I really wish the longs on this board well. However, after almost two years, I'm going to soon sell my position in the next week or so (save a very small side acct).
My parting advice for those who would care to have it. Diversity is the key to long term predictable growth. I maintain a risk portion of my portfolio which has included DEJ. However home runs are exceptionally rare. Protect the lions share of your portfolio in solid cash strong high dividend stocks at least until the debt crisis is addressed in the next few months.
Based on your comment above, I am buying. I took tons of heat when I advocated selling and all you (Stress) wanted to do was buy and hold. Now that you want to sell; I will be buying with both fists. Good luck.. You will lose money from every direction.
I find it very interesting that some of the ardent longs (Stress, PGM) are now "selling" their positions right as DEJ is beginning to take major steps forward. Months back, or even years back, what were you hoping for from DEJ?
Were you looking for third party financing that would have been a burden to pay back? Do you not like the fact that they are drilling at KOKO, S Rangely and Roan Creek and need not spend a dollar and are still able recognize revs? There was no plausible way DEJ was going to be able to go at it alone.
From your logical posts, I believe you two are too smart to sell at this time. For that reason, I am going to call your bluffs. It is completely illogical to be selling at this point in time. I believe you are trying to create doubt in the near term to add to your positions, which is smart but also very coniving.
Please explain your reasoning as I dumbfounded....
Very simply, I have completely lost faith in this management team.
I have been here for over 2 years (watched for a year prior to that). I have been one of the largest supporters of this company both on and offline, both on the message board and getting the company name out through other avenues. What did management respond with? They did not care about the fickle retail investors - their target was the institutions who see the real future of Dejour. Where are those institutions now? When I first purchased, institution and insider ownership was over 25%, now far less than 10% and there is not an institution with a reputable number of shares out there. I likely still own more shares than any single institution other than the always un-named benefactors of the private placements at severe discounts to market prices and always including a tremendous number of options/warrants.
There are far too many questions that are unanswered. Why did Inwentash/Brownstone leave? How were they paid? What did DEJ give up to get rid of them? Knowing the history of Inwentash, he would NOT walk away - giving up his 28% rights to over 100K acres of land and a board seat for absolutely nothing.
This team had already started promising financing for Koko before I purchased my first share. Promises were to have it taken care of as they were deciding between 'MULTIPLE' offers in 2011 and would make a decision by October of 2011. Having missed this target, they claimed in early 2012 that the dilution was to secure the $14MM financing - financing that after the dilution was completed, they simply walked away from only to accept the most recent financing giving up a tremendous amount of interest in these wells. Not only did they not close on the original after the massive dilution, but were also completely unwilling to consider an offer for financing at reasonable rates provided by a fellow shareholder. They clearly already had plans to make a sweetheart deal with someone at the shareholder's expense.
When the exposure started for Dejour because of my actions through Seeking Alpha - requests were also made to The Street, Motley Fool etc., and the subsequent price rise (look at the history, the moment the articles came out the price started to rise based), management's response, including their lack of interest in the 'fickle retail investors' was to convert warrants and dump shares into the price rise. Rather than following up with anything, they simply sat on their hands waiting to dilute us again.
What about the mystery partner they had at Woodrush? What happened to them?
Why no details about the latest mystery partner at Roan Creek? Details? They speak as though the deal is done, however the cash position of the Jan Presentation surely doesn't show much of a gain in their cash position - making we seriously wonder if there in fact is a partner or sale or is this Woodrush all over again and second, did they get a single penny?
How about S Rangely? Where is the horizontal they were going to drill in 2012? From history, they only have certain periods of time they can drill due to restrictions from the government. If what they have said in the past is true, that time is in the fall and now we will be waiting till late 2013 to see anything from here.
What is the current production at Woodrush? Based on the presentation stating that the end of year production was about 382 boe/d but in June 2012 it was 630 boe/d. That would suggest that production for the second half of 2012 has in fact dropped to about 150 boe/d to get to the 382 boe/d average for the year. Why did management not share this information with the market?? Would such a dramatic decrease in their ONLY production not be MATERIAL??
If there were any serious prospects out there for share price appreciation why has not a single member of the management team not purchased a SINGLE share?
There are a multitude more examples I can provide, however, I believe you will get the picture. For those that have only just started positions in the $0.20s or lower over the past few months, you have yet to experience fully what this management team has to offer. With any luck, you won't have to experience the same as I have with them.
I have not sold my entire position. I do hold a significant number of shares still and do hope that I am wrong about my suspicions that there will be another capital raise. If I am right and there is, the price is going to drop significantly and I will choose at that time to either buy back all the shares I have sold (and some extras) or if I am wrong and it takes off like so many believe, I'll simply have to be happy with the gains on my reduced position.
In the interim, I will use the proceeds from the sale in companies that I have not lost faith in.
All the best
Ouch, sorry you would think that of me Rog. I have been a long term supporter of DEJ and I guess that is why i feel compelled to post that i am divesting my interest. I honestly do not wish to decieve anyone and i feel badly that I may have influenced people in the past.
Truth is I'm not as big a fish as some people suppose. I currently hold MON,GLW,CCJ,WFC,MCD,KO and DEJ. I have never actually hit a home run, I have had some success, but never the 400% seen in SSN or LEI. I have and still do view DEJ as the most likely micro energy to take off like that, thus my status as a long. However, while I have been waiting, I my other stocks have done very well for me.
It is my own change related to comfort level. I will still maintain a small risk portion in my holdings. However it is going to be much smaller as I move from hair to tortus type investing.
I see uncertain times ahead and I believe the big blues will continue to accumulate record cash reserves, which...will insulate them and will be divested to share holders in time. (thus my parting advice).
I may be wrong and I may see DEJ take off in the near future If so, I will buy a very nice car with the shares I have in small side acct at TD. However I think the macro events in the market are going to hold down most juniors for a long time to come and those with cash flow issues will be very vulnerable.
Good luck Stress, sorry to see you go...
Care to inform us why your thoughts have changed on DEJ? Are you divesting because you feel you put too much capital into one play, or do you feel DEJ no longer has potential? Just curious, you've been one of the most ardent longs on this board.
stress good luck...you made a very good point about the upcoming war in congress..the more they talk the lower the markets will go..if we don't raise the debt ceiling money will get very tight and expensive. mo