LNC - Linc Energy

[cruise61]

Announcement out:

XINWEN RECONFIRMS PROGRESS ON PURCHASE OF EMERALD “TERESA” COAL TENEMENTS
Following meetings this week with the Xinwen Mining Group Ltd of China (“Xinwen”) in Beijing, Linc Energy (ASX : LNC) confirms that the Xinwen Board has approved the purchase of Linc Energy’s Emerald “Teresa” coal tenements. This approval follows successful completion of the due diligence process.
Further, the companies have agreed to an extension of the Heads of Agreement prior to the completion of AU$1.5 billion transaction whilst Xinwen obtain Chinese regulatory approval to enter into the formal contract.
Linc Energy also confirms that throughout the due diligence period and during this extension period, the Company’s drilling program on the Emerald “Teresa” tenements is continuing so as to further define and expand the coal deposit. (Please refer to the attached photographs of drilling activities at Emerald)
For further information about the sale of the Emerald “Teresa” coal tenements, please contact Peter Bond.

Are you serious??

On 15th senior official from Xinwen says nothing is set.

On 16th Peter Bond says there is??

If your smart you will listen to the man with the money not the man without the money waiting.

My view is ,dont throw money into an empty pot because someone says it will grow, wait till the person whos gonna fill the pot does.

Goodluck

 

[basilio]

Well Linc is not looking that flash today. Down to 3.10 in what is an otherwise rising market.

By the way is the pilot plant actually producing diesel fuel? Came across an interesting comment on another site which pointed out the release talked about "liquids" . The release then showed a picture with a car next to a Linc bowser which is there to suggest the fuels are able to go straight into a car.

But perhaps the plant is still one or more steps away from coal to car ?

Having a dynamic, driven CEO like Peter Bond does keep up the excitement and the share price. But there also needs to be an honest reality behind the story.

 

[Pigsy]

On a day where everything couldn't help but rise, LNC is 5% down and touched $3.00. Lucky it just didn't tank from there as there's a lot of vultures hanging around at that price. Has LNC run out of puff?

 

[korrupt_1]

LNC's poor performance could be because oil prices are going down and the expectation that it could hit $50/barrel in a few months. Not so good if it costs $28 to produce from coal.

I sold out half of my holdings in LNC a few days ago... looking to buy some back tentatively if and when it gets back to support at around $2.50

 

[basilio]

LINC's oil market is in 3 years time. The current collapse in oil prices is the unwinding of much speculation and the crunch of a collapsing world economy. But oil is running out rapidly and in a very short period of time falling supply will meet lower demand. But then the supply will still fall while demand tries to rise...

Linc could have an excellent window of opportunity to develop its infrastructure more cheaply in the last stages of this crunch. I think the concern of the market is the dragging out of the Xinwen coal purchase and perhaps queries on the exact nature of the liquids coming out of Chincilla.

 

[bloubul]

LINC's oil market is in 3 years time. The current collapse in oil prices is the unwinding of much speculation and the crunch of a collapsing world economy. But oil is running out rapidly and in a very short period of time falling supply will meet lower demand. But then the supply will still fall while demand tries to rise...

Linc could have an excellent window of opportunity to develop its infrastructure more cheaply in the last stages of this crunch. I think the concern of the market is the dragging out of the Xinwen coal purchase and perhaps queries on the exact nature of the liquids coming out of Chincilla.

I agree with your first comment re Linc's market in 3 years time.

There's been a few comment now made re the nature of liquids produced at Chinchilla. The main objective was to get liquids produced and over the next 3 months or so get the catlyst reaction fine-tuned as to maximize the quality of the liquids. One must keep in mind this is the "proto-type" for the commercial plant and I would be more concerned in 3-4 months time if results of ongoing tests are not released to the market. Patience is the key here... LNC has only started producing liquids 2 weeks ago.

Cheers

 

[basilio]

There's been a few comment now made re the nature of liquids produced at Chinchilla. The main objective was to get liquids produced and over the next 3 months or so get the catlyst reaction fine-tuned as to maximize the quality of the liquids. One must keep in mind this is the "proto-type" for the commercial plant and I would be more concerned in 3-4 months time if results of ongoing tests are not released to the market. Patience is the key here... LNC has only started producing liquids 2 weeks ago

Very good point bloubel. As you say makes perfect sense given the prototype nature of plant.

I'd say this has been overlooked in the presentation of the plants progress. I suppose we all want to see everything now and clear where the reality is that new production processes have to be refined as a matter of course.

 

[Mickel]

LNC's poor performance could be because oil prices are going down and the expectation that it could hit $50/barrel in a few months. Not so good if it costs $28 to produce from coal.

I sold out half of my holdings in LNC a few days ago... looking to buy some back tentatively if and when it gets back to support at around $2.50

Oil prices are still falling- down to USD $65pb- so you may get your chance to buy back in Korrupt. LNC currently around $2.56 after low earlier today of $2.52.

The s/p is becoming very attractive to die hard supporters. I am considering buying more myself.

 

[ca1987]

Very unerving (i think that is the correct word) though.

you would be cheering if you day traded all the way up to $5, can just start from scratch now!

 

[Tweaksta]

$2.25 - wow great price to buy.....but a little bit disturbing for those who bought in at $4 or more (like me perhaps!)

Getting smashed today - aaarghhhhh!

It's such a mental battle at the moment. Sometimes I feel like capitulating. Must stay strong.
Must stay strong.
Must stay strong.
Must stay strong.
Must stay strong.

 

[cruise61]

$2.25 - wow great price to buy.....but a little bit disturbing for those who bought in at $4 or more (like me perhaps!)

Getting smashed today - aaarghhhhh!

It's such a mental battle at the moment. Sometimes I feel like capitulating. Must stay strong.
Must stay strong.
Must stay strong.
Must stay strong.
Must stay strong.

And still i dont think its the bottom for today

maybe 2.15 lets see will be an interesting day for all shares

 

[joestjack]

And still i dont think its the bottom for today

maybe 2.15 lets see will be an interesting day for all shares

At these prices, surely common sense has to prevail and see people buying up.

If I had spare cash I know I would.

It's amazing that it built up to over $5 in anticpation of liquids production, and now they've done that it's done almost nothing but fall.

 

[Pigsy]

$2.25 - wow great price to buy.....but a little bit disturbing for those who bought in at $4 or more (like me perhaps!)

Getting smashed today - aaarghhhhh!

It's such a mental battle at the moment. Sometimes I feel like capitulating. Must stay strong.
Must stay strong.
Must stay strong.
Must stay strong.
Must stay strong.

Yep must stay strong!

Check out the market depth. There's a lot holding for higher prices in the $3.50+ range, and they're only the open orders we can see there'd have to be heaps more conditional orders on hold at those higher prices.

Remember the chooks fly the coop early in the day (selling) and come home to roost at night (buying). There's a lot of day traders looking for the quick buck in this market so I guess the volatility on LNC is going to remain.

Probably the worst thing for LNC was moving into the ASX200 now it has a much higher profile, it's easy pickings for the one day warriors. Guess we should be lucky there's no short selling currently as it might be hammered further.

 

[korrupt_1]

Guess we should be lucky there's no short selling currently as it might be hammered further.

i don't think it would matter much.... shorters will HAVE TO BUY BACK eventually to square off their position. covering their shorts will cause LNC to go back up. It's all fun and games.

 

[Miner]

Where is Grace ?

She has put LNC in stock competition and got an overwhelming first prize win. What a lucky guess.

Would be interested to see comments from her (assuming the right gender) on LNC perspective

 

[awg]

apart from any other factor, one good reason Linc SP has been smashed is the obvious absence of any dividend payments in the near future.

in my portfolio at least, i have noticed the good div payers have fared much better than the small div payers, non div the worst

 

[Glen48]

When OIL gets to $50 a barrel what will LNC be worth then maybe a name change to Stink?
I am just watching my money go down the plug hole and could buy back in at about $1.50
Go a bit in ORG who seem to be holding...

 

[grace]

Where is Grace ?

She has put LNC in stock competition and got an overwhelming first prize win. What a lucky guess.

Would be interested to see comments from her (assuming the right gender) on LNC perspective

Gender correct Miner (not many females on this forum, but I am certainly one of them).

Chart not looking flash at all. Broke through significant resistance there at $3 I thought. I free carried my Linc holding a little while ago, but it still hurts nonetheless.

I've been a believer for a long time, and still am.

Mexican is full of good advice by the way. How are you going Mexican? Still hanging in there?

 

[mexican]

Yes Grace still here.
Just waiting for that smoke screen to clear. Pretty thick at the moment!
Another week and we should know if the China deal goes through. That should get the ball rolling again.
If they pull out................hang on to your hat!

 

[basilio]

Another perspective.

It is disheartening to see our "beloved' Linc fall more 50% from its heights. Then I look at the rest of the market and see far larger percentage falls in companies that are already producing excellent great value resources, are giving a current dividend AND making announcements on resource finds that at any other time would see the stock soar.

For instance KZl (Kagara) has dropped from $6.90 to $1.01 this year, is yielding 11% and has just announced some great Nickel discoveries.

The current market situation is unlike anything we have seen in living memory. The destruction of trillions of dollars of value in paper transactions has attacked the foundations of the real economy - physical resources, worthwhile goods and services. And most clear eyed analysts would say the damage has just begun.

Hopefully Linc is one of the real companies that does survive and prosper because it's product is so fundamentally essential to our survival.