What class of preferred do you own? ((you don't have to disclose it here)). You may have a class not covered in the announcement. I believe it covered Class's A, B, C and possibly D. All I'm doing is relying on what has been reported. I can't understand why they voted to start paying on the classes they are already paying on. Maybe it's just a mistake, but it was reported and... I'll just leave it there.
It seemed positive to me.
I actually hold preferred shares in several companies. I do understand them. Regardless of what they could or couldn't do previously due to accounting or what ever, they did have a board vote to start paying on several classes of shares.
Lets think this through. They had a vote, which was published, to start paying on several classes of preferred shares. If they voted to do it they obviously had not
They know this company is about to turn the corner. The fact that the company just recently had a board vote to grant dividends to several classes of preferred shares indicates strong profit's are ahead. You do not vote to pay dividends unless you know you will have the money to pay them. This for me was an obvious indicators of better days ahead.
The part I detest is that when a company pays dividends is also slows the stocks potential to run up in value for common share holders. That being said, if the stories about the production increases expected later this year are true any shareholder should be very happy. The stock could double easily once those numbers start to appear.
Maybe Aug 8th ? I'm personally betting on the next quarter being better news. But we might get a surprise this time. If noting else maybe we will hear better progress on the existing wells. From what I've been reading and learned from friends they are progressing, and that is good.
The rumor from the oil fields says they are working to complete connections and some are complete already. If they get the new wells online producing even close to what is expected they will do very well.
I have some folks telling me this stock could double or more by years end due to the completion of the infrastructure. BUT THE STORY SEEMS TIED TO INFRASTRUCTURE THAT IS CONTINUING TO BE PUT IN PLACE enabling the company to be independent of others for transportation and storage.
One thing to I try to remember is that no matter what "Gary" does, all the work the company is doing continues. One doesn't send drillers, transporters, welders etc... home because they are buying some more strategic land. Buy the way, he who owns the land and infrastructure makes the money.
Better times ahead, soon.
Doubt it will sell. Even with the known comments. Some CEO's make such comments to drive price valuation short term while shares are being sold by key persons. Not uncommon.
More importantly or to your point, it also publicly opens the door to bidders who would be interested at some key point. CEO's also do this to bring dollars into the company. They negotiate investments rather than a sale of the company. Remember "Gary", it seems some believe he's pretty sophisticated. If he is, these could simply be tactics to find money and or even acquisitions. Would you sell your company just before your production is to shoot up and connecting pipelines are about to be complete? The company just instituted monthly dividends to preferred share holders. Does it sound like preparing for a sale? We each have to decide for ourselves. Only time will tell.
This makes since. Our company did the same thing when we offered shares privately to key investors who were interested in supporting the company.
It appears from the information you provided from the documentation that the shares cost $7.00 when sold and I doubt the share holders plan to sell at the prices they purchased them for. If anything I'd suggest this registration bodes well for us. These shareholders won't sell for less than a 25% profit. Most professional or institutional grade investors expect those kinds of returns before they cash in.
If my optimism turns out to be wrong and they dump their shares on the market I'll be shocked since the information I'm reading and getting from the area they are working in would seem to dramatically conflict the action.
Cuda68300 Thanks for posting the info from the documentation.
Do you believe that they don't know the costs to connecting the wells as well as those associated with the Bid? If they buy a foreign company they can avoid American tax by assuming a foreign domicile. This will drop plenty of money to their bottom line. When the interconnected pipe lines are complete the oil will flow freely and increase production to around 35,000 BOE from 14,500 (prox).
Based on the available information it seems they are getting themselves prepared just in case Obama pushes his tax avoidance barrier regulation through the IRS or Congress steps in to do the same.
Some companies are unloading stocks to build cash positions ahead of an expected market decline.
I wonder if they plan to sell their common shares and buy dividend paying Preferred shares. I'm thinking about trying to do that myself.
Yawn, oh excuse me. Did you say something? Either make verifiable corrections to my referenced information or don't bother communicating with me. I don't have time for adolescent communication.
Be prepared for a surprise later this year. I'm hoping it happens in the next quarter. One industry insider has commented the company will see dramatice increases this year. I'm hoping he's correct but regardless the production rates will increase dramatically this year or early next year.
One thing I've learned in business and investing, nothing goes according to schedule. We lay out plans to accomplish goals set. Many times the steps are accomplished but the final date is missed due to forgotten items or life kicks in and #$%$-- happens. By the way, most well drillers miss their dates.
Drilling wells is very much like that. Broken bits, pipes and generators failing etc. Even safety inspectors can shut a well down till some simple fix is put in place for a safety issue.
It may be outside our personal goals, personally or financially but patience pays off.
Many of you guys have been here longer than I have and I will recognize that fact but let me also say I've learned patience is a good thing. In my work life before i retired I worked on hospital projects as a provider of capital equipment, as a specifier, seller and installer of big ticket items built into construction projects. Some projects took 7 years some just 2 to 3 years.
This multi-day decline is broad based and frustrating. Regardless this company is increasing production. That means we will see share prices firm up and i suspect balloon by years end. It could even begin come August 8th after they report. I certainly hope so.
I believe this company will do well, just as I believed the projects would close favorably and did.
Hello Upton. I don't believe Kent was saying Keystone would be a relief for the Bakken. He was speaking generally. The problem with the flow of crude oil supplies getting to market is covered in within two issues. One is storage. There isn't adequate availability. and the second is that there hasn't been either trains, trucking or pipe it can be transported through in many critical areas. MHR has fixed this. There will be a supply surprise by the end of the year. It's on schedule to jump.
That info isn't from just Mr. Moors. Folks I know are saying theses guys are making significant progress. We don't get the day to day blow by blow of whats happening on the ground. All we get is news they did or didn't meet a date. That doesn't change the positive progress they have and are making.
Kent must consider the Canada crude as part of the North American oil supply and not just US supply. Keystone wont supply oil to the US. Most folks don't know this. It's contracted to go to China on a 20 year contract. My point the pipeline isn't available for transport. That was the point of Kents comments.
The fella I follow on energy just announced success on his first project where subscribers to his information are given priority to invest in drilling projects. The first well of 25 is producing $60,000.00 per day in oil. 24 more wells to go.
An announcement was just made about a second project with an expected payout of 337% within 60 days of drilling. Investors also get revenue from existing production wells in operation.
Only Kent's subscribers can participate in his Direct Investment projects.
If your an accredited investor it might be of interest for you to subscribe to this mans information. Look Him up. His name is Dr. Kent Moors.