conger and bonkers can agree/disagree as appropriate as to what is support etc, but I will state for the record that when consolidation is announced I will be selling up, OEX ain't doing a $7m raising without it, so after consolidation (new money) support will plummet thru 40's old money). It's also blatantly obvious there will be a raising if they intend to drill, $5m from now till a year hence won't go far and that's without thinking about a well
"Drilling of the proposed well remains subject to final cost estimates and necessary funding, however it is anticipated that drilling operations will occur in 1H 2017 with EP-IV stimulation to follow some months later."
@ guod - Yes and no mate :) We'd all like some great news here to push away from this 40s level once and for all but unfortunately we didn't get it but despite that, she's still here at 40s which really underlines the support here at this level.
The only way I see this dropping through 40s again is if they have to do a cash call to fund future work and obviously I can't account for that ...
Speaking for myself bailing out is not really an option, so it's sit tight for the magical mystery tour.. What I still find unconscionable is that the company have lead us all up the garden path, and are now simply prepared to paper over the last couple of years as if they never existed. I hope the luxury yacht Ron bought has got woodworm (below the waterline)
The only plus side to this is that is their accounting policies have caused this debit write down, so they might still be paid, but personally I have argued this successfully with auditors many times in the past and won keeping old debtors asset in the balance sheets. For instance GSPC is government owned so its financial position is irrelevant for writing down purposes. With Bolton being a new CFO at Oilex he has no ownership of this debt though so it is risk free for him to write it off in his position I may have done the same.
I also find their audit fees OTT, near $200k of audit fees on $450k of income, which makes me think their records are a mess.
The then is the the cost of sales vs Revenue... no point making sales if it is costing you more than you make? Again I am guessing this has more to do with costs/assets being written of through CofS, so we are not getting a true picture of the operating position.
I have to much riding on this company and it pains me to say I have nothing good to take from these reports.
The company is on a knife edge IMHO.
Also what about the Chief Geo not taking a pay cut WTF, the company is screwed but i am alright jack nice attitude.
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