cash cow...
remember the earnings stream is for the long long long term, with costs upfront...
mate... you could package up the future revenue stream, and sell it to pensioners as some sort of CDO...

HZN will get to 50cps on Maari, manaia, and Stanley alone...
it might take a good few years to pay the debt down, grow cash, and see the other side... it will happen...
good things take time...
re-rate could happen at any time...

.^sc

[mark100]

They don't seem to have placed a limit on the amount of money than can be raised from the SPP. Each holder will be entitled to purchase $10,000 of shares at 10c in the SPP, subject to approval at an EGM. There were over 4000 shareholders according to the last annual report and there were lots of people like me on the 14 April buying small $500 parcels on multiple accounts to gain entitlement to the SPP (a bit like buying a call option).

If say 2000 shareholders apply for the SPP there is a potential $20m of new capital in addition to the placement.

Lots of dilution but would also fix up the debt problem to a large extent. Without a debt issue you would have to think a bounce to at least 15c is possible once the overhang of new shares is cleared.

[croesus]

Seems Interesting... when does this window of opportunity end.. Thanks.
CUE TEX PPP WID HGD

[mark100]

Hi Mark100, you must feel fairly confident in the future outlook if you are using multiple accounts to obtain a significant holding, How and why does HZN stand out from the others in the sector, and what has particularly caught your eye, were you a holder prior to the SPP are you increasing your over all holding at these levels and whats your investment time frame.

AA, never held before but have watched a bit. Just jumped in for the SPP because of the potential price discount. If I can get 12c or better I will probably dump. Thats 20% gain for doing not much. Although if everyone has the same plan I may have to wait a few days/weeks. Can't see much downside below 10c in the near term since they have reduced the debt.

Croesus, the record date has now passed. You had to be on the books by 20 Apr which meant buying on or before 14 April.

[croesus]

thanks Mark, currently not a holder.. and have been away a bit so that one flew under the Radar... will keep an eye on them in future......

[shasta]

Im also interested that there is twice the amount of Buyers to Sellers in the Depth and volume is increasing.

I Don't understand how the over hang can increase the amount of buyers at a particular level, can you explain how that works?

Ill tread carefully and just watch for a bit.

I'd imagine its more the opposite, the HZN fans are buying up now to get there cheaper entitlement.

But the extra dillution will mean, many holders selling down now, to buy more under the rights issue (at a cheaper price).

Kind of a false volume spike if you will, & more akin to musical chairs...

But, it has the kind of volatility you like!