Disclosure: I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from ShareProphets). I have no business relationship with any company whose stock is mentioned in this article.
When I considered PetroTal (PTAL) previously I was particularly focused on the net current asset position at the year-end (31st December 2019). Due to Covid19, the publication of the results to confirm the position has been delayed until mid-June, but my conclusion was a negative position with a very significant balance due to trade contractors. The company fessed up in March, it had agreed to manage the payment position with its contractors – effectively stating it did not have the cash to settle due accounts and was looking for further funding. With the field now shut in the cash flow will have stopped. This is clearly not good.
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