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And how much cash is that 'fully functional' mine actually making?
Those broker forecasts are just over optimistic sugar coated lies. Don't care what happens to EUA but I'm pretty sure that it will end in tears.
25 million (1p) is more than generous for a POTENTIAL, unproven resource.
Bye.
Really don't. Just slightly miffed why this piece of junk has created so much excitement! Saw this on the risers board on Friday and thought 'whatever'.
Then the piece of carp kept rising and rising so I took a closer interest. Bitter I missed out on the trade if I'm honest. If I took time to study this board last Friday and observed the amount of people getting excited over this stock I would of been very lucrative, if really really risky potential trade. Then again, if you buy something that's risen 70% in a day. Well 95% of the time you're asking for trouble.
I won't make any money off this. BUT traders and shorters who are alot more astute than mois are going to make an absolute killing on this. Well them plus the lucky ones that bought in at the lows and sold in the 3s.
Anyways I'll leave you all to it. I think it's a giant con. The same con with a slight remix. Rinsed and repeated again and again to gullible investors. Seen it so many times before and people always seem to fall for it. Guess greed and money, especially 'easy' money entices, corrupts and plays psychological tricks on people. I know because I've made the same mistake myself.
Interesting fact the CTAG board has had over 50 posts today (Friday).
No. They won't. This should of reached 1p on a spike and settled around the 0.7p mark. Even then that's being very generous in regards to valuation.
Say you have a plot of land, in a nice location and you want to build a juicy hotel on it. However you don't actually have planning permission for it. Well that land is worth a hell of a lot less than its hypothetical value. If you have planning permission, but you haven't built the hotel then the land is worth more but not as much as having an actual, fully operational hotel with a mature business behind it.
What EUA have is a metaphorical plot of land that could, after a series of extensive, expensive drilling campaigns and development. Could! In the next five to ten years be worth billions.
I'm being generous with the 1p valuation as the resource in question is scarce and the Chinese might want to take a punt and pay a premium for an unproven resource.
Don't have an 'agenda' other than morbid curiosity. Also I've been caught out many times with similar carp.
But it's your money, do what makes you happy!
Wish I bought some EUA for a trade. I think it's grossly overvalued now but I guess those types of silly rises are good for liquidity of the wider junior market. Oh well, here's hoping!
IDK I think that this will initially re-rate 'halfway' to the 20 - 25p level pre news. If the 'news' is good then you're looking at 50 - 75p. Possibly more on the initial spike. If the 'news' is bad, then you're back in the 5 - 6p range. Simple as that. I'm a dreamer/gambler so I'm betting on the former!!
OK I got lucky and bought into this on Wednesday after I got a good exit price from a share that had risen a bit too quickly.
ANYWAY. Everyone was complaining that the communications from the company were poor. Oh their PR is poor, they should do more podcasts, etc.
BUT. Whilst that may incite a short term rally, 90% of the time CEOs only give such interviews a) when they want to get a placing away, or b) when they're professional fraudsters running a lifestyle outfit (paid for by mug punters of course) .
The lack of communication is actually a POSITIVE IMO. Whilst share price won't be artificially inflated with bullshizer in the short term with such tactics. Quietly going about running and buildings a monster of a business in the background is a far more amiable blueprint IMO. One which when you think about it, actually should inspire confidence.
Stands for Over The Counter. US equities that don't meet the strict regulatory requirements for the NASDAQ or the NYSE are available to buy in the US but without the requirement stock exchange supervision. However some OTC stocks are and can be traded on smaller regional stock exchanges. I think!
I'm not being funny. But if you're that bearish on this stock then why don't you just sell up and move on. 6pish is a reasonable price for a company that is (in your mind by the sounds of it anyway) worthless.
It could go either way IMO. My instinct is that even inept businessmen can make money from a trendy, flavour of the month commodity. 90% of 'Junior Market' guttertrash ends up inflicting disappointment, disaster and/or dilution on the poor fools foolish enough to hold such junk so your cynicism isn't entirely without merit. But still. If you're that unhappy just sell.
I'm holding (at a just below 6p average) but not holding my breath. You have to remember that 90% of these companies are optimistic moonshots and the marketplace is unregulated cowboy town. Buying penny stocks is just like buying into a dream. You'll have just as much luck going into the bookies and placing a bet on England winning the next world Cup. But some of us like to dream.
Judging by your pathological hatred, I'm guessing you're a long term holder in this particular equity lol.
Everything that has been said has been said though. It just gets to the point where intellectual discourse on both sides gets reduced to pointless banter laced with school boy level insults. Providing no insight or relevence to anyone.
I'm not being funny, but if this company is such a dog then why are you hanging around? Why not just sell up and move on. You're probably correct as 90% of AIM companies end up in the gutter. I've not seen one share (certainly not one that was popular with retail investors anyway) actually deliver anything in the longterm other than bucketshop placings, disappointments and disaster. Well ZOO quietly 10 bagged before falling back.
But still. Go find another share to loose money on and let us loose our hard earned money on ZOE in peace ??.
Slightly creative RNS quotations on your part to arrive at that half million dollar valuation. The RNS actually states:
"As part of a financial review into the Company's operations, it has become clear that the natural resources business has several liabilities that will need to be satisfied, particularly taxes on production at its East Denver project and potential plugging and abandonment costs at its Montana operations (if it is determined that the project is not viable). The cashflow and the potential capital value of the East Denver project exceeds these liabilities but it is likely that the net future capital contribution to the Company from its natural resources portfolio may be limited in the absence of any potential upside from the earlier stage projects."
"In recent weeks the Company has received a number of invoices for work done in its natural resources business, primarily by external consultants and legal advisers."
"The Company has also increased inventories at Zoetic ahead of several significant presentations to potential customers."
"Consequently, the Board resolved to draw down in full the $500,000 bank facility. This satisfies these temporarily higher costs whilst preserving the funds raised in the placing on 19 August for future expansion and ongoing operations."
It is expected that any sale of the natural resources assets will generate sufficient surplus funds (AFTER TAKING INTO ACCOUNT THE LIABILITIES ABOVE) to repay the bank facility."
So enough to theoretically wipe the slate clean and repay the bank facility. Significantly more than half a million, but not a fortune. My guess is 1.5 - 2 million.
Or they don't understand the business and how profitable hemp / CBD actually is. Certainly less risky than the oil business anyway. With significantly smaller overheads too!
Yeah it might become interesting if they do manage to scale up to 250,000 plants next year as intended. That will bring in revenue of over $20,000,000 dollars from wholesale CBD alone.
Let's hope it happens without too much dilution. I can't imagine the balance sheet of their oil & gas business is squeaky clean and debt free unfortunately.
Also not all those plants will be outdoor plants! Even if they did plant 10,000 of the things :)
I think it was in one of the RNS's:
https://www.lse.co.uk/rns/ZOE/highlands-naturalres-fundraising-for-an-organic-cannabidiol-operation-74hbg9i3mkg6joc.html
"Highlands will target a yield of 12 grams of CBD per indoor plant and 30 grams of CBD per outdoor plant. Estimated wholesale prices are $3 per gram."
So $90 a plant on (I THINK at the moment anyway) 20 acres. So a conservative estimate of 10,000 plants is $900,000 in revenue. But I don't know how many plant's they're growing.
The only source I found is this Yahoo Finance article:
https://uk.finance.yahoo.com/news/london-listed-oil-producer-moves-weed-unsuspected-discovery-163036174.html
“Our immediate priority is to advance the discussions currently underway with potential retail and wholesale partners, purchase manufacturing equipment, and expand our outdoor growing, ahead of our intended harvest of our first 10,000 hemp plants by mid-2019. Beyond this we will expand our harvest and expand our product range.”
This was around the time of the March fundraiser. So for the first harvest, they intended to grow 10,000 plants. How many they actually planted is anyone's guess.
The Climate Emergency Bill was thrown out last month. EOG even issued an RNS when they did:
https://www.lse.co.uk/rns/EOG/europa-oil-and-gas-irish-offshore-operators-association-statement--9e1lncxnw1tgize.html
Well oil is the blood that keeps the beast alive, rightly or wrongly. You probably owe your existence to it. Before the petro-chemical revolution, there were a billion people on the planet. 100 years later, that figure has 'seven bagged'.
Oil is used to fertilise your crops and produce all that convenient plastic. The clothes you're wearing right now probably contain plastic fibres. The modern world is built on oil. Oil doesn't just make a major contribution to the global economy, it IS the global economy. The US dollar isn't backed by oil for nothing.
Being a contrarian, I do somewhat agree with your point. The planet would be in a much better shape without humans committing ecological vandalism. But the awful truth of the situation is that humanity is a virus and the 'patient' is terminal.
Even if we switch to a hypothetical clean, limitless wonder-fuel tomorrow, there are still several other serious ecological issues that we the virus are inflicting on the planet. All of them threaten to cause an ecological collapse. Plastic pollution, deforestation, declining insect populations, global loss of farm land, overpopulation etc:
https://www.theguardian.com/environment/2013/jun/30/stephen-emmott-ten-billion
https://www.theguardian.com/environment/2019/feb/10/plummeting-insect-numbers-threaten-collapse-of-nature
Like I say l, I agree with you but you're fighting a loosing cause. Unless you and every Westerner wants to radically alter their cushy lifestyle, then the battle is lost and the planet is toast.
They probably do need to raise capital for the drill and the only avenues open to them are bucket shop placings / CLN's. However 9 million quid seems wholly excessive for what is supposed to be, on paper, at least, a relatively straightforward side track. I would of thought 5 million at the most would be needed to take 103 up to production.
The only 'positive' aspect is that they can't place below 5p. Oh well looks like it's bottom draw time for this dog. Let's hope that the Djeno will actually be the 'transformational' company maker we were promised and not typical AIM jam tomorrow fantasy tosh.
I think the backend needs to be rewritten TBH. They're still using ASP on a (presumably) Windows Server. Technology that's AT LEAST 10 years out of date. Should really switch to Linux and node.js IMO.