Anyway, they sold the property because it wasn't producing oil like they expected. And, to drill more on that land they would have to incur some $40 million and pay lease on the land. So, they took the loss and would rather have the cash in the bank for drilling elsewhere. In other words, they got an offer for the property they thought was a good deal. And, they though to do it now and now wait as they thought oil would drop again as it has, so take the money now.
He said 60% of their revenues is in oil and 40% for natural gas. Because OIL is falling again, they plan to produce more natural gas where the pricing is more stable. If oil keeps falling, it is at $52, and falls back down to $40, this can cause CRK to fall further. So, the price of oil is the critical barometer.
Let's see if it holds tomorrow. good luck gambling.
That is a large swing in half a day.
What caused the change?
yes, it sells to the US, but the price of the US isn't immune to world prices. Let's be real. There is a reason for the sell-off. There is a reason their bonds are selling for 50-60 cents on the dollar.
hey, I admit I was wrong today.....let's see tomorrow what happens and in the next few days.
I had to write why the $25 million hasn't closed and the reply was:
As referenced in the Stock Purchase Agreement filed on Form 8-K on June 24th, we have until July 15th to close the Davidovich transaction.
Any updates to the Company’s cash position and/or cash guidance will be provided during our second quarter earnings conference call.
Vice President, Investor Relations
Cleveland BioLabs, Inc.
It can't even reach $2.34 again. Watch this close near $2.20.....and start selling off again tomorrow.
As any bear market sell-off, China is just starting. The Chinese market jumped over 100% in the last 52 weeks. So, even if it falls 50%, it is still up 50%. That is why there is more pain.
You have no idea how bad things will get in china. this will bring down the prices of all commodities lower than you expect.
China Slump Spreads as Alibaba Sinks, ADRs Approach Bear Market
They are all down. I won't b surprised to see this at $5 next week the way the Chinese stock market is selling off.
Because you know it is a false dead cat bounce by idiot small retail buyers who think: Oh, this was $4.50 last week so $3.32 must be cheap.....
It isn't management. No one realized how much China would dramatically slow down. And, we are just at the early stages of China slowdown. The Chinese Government has DECREASED interest rates 4 times now to try and stop the country from collapsing. And now, the Chinese stock market is scaring people it is making things worse.
Then, you have Greece that will cause the EU to decline this year.
it is just worldwide decrease in commodities usage that no one predicted. There is no way CLF can sell more product or raise prices when Australia can do it cheaper and can flood the market.
I bet this closes in the $3.20's and it will fall under $3 by next week. Lots of forced margin selling also will push this down.