Sydney Gas Director sells out as price plummets
Date: 26-Sep-08
Author: Peter Firminger
Sydney Gas Director Warren David Murphy (nominated to the board by Babcock & Brown) sold his entire holding of 500,000 shares for $156,523.72 (around $0.31 each) on 19 September 2008, following a closing price of $0.275 the previous day - the lowest SGL share price since April 2008.
The share price of Sydney Gas (SGL) continues to circle the drain on it's ever quickening journey down the gas-pipe.
In just under 4 months SGL has plummeted from $0.495 to $0.285. The worth of the company dropping from over 173 million to under 100 million dollars. In the past two weeks alone, they have lost around 24.5 million dollars in value, around 18% down.
It's only a matter of time now before the large stakeholders like the embattled Babcock & Brown and partner AGL Energy also decide to stop playing with this small-time outfit, the management of which simply can't work out that CSM extraction needs to be done on a large-scale away from the population rather than right next to rural villages.
The problem is specifically in the SGL business model and lack of leadership from the Executive as CSM operators in Queensland - where it is done correctly - continue to grow in strength.
Sydney Gas has, over 24 months, gained only 9% while Queensland Gas has grown 375% and Sunshine Gas is 929% up over the same period.
Update (2 Oct): Here is a chart over three years comparing Sydney Gas with Shunshine Gas and Queensland Gas. It's clearly not the industry or the market... it's this company! Furthermore, the price hasn't gone above 30c since Mr Murphy sold out.
Meanwhile the self-titled "region's premier gas producer" continues to underwhealm in the production of gas from their Camden operation.
Can't wait for the new SGL website, that may finally list Mark Harper as General Manager, though I suspect he's on AGL's payroll, which would explain why they haven't listed him on the website to date, nor informed the ASX of his position in the company.
Update (2 Oct): Mark obviously read this post and changed the expected date of the new website on their homepage to early October. How long does it take? It's been promised for months now, and this website has more content than theirs...
Update (9 Oct): Still waiting... while the share price circles the drain at 24c... yawn. "The site completion is due in mid September/early October/when the cows and children in Broke stop farting methane"
