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Houston American Energy Corp. Message Board

cropduster08 54 posts  |  Last Activity: Jul 28, 2014 11:04 AM Member since: Feb 7, 2006
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  • Reply to

    The sec & husa

    by ugt_92251 Jul 27, 2014 12:00 PM
    cropduster08 cropduster08 Jul 28, 2014 11:04 AM Flag

    Mac, I don't think anybody has said yet that the SEC found nothing. I think Ugt is saying that if "finding nothing" is the eventual result, that such an event may cause the share price to move down, rather than up. I am in the camp that thinks the share price will likely go up when the SEC is out of the picture, especially if they find nothing.

    The SEC has been looking at HUSA since October 2010. Here we are 4 years later and the drag on the company continues. I wonder when enough will be enough. This slow water drip torture somehow makes me think of cruel and unusual punishment. What ever happened to the concept of speedy justice in this country? HUSA has been found guilty of nothing and yet current shareholders continue to be under this heavy handed cloud of government oversight. I agree that the SEC has a legitimate function in looking at public companies, but the current situation seems a little out of control to me.

    The company received a Wells notice in August of 2013, which is almost a year ago now, stating that the staff was recommending enforcement action to the commission. The commission is the deciding group at the SEC, not the staff. In any event, apparently nothing has been heard from the SEC in a long time now and we are coming up on the 5 year statute of limitations for what happened in 2009.

    My gut tells me the 5th court of appeals looked at the fact that the SEC had issued a Wells notice, and this was a factor influencing their decision to overturn the dismissal of the shareholder lawsuit. In my mind, the shareholder lawsuit and the SEC probe are feeding on each other. Plus, we don't know who complained to the SEC in the first place. Again, my gut tells me it was probably the same folks that are pushing the shareholder lawsuit.

    In any event, maybe it will all go away this year, if we are lucky. Maybe there is some justice left in this country, even though the concept of swift and speedy has apparently disappeared for HUSA.

    C.

    Sentiment: Buy

  • Reply to

    What's HUSA worth?

    by leftyspade Jul 25, 2014 1:22 PM
    cropduster08 cropduster08 Jul 25, 2014 8:35 PM Flag

    Tim, good post and you make some excellent points. I agree with you that exhausted longs are probably just bored with HUSA and some of them are probably selling, especially on the recent news of the reversal of the dismissal of the shareholder lawsuit. Some of us think the reason there has been a lack of positive announcements probably relates to trying to position HUSA for the final chapter of the shareholder lawsuit and the SEC probe, both of which stand a good chance of going away by the end of this year.

    Concerning Mr. Terwilliger's salary, I think it is probably comparable with the salaries of other oilmen who are CEOs and chairmen of the board of similar companies, so I don't feel like his salary is out of line. Plus, I do feel like he is doing CEO stuff behind the scenes. Keep in mind that as the largest shareholder in HUSA, he lost the most when HUSA crashed and now has the largest incentive of any shareholder to eventually do what is necessary to make the share price rise. He may get hundreds of thousands of dollars a year in salary, but he makes close to $10 million every time the share price goes up one dollar. So I have to conclude that his bread is buttered on the share price side, and not necessarily so much on the salary side.

    It really helped my understanding of HUSA by being able to attend the shareholders meeting and talking to the CEO and some of the board members.

    I also agree with you that Mr. Terwilliger should execute to the best of his ability and I am betting that he will. I am sure the crash tore him up both financially and emotionally and my sense is that he wants and intends to put the company back together again with a good recovery. Basically he is a one man show now, so I would imagine that all current shareholders at least think he has a shot at another round of success.

    Good luck and I hope you are able to find a reason to buy your 150,000 shares, as that would mean something good is probably happening.

    Cropduster

    Sentiment: Buy

  • Reply to

    What's HUSA worth?

    by leftyspade Jul 25, 2014 1:22 PM
    cropduster08 cropduster08 Jul 25, 2014 2:39 PM Flag

    Lefty, I agree that the value of a stock is the current share price. But there are a number of factors that can influence the share price. You mentioned cash and no debt. Exactly. In fact, I believe that cash and no debt is putting a floor in on the share price to some degree. But we all know that the share price is more than what is going on today and reflects future expectations for a stock. In other words, what is my return in the future going to be if I buy shares today?

    Having said that, I think other major factors to consider are the proceeds from current production, the inherent value of the Columbia concessions, and the possible impact of the shareholder lawsuit and the SEC probe. Taken all together, the market is saying HUSA is worth about $.35 a share, at the moment.

    So what could change that might significantly influence the share price?

    1. more or less cash available

    2. the accumulation of debt

    3. increase in production OR the announcement of new projects

    4. the beginning of drilling in the Serrania OR an increase in the perceived value of the Columbian concessions

    5. disappearance of the shareholder lawsuit and SEC probe OR findings that go against HUSA in these 2 actions

    Since nobody really knows exactly what the share price will do, I'll have to say that my gut tells me that $.14 is not likely, nor is $.15 to $.20. But I could be wrong, for sure. And if we do spike down, I may be a buyer at that level like Tim. Keep in mind that there are several factors that could break at any moment that have the potential to drive the share price higher, not to mention the routine stuff like the next quarterly report coming out in about 3 weeks. At some point we could see a rise into earnings, like we have seen at times in the past.

    Per your observation about making money, I have never been to the Trump in Atlantic City, but Donald Trump is an entertaining character, for sure.

    Cropduster

    Sentiment: Buy

  • Reply to

    Winning vs Losing

    by zeno.3000 Jul 18, 2014 4:35 PM
    cropduster08 cropduster08 Jul 24, 2014 10:43 PM Flag

    Nobody really thinks you are a failure, Tim, especially after that post. If someone calls you a name you don't like, just try to ignore it. I know it is hard sometimes. I've been called a lot worse than a failure before, believe me. It is really only true if you believe it. And obviously you don't believe it. Anyway, very interesting post and a good read. Kept my attention the whole way. I can see you are partial to the military, which is a good thing. Please keep in mind that I was in the U.S. Army for 25 years, if you include my time at aggieland. Maybe that is worth something in your book. Plus, like you, I don't lie or steal.

    Now to HUSA. I find it very interesting that you sold at 44 cents and plan to reload at 25 cents. Are you going to just try to trade yourself back up or do you think HUSA actually has a future? if so, how much of a future? I would be very interested in your thoughts on this subject.

    Currently, I think the shareholder lawsuit and the SEC probe are being discounted big time in the share price. If they both go against HUSA, I wonder what the impact would be. My guess is that the SEC would fine HUSA about $3 million, but would not try to put the company out of business. On the other hand, a finding in favor of the plaintiffs in the shareholder lawsuit could be a real wildcard. I don't see how they could get more than pennies on the dollar, unless the court decided to put HUSA out of business and force the sale of all assets, to include the Columbia concessions, which I think are worth at least $100 million.

    Josch made a good point about production earlier. I would use 250 barrels a day for current production, if all goes well, and $70 per barrel, but I would probably use a multiple of 10 times after tax cash flow (but before further investment). This takes us to $1 a share. Add another $1 for the discounted inherent value of Columbia, and you get $2.

    Good luck and thanks for what you do.

    Cropduster

    Sentiment: Buy

  • Reply to

    Is dumping smart?

    by jsch0121 Jul 23, 2014 9:39 AM
    cropduster08 cropduster08 Jul 23, 2014 12:47 PM Flag

    Greg, good to see you again. I happen to think that Doorsheim has a very rational point of view and I agree with it.

    He said, "In other words, the potential upside is huge compared to the remaining downside." You said this is greed. How is that greed? We are all in the stock market to see a return on our investment.

    I would classify his approach as aggressive long term investing. Talk to Warren Buffett about buying beaten down companies and then holding them for years and years. I am sure he will tell you that if you pick the right company it could work out in your favor, maybe even in a big way.

    Cropduster

    Sentiment: Buy

  • Reply to

    Is dumping smart?

    by jsch0121 Jul 23, 2014 9:39 AM
    cropduster08 cropduster08 Jul 23, 2014 12:35 PM Flag

    Really good post Josch. For once, I don't have anything to add to what you said :)

    Cropduster

    Sentiment: Buy

  • Reply to

    Winning vs Losing

    by zeno.3000 Jul 18, 2014 4:35 PM
    cropduster08 cropduster08 Jul 23, 2014 12:31 PM Flag

    Jack, Zeno makes some good points about losing money and obviously has a sense of humor, which is a quality that would do us all a lot of good nowadays. I disagree with him that Tim is a failure, though. Tim just lost big on HUSA as a result of the crash and is having trouble dealing with it. I tried to help him the best I could.

    Jumping on me doesn't help either. So I am a front and post under 3 aliases? Not true. I have always posted what I believe to be the truth and when I gave an opinion I have tried to write it in such a way that it was clear that it was an opinion. I have 4266 posts which are still on record with Yahoo since 2006 and haven't changed my nic, so I have nothing to hide. Most were on the Dynegy board and now I am getting quite a few here on HUSA. I noticed you have 28 posts since 2009. I reviewed them so I know where you are coming from.

    Actually, I wouldn't mind getting a subpoena to testify at the HUSA shareholder trial, if there is one. As I have stated, I already plan to attend the trial as a current shareholder and observe the proceedings. I would be more than happy to take the stand and give my opinion about what is currently happening. As someone famous once said, all it takes for bad to flourish is for good men to do nothing. I am ready to do something should I be called upon.

    Enough and I don't really want to get into disagreement you, as neither one of us would gain anything.

    Good luck with your investing,

    Cropduster

    Sentiment: Buy

  • Reply to

    Re: Latest news release

    by beach108street Jul 18, 2014 7:07 AM
    cropduster08 cropduster08 Jul 18, 2014 3:14 PM Flag

    Bkmyway, great to hear from you again. I wish we had been able to talk a little more at the shareholders meeting, but I do remember exactly who you are and exactly what you had to say. My wife remembers you also.

    Concerning Tim, I try to cut him some slack because I understand what he told us about his background and I respect it and I think I understand why he is so upset. Plus, I think he has something to add to the board, if he could just somehow get over losing so much money. That's why I told him about my loss with Dynegy. Just trying to relate to him.

    I'm glad to hear you think a letter to the judge on behalf of current shareholders is a good idea. It seems to me that we would definitely have standing with the court, as a finding for the plaintiffs would definitely harm us. Lets see how things develop and try to monitor whether it looks like this thing is actually going to make it into Judge Harmon's courtroom for a jury trial. If and when it gets scheduled on her docket would seem to be the right time to write her a letter.

    On second thought, maybe she needs to read the letter right away. I'm not a lawyer, but maybe she has the ability to decide this case without a jury, especially since she wrote such an extensive 90 page dismissal the first time around.

    You are exactly right about losing some, winning some, and sometimes breaking even. If the plainitiffs were really smart, they would just drop the lawsuit and buy HUSA shares at this level. I can almost guarantee they would get more money that way than by trying to rake the company over the coals and maybe only getting pennies on the dollars they lost. Sometimes I wonder if that thought ever crossed their minds or if the lawyers are running the show now.

    Take care and don't be a stranger.

    Cropduster

    Sentiment: Buy

  • Reply to

    Re: Latest news release

    by beach108street Jul 18, 2014 7:07 AM
    cropduster08 cropduster08 Jul 18, 2014 12:05 PM Flag

    Good point, Doorsheim. I was just looking at a list of cases filed before Judge Harmon. She has a bunch of big names on her docket, like ExxonMobil. These are probably important cases that deserve her attention.

    I wonder how she really feels about having her time taken up by some disgruntled investors who want current HUSA investors to pay for money they lost on an investment that turned south in a big way. I researched who these guys are last year and you would be surprised at what you find out if you take a look at them. I don't want to get into it again. Now we just need to take a look at whether the complaint is true or not. I imagine that the lawyers for HUSA will make sure that the judge knows all about the plaintiffs, since they tried to personally smear HUSA management in the lawsuit. I had to stop reading the lawsuit because it was so disgusting last year.

    Anyway, here is the listing under cases filed before Judge Harmon, for anyone that is interested.

    Cases filed in the Texas Southern District Court Before Judge Melinda Harmon
    RSS Feed | View as table
    Cases 1 - 1 of 1
    Silverman v. Houston American Energy Corp. et al
    Filed: April 27, 2012 as 4:2012cv01332
    Plaintiff: Steve Silverman
    Defendant: Houston American Energy Corp. , John F. Terwilliger , Jay Jacobs
    Cause Of Action: Fed. Question: Securities Violation
    Court: Fifth Circuit Texas Texas Southern District Court
    Type: Other Statutes Securities/Commodities/Exchanges

    I'm also now looking at the hard copy of the 90 page dismissal and here is just one sentence. "Because Plaintiffs fail to state a primary violation of S 10(b) of the Exchange Act and Rule 10b-5, their claim for control person liability under S 20 also fails." Judge Harmon really took apart their lawsuit in the dismissal.

    Cropduster

    Sentiment: Buy

  • Reply to

    Re: Latest news release

    by beach108street Jul 18, 2014 7:07 AM
    cropduster08 cropduster08 Jul 18, 2014 11:21 AM Flag

    Beachstreet, I like that handle. Brings back some memories. Anyway, I see the abusive post from yesterday that temporarily turned me off to this board was deleted by Yahoo. Good for Yahoo. I know I'm long winded and overly optimistic sometimes, but all I really want is for us to have some good discussion on this board about HUSA.

    To your question, HUSA is simply a holding company that is trying to maximize cash flow to the company from oil and gas investments. It is run by one guy, Mr. Terwilliger. There are also one secretary and four directors. A few years ago it made a failed attempt to drill some wells in the CPO-4 concession in Columbia and the share price spun out of control and ran up to about $20. Then it crashed back down to $.18. Simple so far. Then a group of disgruntled investors got together and filed suit against HUSA for fraud, alleging that HUSA had improperly used the word "reserves" instead of "resources" when talking about the billions of barrels of oil that it believed could be under CPO-4. The suit is bogus, in my opinion. Read it for yourself and see what you think.

    The lawsuit was dismissed by a smart district judge in Houston who probably saw it for what it is, but an appeals court has overturned her dismissal. So there you have it. We'll probably get a jury trial now.

    By the way, if anyone can determine when the trial might be, please let us know. I may go down to Houston and sit in on it myself, if it is open. Plus, I may contact a lawyer here to see if I can submit a letter to the judge on behalf of myself and current shareholders. She needs to hear our side since we will be harmed if she find for the plaintiffs.

    Anyway, Beachstreet, if you are interested, read the previous 15 or 20 messages on this board for a summary of where HUSA is overall.

    Cropduster

    Sentiment: Buy

  • Reply to

    This is getting so long, hard to wait.

    by chenheyan9 Jul 15, 2014 3:36 AM
    cropduster08 cropduster08 Jul 17, 2014 10:58 PM Flag

    Josch, I know one time you said you stopped posting because the quality of the board just got so bad. I'm glad you started posting again.

    Now I feel pretty close to the same way you did when you stopped posting. Seems like I can't post anymore without getting the crowd that lost a lot of money on this stock all stirred up. I've tried to tell them I'm sorry for their loss, etc., etc., but they can't see the good in this company and its potential anymore because of all the hurt it has caused them. OK, I understand.

    Anyway, I think I am going to take your approach for awhile and try to limit my posts to days when there is actually news and when any SEC reports are filed, like the quarterly reports and the annual.

    I still feel that once the lawsuit and SEC probe are history that the clean slate will be reflected in the share price. We currently have production, as reflected in the last quarterly report, and we have numerous projects in the pipeline, not to mention the possibility of drilling in the Serrania. HUSA is really nothing more than a cash flow to the company from oil and gas investments.

    Good luck to you and the rest of the crew here, to include the ones that went through the crash. I really hope they make some or all of their money back.

    Cropduster

    Sentiment: Buy

  • Thanks, Mac, for the info on the lawsuit. I just saw the press release after reading your post.

    This was released today:

    "Houston American Energy Announces Reversal of Dismissal of Class Action Lawsuit

    By Houston American Energy Corp.

    Published: Thursday, Jul. 17, 2014 - 2:15 pm

    HOUSTON, July 17, 2014 -- /PRNewswire/ -- Houston American Energy Corp. (NYSE MKT: HUSA) today announced that the United States Court of Appeals for the Fifth Circuit has reversed the District Court's prior dismissal of the previously disclosed securities class action lawsuit brought against the company. The appellate court ruling focused on the sufficiency of the pleadings in the case, made no determination regarding the merits of the factual allegations, and remanded the case to the District Court for further proceedings..."

    It looks to me like the dismissal was reversed only insofar as it was sent back to the District Court for further processing. Looks like it is now back in Judge Harmon's court.

    I know the plaintiffs had demanded a jury trial, so maybe we'll get that now. Or maybe Judge Harmon will simply decide the case herself on its merits. When she dismissed it last year she failed to add the words "without prejudice," which indicated to me at the time that she was, in fact, leaving the door open a little bit.

    Notice that the appeals court focused on the sufficiency of the pleadings, but apparently didn't analyze the merits of the factual allegations.

    This may mean more money for the lawyers because the appeals court has just dragged out the case, but maybe a jury trial will show this case for what it really is - a smear campaign against management and the board and an attempt by certain parties to avoid taking responsibility for their own investment decisions.

    I'm glad I hadn't added yet. We may get that 30 cents you mentioned, Mac.

    Sorry about this for current investors. We'll may have to see what a jury says now.

    Cropduster

    Sentiment: Buy

  • Reply to

    This is getting so long, hard to wait.

    by chenheyan9 Jul 15, 2014 3:36 AM
    cropduster08 cropduster08 Jul 17, 2014 5:10 PM Flag

    Josch, good couple of posts. I like the way you summarized the situation and I agree with you.

    When I get a little impatient, sometimes I take a look at the history of HUSA's share price and ask myself if it could repeat its past performance from 10 years ago and would it be worth the wait. My answer is yes and yes.

    If you simply take HUSA's year-end closing price from 10 years ago, divide it by two for the doubling of the outstanding shares, and plug it in to where we are now, this is what you get:

    2013 $.36

    2014 $.49

    2015 $1.57

    2016 $3.68

    Amazing how close we are today to where we were 10 years ago. Almost exactly in the same place. I personally will be satisfied if we close out this year at $.49 and go into 2015 with a clean slate. By clean slate, I mean no shareholder lawsuit and no SEC probe holding us hostage.

    From our current $.40 to $3.68 would be an increase of 820%, if we simply repeat HUSA's historical performance. Start drilling in Serrania and all bets are off. 820% is not a bad gain over a several year period, if you have enough shares. As I have stated, I'm trying to double my shares this month and may be able to triple them by the end of August. Actually, I wouldn't mind if we sink down into the 30 cent range for awhile. I think we are in a pattern now where we drop on no news and rally around quarterly report time.

    Good luck and always good to read your posts.

    Cropduster

    Sentiment: Buy

  • Reply to

    Well if you're looking to add....

    by timtuttle44 Jul 7, 2014 6:16 PM
    cropduster08 cropduster08 Jul 11, 2014 3:54 PM Flag

    Bobby, thanks for your thoughtful message. You make some very good points. Your $16,000 is a lot of money to me also and I'm sorry to hear about your loss. I guess we have all lost money on a stock at one point or another. But let me just say that I don't want you or others to think I have a lot of money, because I don't. I'm basically just a working man like you are. I'm 59 and getting ready to retire again.

    I am still truly amazed that I was able to make so much money on one stock (Dynegy), especially since I started out with no money of my own in 2002. But then I lost it all by around 2009, and then some. So I guess I have shown that I know how to make money on the stock market. I just don't know how to keep it. So that is my sad story :( Anyway, I hope to make it back on HUSA. The difference is that this time around I will try my best to protect my earnings close to the next top.

    Sorry you lost your butt on the Facebook IPO. I actually bought one share just so I could say I was there at the beginning, but sold it when it crashed. Now it is $66, last time I looked. Too bad we don't have a crystal ball to tell us the future.

    I agree with your concern about what is going on in Columbia with the expected drilling being delayed time and time again by the situation with the FARC. I am hoping that the FARC will opt for peace and prosperity and that we can get down to the business of drilling. This would be good for us and the people of Columbia.

    Concerning your $2 to $3 comment, folks tend to forget that HUSA is worth over $2 a share just from the value inherent in Serrania, Los Pichasos, and Macaya, even before a single well has been drilled. I did a piece on this before. I may try to repost it. My gut tells me that the appealed shareholder lawsuit and the almost expired SEC probe are really holding us down. They should both be done by the next shareholders meeting, which should add some interest to what HUSA is doing.

    Cropduster

    Sentiment: Buy

  • Reply to

    Well if you're looking to add....

    by timtuttle44 Jul 7, 2014 6:16 PM
    cropduster08 cropduster08 Jul 9, 2014 9:13 PM Flag

    Tim, after reading your latest post and the post from Bobby, it occurred to me that maybe I am not being sensitive enough concerning your loss. I think I understand what happened to you and why it makes you feel so terrible. As I tried to say before, almost the exact thing happened to me with Dynegy, except that my loss was actually greater than yours. So I have been there and done that. It is no fun, for sure. I wish there was something I could do to help you. You mentioned that HUSA dropped from $20 to 20 cents. In my case, Dynegy dropped from $10.95 down to less than $1 and I was margined up to my eyeballs all the way down. I know now how stupid I was, but that doesn't make me feel any better really. I tell you all this to let you know it has happened to other folks also.

    I understand why you criticize Mr. Terwilliger, but keep in mind that for me anything before last year is just a research item. I understand his background, with the bankruptcy at Moose Oil, renting a yacht and sailing into NY harbor, going down to Monte Carlo on an excursion, and all of the other complaints folks have, but what I see is a successful guy who has been around the block a few times and probably knows what he is doing by now. Keep in mind that you may have lost half a million dollars, but Mr. Terwilliger lost over $150 million in HUSA's drop. I'm sure that hurt him also.

    Mitchell is the one who told you to take responsibility for losses, but he is no idiot. I am sure he didn't mean to antagonize you. Mitchell is a good guy and simply wants his investment in HUSA to pay off over time, from what I can tell.

    I am going to try to get back to analyzing HUSA and continue to look at why I think it should go up from this level.

    Good luck with your trading and maybe we can get over our differences and make some money on HUSA.

    Since you have been around here for quite some time, I look forward to reading more of your thoughts concerning HUSA.

    Cropduster

    Sentiment: Buy

  • Reply to

    News worthy?

    by mcintoshe21 Jun 18, 2014 12:47 PM
    cropduster08 cropduster08 Jul 3, 2014 2:31 PM Flag

    Yardxxxx, for some reason your handle always cracks me up. Maybe its because I am afraid I'm going to step on you (or in you). Makes me think about cutting the grass.

    Anyway, thanks for the comment on clear headed thinking. I guess I enjoy thinking things through when I am interested in a subject and then writing about it. Sometimes I almost think I am writing a daily blog on this board. Its just fun for me and I enjoy it. It is kind of like a hobby. But folks should not take what I say too seriously. We are all human and we all make mistakes. I try not to take what others write too seriously either, as this is just a stock message board. Supposedly we are all here because we have something in common - namely, interest in HUSA.

    One thing I want to make clear, though, is that folks could lose some or all of their money on HUSA and I am not recommending it to anyone. On the other hand, my own personal opinion is that it is possible to see gains of 10 to 20 times the current price over the coming 5 to 10 years. My guess is that it will probably be closer to a 10 bagger, especially if we get something going in Serrania eventually.

    Your comment about Mr. Terwilliger closing in on 70, that he has paid his dues, and now wants something for his retirement is accurate. He is almost 67 now. At the shareholders meeting he said something about being ready to go to the house. I added that we wanted to have him stay until he was at least 70. All things considered, I got the feeling that he wants and plans to put the company back together again and then retire on the success that he and the directors have built at HUSA. My opinion is that if he can get us back to at least $5 a share in a few years, then we'll help him find a replacement for the CEO position and make him a board member emeritus.

    Have a great 4th of July weekend.

    Cropduster

    Sentiment: Buy

  • Reply to

    News worthy?

    by mcintoshe21 Jun 18, 2014 12:47 PM
    cropduster08 cropduster08 Jul 2, 2014 3:22 PM Flag

    Hi Mac. You said it has been 2 years since HUSA has had any success and that you would give someone 2 years to rebuild, but not any longer. What I would say is that Mr. Terwilliger is now in the process of laying the foundation for the success that you and I desire.

    Didn't we just see progress on 4 out of 5 projects? Didn't revenue increase in the last quarterly report? Didn't the percentage of one full well go up to 30% from some lower number? HUSA is working on the challenge. That is one thing I definitely got out of going to the shareholders meeting. In fact, Mr. Terwilliger said there is more activity going on behind the scenes now than there was 3 months ago and that we should see the fruits of that at some point in the near future.

    Keep in mind that HUSA is basically just an investment tool for folks like you and me to invest in individual oil and gas wells, but with the risk spread out. Thats all there is to it. The whole thing can be run by Mr. Terwilliger, the board of directors, and the secretary, with contracted work as needed. Low overhead. No equipment. Few employees. Money in the bank is what drives this train. Mr. Terwilliger invests it in oil and gas drilling deals and if the wells come in, revenue is added to cash flow and the share price goes up.

    Mr. Terwilliger and the directors are basically just trying to establish an oil and gas cashflow to the company. That is all there is. In addition to the pipeline of domestic projects, the ace in the hole could be an eventual field in Serrania, and possibly later on Los Pichacos, and Macaya. It is possible that a successful field or fields could eventually include hundreds of wells. How would you like to be in on the ground floor of something like that? Did you ever think that right now could be the groundfloor?

    Good luck and look forward to seeing you next year, if you can make it.

    Cropduster

    Sentiment: Buy

  • Reply to

    News worthy?

    by mcintoshe21 Jun 18, 2014 12:47 PM
    cropduster08 cropduster08 Jul 2, 2014 2:56 PM Flag

    Herrick, good to have you on the board and good luck with your HUSA shares. Looks like you and I and Mac and Mitchell are all in about the same ballpark. I'm adding shares this month, so I'm hoping that the share price will stay below 50 cents until the end of the month. Then maybe we can start to rise into the quarterly report on August 15th.

    I agree with your comment about options. Options and salary are about the same to me, but options generally tend to offer an incentive to management.

    I think we are mostly waiting for the next quarterly report, which is fine with me. I would be satisfied to not get any news except in the quarterly report. Then let the share price reflect earnings and cash flow and expectations for the future. Since I am here long term, I have a 5 to 10 year time horizon and don't need the spikes and valleys that press releases invariably cause.

    Here is my list of what could cause the share price to rise:

    1. Oil goes to $150 to $200 a barrel. Could happen, but not likely right away.

    2. 4 of the 5 recent projects came in with good news. Any more good news on these 5 projects or news of additional projects would probably cause the share price to rise.

    3. News that drilling has begin in Serrania. This is the big one and will send the share price up $1 a share or more, in my opinion.

    4. We get word that the shareholder lawsuit dismissal appeal has been denied. Both sides have presented their case to the judge on the appeal and we are now just in the waiting mode. If history is any guide, this case will likely not go anywhere since it has been dismissed already.

    5. We get word that the SEC probe has disappeared. There is a five year statute of limitations that expires at the end of this year on the 2009 situation that apparently caused the probe. HUSA has not heard anything on this from the SEC in quite a while.

    By the way, I said COP-4 in my previous post. I meant CPO-4.

    Good luck,

    Cropduster.

    Sentiment: Buy

  • Reply to

    Hey Crop, BILLIONS doesn't matter?

    by timtuttle44 Jun 30, 2014 8:30 PM
    cropduster08 cropduster08 Jul 2, 2014 2:31 PM Flag

    Tim, remember that I am relatively new to HUSA and to the board. Anything before last year is merely a research item for me. I'm not really emotionally involved in the history of HUSA.

    To respond, nobody said the comment about billions of barrels of oil doesn't matter. But we will never know because the COP-4 drilling was a failure.

    I don't remember the details about the options the board was issued, but, like I said, I bought my first big chunk of HUSA around 23 cents. Is it a coincidence? If it is, it is a surprise to me. Tip - assume somebody is telling the truth until proven otherwise.

    The 10 year rule? Make fun of it, but, as the old saying goes, those who don't study history are bound to repeat it. In HUSA's case, I want to repeat the slow rise from 10 years ago, not the crash that you experienced.

    Sorry to disappoint you and everyone else you say is watching the board. I am just a private investor who likes HUSA, nothing more. I met the CEO and some of the board at the shareholders meeting, and two other private investors, one of which came up on the net to confirm he met me. My name is my business. Come to the next shareholders meeting and I'll tell it to you when we meet.

    The salary, plus options, of the CEO and board are non-issues, in my opinion. They are not out of line.

    Nothing new on the FARC. They are still in peace negotiations with President Santos, as a result of the June 15th elections, as I reported.

    I agree that HUSA needs results and I believe that they will be forthcoming. In the meantime, hopefully we can shift our posts back to a discussion of the issues, like earnings, cash flow, how we are coming on the pipeline of projects, and progress toward drilling in the Serrania.

    By the way, HUSA never declared bankruptcy. It is a debt free company.

    Tim, I don't want to get into a protracted argument with you or Bobby. In the final analysis, I think we all want the same thing - which it for HUSA to recover.

    Cropduster

    Sentiment: Buy

  • Reply to

    News worthy?

    by mcintoshe21 Jun 18, 2014 12:47 PM
    cropduster08 cropduster08 Jun 27, 2014 5:33 PM Flag

    Dave, your point about the stock options awarded to Mr. Terwilliger is a good one. And, yes, I saw it in my research. For anyone interested, just go to the HUSA SEC filings and click on the top filing and you will see Mr. Terwilliger's options awards for this year and previous years. Its no secret.

    He was awarded 600,000 options this year and the same amount for each the past several years. I think it was 900,000 in 2008, then he skipped a couple of years. Look at the filing if you want the exact times and numbers. The directors were awarded a smaller number of options.

    If you add in the options, I would say his total compensation annually is in the same ballpark as CEOs and Chairmen of other oil and gas companies, maybe even a little less. So I really don't see the problem here.

    My own personal view is that as the founder and the largest shareholder, Mr. Terwilliger designed the bus, built the bus, painted the bus, registered the bus, and drives the bus. Buying stock in HUSA is akin to buying tickets on the Terwilliger bus. For the CPO-4 block it was a trip to nowhere. Too bad and bad luck. Now that the CPO-4 trip is over, how do you feel about buying another ticket to Serrania and the pipeline of domestic projects? Nobody is forcing anyone to buy a ticket. Any passenger can get off the bus right now if they want to.

    In my case, I like the experience and the ability of the bus driver and don't expect that he will take another wrong turn like CPO-4.

    Just having passing some time writing the message on a slow Friday afternoon. Thanks for your question and have a good weekend.

    Cropduster

    Sentiment: Buy

HUSA
0.337-0.023(-6.39%)Jul 29 4:00 PMEDT

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