It's an undervalued growing company. Parex and other peers keep hitting new highs. I don't track who is on the bid, but note that often a bank will bid for client orders. Regardless of who the buyer is, I think it's undervalued. The big boys would trade this in Canada. PTAXF is only for retail players like me that don't want to go through the hassle trading in Canada.
Isn't that purchase price a typo? Rig is only 3.25 mil???? Thought that was about the option amount, not the total purchase price.
Romania needs the oil and gas regardless of who produces it. 3 wells to be completed in 2014 and many in 2015. We could see a lot of production over the next couple of years, especially given that East West has a market cap of only 33 mil and almost 20 mil of that is cash. The truth of the matter is that EITHER Cheal or Romania by itself is worth a multi[le of the current enterprise value based on likely cash flows over the next several years.
Good points. Credit risk is getting a little better, but still very high. Now prepared to be called a short. Some folks here don't like to hear any differing opinions.
Some interesting points, but I believe that whenever you have a spike like that on a heavily shorted stock many shorts are being forced to cover. Daily short volume in not a reliable stat. Yes, it was a pump rally triggered by Kyle Bass, but I think the short position probably turned over much more than you think. Anyway, I enjoy your posts but think you are off on this minor issue - not that it really matters much anyway.
Disc: Long a few Dex One Notes and some DXM common that will be called in June if DXM stays over 7.50.
The rules are a bit different for Canada, but it's a well regulated market. The company has SEDAR filings which are similar to SEC filings here. They are linked from Petroamerica's web site. Also note that cash was last reported as $95 million in March. $79 million was a couple of months prior to that. Cash is really piling up quickly. Many of the Canadian retail investors are upset that the cash isn't being put to work quickly enough. Talk about your "high class" problems.
If they lied about the IP rate it would drop off immediately by a very large amount. There is a difference between a well declining moderately over several months and say dropping by half or a third from the IP rate to month 2. You can't show one single example where they lied about the IP rate and there was a drastic drop from month 1 to month 2. A modest drop is normal as you should well know. You are just a shameless liar which is rather funny since "veracity" means truth. Maybe you should change your handle.
What makes you say that the run up to nearly $25 wasn't a short squeeze? It looked like one to me.
Good points Sam. Whatever you want to say about Mill and David Hall, I think they have generally been very fair and cautious with the IP rates.
In any case, I've been buying shares. We are in sort of a news lull. Sometimes people tend to get too depressed between news releases. It seems to happen especially with energy stocks.
I give management credit for not doing a secondary offering. There is nothing that will kill a growth stock like Mill faster than dilutive secondary offerings. Only the shorts are rooting for a secondary.
Mill tends to be fairly conservative with IP rates. If anything, David Hall will sometimes sit on the data longer than investors would like while the well cleans up. Why not make a legitimate short case Verado? Why lie shamelessly about Mill hyping IP rates. I've seen companies do that and Mill isn't one of them.
I did it the easier way and just withheld votes from everyone. They are unopposed, so it's not really going to make a difference to the outcome. It does express that I am unhappy that management created this issue with the options grab and had to pay CMS greenmail with shareholder money as a result. I'm not a supporter of Gov Richardson's politics and voting against the entire slate seems like the best and easiest way to express that opinion.
Investors like David Hall since most of the wells have been successful. Also he tends to give a very detailed presentation about drilling on conference calls and answer questions patiently.
olejos, I think Mill will do ok. Bill Richardson is a joke as a Director. He won't be around enough to do any real damage, which is why SB picked him from the CMS slate. One that's been fun to trade is East West Petroleum. EW.V or EWPMF on the pink sheets. 35 mil market cap, but 20 mil in cash. Producing about 250 boepd now, should be around 400 boepd by the end of the year and an 800 boepd exit rate for 2015.
In 1987 market's and the economy crashed on "Black Monday". There was a very rapid recovery under Ronald Reagan who had good economic policies (small govt / less taxes). Under Obumbler we've had the slowest recovery ever. Reagan would have gotten us to this point in 2 years, while under Obummer it's taken 6.
From the NY Times. Under Nobama we have had the slowest economic recovery since the Great Depression and it continues to be slow thanks to his failed economic policies. There is some good news for DRL. Economies tend to recover over time in spite of poor economic policies.
TWO presidential elections have taken place since employment by United States businesses hit a peak of almost 116 million workers. This seems likely to be the month when a new high is finally reached, ending a period that featured the largest drop in employment and the slowest recovery of any period since the Great Depression.
In February, the government reported last week, 115,848,000 people were employed by the private sector, just 129,000 fewer than the peak set in January 2008, just after what became known as the Great Recession began. That is well below the average gain in recent months.
Probably still some shorts left, but the rally probably at least shook out the amateur baby shorts. The idiots that were loudly proclaiming how DRL was going to zero would have taken their losses and covered on the spike above $11.
Must be old non-split adjusted info you are looking at. 75 cents would be $15. The reality is that if Puerto Rico recovers or at least stabilizes DRL could have a good year and it's trading at only a small fraction of book value. Could easily trade much higher than 15 if they get a break on the economy.