AWE for the brave at heart

By Intelligent Investor · 20 Nov 1998

By Intelligent Investor ·
20 Nov 1998

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AWE Limited - AWE

Current price

$0.94 at 16:36 (09 May 2018)

Price at review

$0.32 at (20 November 1998)

All Prices are in AUD ($)

In the past we have deliberately steered clear of pure exploration and development companies but with Australian Worldwide Exploration, we'll make an exception. Why? Because we believe the next 6-12 months should see advances on a gas development project that has the potential to drive the stock well beyond its current price. The drilling will be largely appraisal in nature - designed to shore up existing expectations, not to establish whether there's anything there in the first place.

In Victorian waters there's a good chance that a new gas development based on the company's Kipper-Gummy-Manta gas fields could be developed. If a producible gas reserve is established (or 'proved up' to use the industry terminology), this project alone could be worth a multiple of the current share price. Further news should be released before Christmas.

AWE is a good opportunity for capital growth over the next year, but be warned - this type of activity is speculative and should be ACCUMULATED only by investor's looking for a punt.

IMPORTANT: Intelligent Investor is published by InvestSMART Financial Services Pty Limited AFSL 226435 (Licensee). Information is general financial product advice. You should consider your own personal objectives, financial situation and needs before making any investment decision and review the Product Disclosure Statement. InvestSMART Funds Management Limited (RE) is the responsible entity of various managed investment schemes and is a related party of the Licensee. The RE may own, buy or sell the shares suggested in this article simultaneous with, or following the release of this article. Any such transaction could affect the price of the share. All indications of performance returns are historical and cannot be relied upon as an indicator for future performance.

AWE for the brave at heart

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AWE for the brave at heart

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