Hunter.
Maybe the "good news' is that the fox has left the hen-house.
If you read the release, you will notice that the private placement was never funded. Why? Hmmmm.....
Other prospects have been proposed to the company, for the placement to be funded....someone still wants to do the placement!
Do you think management would have signed these options, if they did not have other sources of funding available? I don't. The best thing right now is not to panic! I know that is tough looking at the bid and the volume! BUT.....someome still bought a lot of stock today!
So, the question is why? If the company were to get these properties, what do you think would happen to the stock? I, for one think it would move higher, even with a reverse.
The company needs money to fund operations, and producing properties are the key. Reread the release about the options. They state that the properties are producing 1500 bopd, with a "Substantial" short and medium increase in rates possible. What does the word substantial mean? 3,000 bopd? 4,000....5,000 ? This is what Steve Jacobs does best.....delineate properties! Also it is stated that "significant" recoverable reserves remain to be produced. What does the word significant mean?
Also, in the release of March 9, it is stated that the company is carrying on discussions with a company which has expressed an interest in the Ngurit gas discovery. ' There are a lot of logs on the fire, so we have to see what happens. Someone got out of a large position today.....Might that have been DR?
I am not trying to be a cheerleader here, but I think this company is worth a lot more than 12 cents. After the smoke clears, and you think of the positive things on the table, I think you might realize the stampede out of the stock is unreasonable. All the bad news has been aired. "Good News" will go a long way from here!
Pete |
