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Gold/Mining/Energy : Big Dog's Boom Boom Room -- Ignore unavailable to you. Want to Upgrade?

To: DELT1970 who wrote (181363)	11/17/2013 2:28:06 PM
From: Ed Ajootian	Respond to of 206326

Delt, EnerJex (ENRJ) -- I was initially disappointed to see that they only have gotten 3 of these re-entries done at this point, given that they supposedly got a rig out there within days of the merger closing (which was on 9/30). But the more I thought of it, I'm actually happy that they are taking their time with these first few projects. Given the lackluster results they've been getting in Kansas, the fate of the whole company is riding on this Adena Field and they just don't have any margin for error here and don't have the luxury of working their way up a learning curve -- they have to get it right from the beginning. Also, if it turns out that they are doing something sub-optimally in these first few re-entries (which might not become apparent until the wells have been producing for a month or 2), by doing only a few initially they will not have repeated the error too many times. If things are going well in the field, maybe we'll see some management/directors buy some stock, or maybe even the Company itself. As far as I can tell this latest amendment to their bank line did not alter the prior allowance for something like $2M in stock buybacks.