Member Info for shamI89

They have outlined two options technically, administration or debt to equity swap. H2 drill was last chance for company to demonstrate to bondholders that they will be paid. We saw a terminal decline after that.

Hahaha, off course you will say that. Keep going you have a long way to "add more" and "average down". I did warn you that this is not one of them shares where you can take over bb and bs your way out of it but......

I do think they should have gone slow and managed money efficiently.Potential was there as Cal Energy must have seen something but either technical team was incompetent or it was bad luck. But it has to be more than bad luck to have encountered these setbacks one after another

Company has missed couple of interest payments and is producing just enough money to keep the lights on. If there is no money left in the bank, bondholders are not getting anything and administration is not the option, then that leaves only D4E option and that would leave next to nothing for shareholders. Only gamblers are investing in here right now, they have been talking to bondholders for months now so a final outcome cant be far

Nothing wrong with your mindless ramp apart from H1 and elsgood are shut so no production from them two wells and Production from H2 is declining. As far as 33 round is concerned if company manages to win some bids it won't have enough money to drill anything so pointless exercise.

Bailing too, can't see them sticking around until debt to equity swap.

Equity is 100% worthless now and bondholders can pull the plug anytime now.

Is company's way of telling shareholders that game is over and there is nothing left for you guys.

You can use these taxes to offset any tax on profits, does not really help with little to nothing profit is being generated

Debt to equity swap and I suspect bondholders would want to bring in new management as realistically they can recoup their money if production increases and may be a new well need to be drilled.

They did give 32 mscfd, however what would happen to cash flow if production drops to lower end of that estimate? I don't think they can generate enough cash to pay interest at that level let alone paying off bonds.

Production is declining, that does not bode well for future cash flow and we may have future problems. Whole thing stinks now, they encountered a problem in H2 and rectified that and estimated production would be 40/50 after remedial work. Production was 32 mscfd but they had to shut in H1 due to water. In this update production is 26 mscfd that is roughly 25% drop. Why is production dropping? Can it not drop any further? That is risk you take with single well and I guess bondholders are having some lengthy discussions with management.

That H2 well's production is declining as it was 32 mscfd in last update and today it is producing 26 mscfd. Why is it dropping?

In the event that the Company does not obtain a further waiver from bondholders, an event of default under the Bond Terms may result, which could potentially lead to the Company being put into administration. The Directors do not believe that this is a likely outcome and anticipate that the waiver will provide the Company with a further period of stability. In addition, no plan has yet been agreed around a longer-term solution, on which a number of potential options will continue to be discussed with bondholders.

I do suspect a number of "potential options" includes full or partial equity wipe out.

I do think that most of these guys did not intend to stay invested this far, their plan was to pump it hard and get out with a profit. They did mis-calculated bonds situation and paid the price ultimately.

Wow you are really brave, so you are willing to lose upto 90% of your investment and have moved "money" to take advantage of that "drop". That supports my argument that if someone wants to take a position he should wait until bonds are resolved.Why risk losing all or most part of your investment?

I suspected it was log but I was wrong. However I drew this conclusion by constant selling and I still think there is an institutional seller. This is what I don't understand as it is stupid to think that a poster on bb can influence share price. I am meant to be a "shorter" but we have some posters who have been posting non-stop about production, cash balance and market capital and share_price kept on falling. Ball is in bondholder's court and they will decide if shareholders get anything.

Let's see "entertainment weill be priceless, not long to find out now.

Off course people will change their minds but it will be too late. If someone wants to invest in this why not wait until bonds are resolved.Problem is most of you guys don't understand how bonds work. Bondholders would have been happy to extend bonds if this company demonstrated to them that it can pay them off, last update was last straw.

We only have trading day left until 31. Choice is your guys stay in and you can potentially get wiped out. It is a flip a coin gamble at best.