Anybody listen to what Peterson had to say. Very positive for the long pull. Did not know they sold some non-core property. They are still looking for small blocks as bolt ons to existing blocks. Well costs down to $9 million and heading to $8.5 million. Technology allowing higher % of oil in the ground to be recovered.
Very positive for long term investors. Not worth the aggravation of trading since I am all in at $2.25 per share, with 5000 at 20 cents.
Yes, KOG announced a small sale a few weeks ago and they did say they were not "core" properties and some of the magpies here were crowing about KOG going broke and had to sell properties to pay bills!
(I wonder if they from the "short" gallery?)
I said at the time that this was a positive step because whenever a company acquires acreage, there's always portions of it that can be shed for other more desirable acquisitions. Ergo: Excellent management!
KOG's team is on a par with Continental in acquiring, testing, improvising, and exploiting the best ways to extract and maybe most importantly,....... QUANTIFYING THE TRUE VALUE OF THE BAKKEN ACREAGE.
And yes, by mid-2014 Peterson's strategy of creating a BALANCE SHEET that shows massive increases in valuations from drilling, reductions in cost per barrel of production, and lastly positive cash flow while maintaining an aggressive drilling and acquisition program will all lead to a "World Class Acquisition for a Major Oil Company"!
Following KOG since Peterson & Co. had one rig, no debt, and 17-employees up through leveraging their core anticline advantage to the present has been a true Horatio Alger Story!
Absent any earthquakes coming out of Washington DC, the next six months should be filled with ever more revelations of value.