IOC Has A Deal to Sell Elk/Antelope Gas Fields, Just A Matter of When & Price Per 1,000 Cubic Feet
We know the final and binding bids are in. We know the PNG Prime Minister O'Neil was accompanied by PNG Oil Minister Duma when they met with Japan's Prime Minster last week. PM O'Neil gave assurances to Japan's PM that "the second LNG project (IOC's Elk & Antelope certified gas fields) would be brought to production, thus removing political risk. Also shows that Duma works for O'Neill and will cooperate thus further removing political risk. We know that this week IOC received $55,000,000 from a South American gas and oil company to buy in for 10% of an uncertifield IOC gas field.. The price paid by this company per 1,000 cubic feet of gas was $2.85. Elk and Antelope natural gas fields are certified. IOC will receive a good price.
There are over 14,000,000 shares short. Everyone of those shares represent a share that needs to be purchased to close the short's position. Think what will happen to the share price then. IOC will announce the purchase of Elk/Antelope most probably by an early morning press release. Shorts are trapped.