What happens to RP’s 12m shares now, he better not dump them on the market or we are in real trouble! Best to exchange them for some of our lessor assets maybe, at market value of course, and then the shares come back to the company and reduce number of shares in issue and thus a bonus to the sp?
Lost production due to a shutdown is just lost revenue for this year! Technically it is recouped at the end of field life, so the loss is the time value of production now versus the same amount in say 30+yrs time, which to most people can be considered as nil!
Many people have to raise cash at short notice for lots of reasons.......The main one is that they are in a bit of a "bear squeeze". They then have to sell something and usually shares are the easiest thing to dispose of at short notice. It probably has nothing to do with the relative merits of HNR vs property or his confidence about the future! Just the need for short term cash to cover another liability!
What we are waiting for is some serious news, like OTC listing, to move the sp! A takeover now at current price plus say 30% is not good enough! Unless we all get free shares and the newbies invest millions!
EPS and P/E ratios are broad indicators used by many investors, you are right that they alone don't precisely measure the overall health of the company. Quite often the P/E ratio will be low for companies thought to be in trouble and high for those thought to have a bright future. However HUR is not yet seen as an oil production company (thus measured primarily by P/E ), it is still an exploration company and thus its main value driver will be its assets (2p, 2c resources, etc.) If HUR is not taken out in next 12 months time it will likely be based on its asset/resource value , however if no take over then the market may well begin to value it more as a production company (albeit with a strong asset base)!?
They are a very small company like HNR, only $20m! A very glossy and hyped up website though, with lots of advertising, distribution deals and glitzy launch info, etc. Interesting to see how it takes off in next few months as we do too!?
RE: the worst is over- time to move forward?20 Aug 2019 14:01
Iamnotsparticus, You seem to know the OTC rules so I bow to your authority in that regard. The way you put it seems very positive, which is great,........any idea how long said application typically takes?
RE: the worst is over- time to move forward?20 Aug 2019 09:42
I would hope there is more news on OTC listing, distribution agreements, etc in less than 6-8 weeks! Also a more detailed statement on how the new funds are being spent, on upgrade of facility and marketing, etc.
There seems to be only two types on this BB the negatives and the positives. If you are negative and wish to denigrate everything that RP says or does, then why bother, unless you have an ulterior motive, just sell and move on! If you are positive then accept the past was not great and put it behind you, its history, but laud the possibility of a brighter future, especially if a LTH. The sp is not about to crater further IMO, and the potential for future sp growth is good, but of course by no means certain yet! All bonuses tied to sp is a good sign, and they might make even more than before (which will put some people out!), but who cares if they win we win! I would expect there to be a cap on how much the bonuses can go to, but doubt it will happen. Anyone remember how much the Persimon directors made with no bonus cap and all tied to sp recovery!?
The rns did state the plural " high net worth individuals", so most likely more than one, but I guess less than 10, so a few say 5 max!? Even so that is ca £90k each, still quite a statement in the future of the company!?