Carnarvon’s Sep Q drilling and corporate costs were in line with the broker’s expectation. Following the company’s recent capital raising it should be well funded to progress the Dorado prospect through to completion of front-end engineering & design (FEED).
Since the quarter-end, strong flow test results for Caley have provided a positive. The broker retains Outperform and a 50c target.
Target price is $0.50.Current Price is $0.42. Difference: $0.08 – (brackets indicate current price is over target). If CVN meets the Macquarie target it will return approximately 16% (excluding dividends, fees and charges – negative figures indicate an expected loss).