Kolibri Global Energy Inc BNKPF

RE:Another news release

[BrokerG]

I agree wittman that it will be speculation on our part, but that is where the fun is.

First of all this strategic review was mentioned in January 2018, go back and see news releases. So this is nothing new. Second, this is the important piece of news release:

The next phase of development and associated exploitation of these resources could be better suited within an entity with a lower cost of capital.

In other words we need MONEY to develop this field and  our current cash flows are insufficient at this time. The pace they could develop the field, on their own, would take an extremely long time given their cash flows and capacity to borrow further. So they need a partner.

This news release is the bold move I was talking about in my last few posts, if they do decide to proceed with Macquerie's recommendations. So where does that leave us shareholders? Over the next few months, probably status quo. I would speculate this analysis to take at least 6 months. So we should have an idea by this Fall. Good for BNK's Board to realize that they need to take the next step. 
My only hope is they do not too desparate and give away the candy store at .40 to .50 cents. Wittman is correct that the majority of management options are priced higher than .40 cents, so I guess that is somewhat comforting. As I mentioned before, the current NPV at a reasonable after tax discount rate of 10% is 1.27 share. Obviously we will never get that much in a takeover, eventhough I only took Proved reserves only in my calculation.

By the way BNK has just put out a new shareholder presentation on their website. Look under shareholder and then presentations.

Could this finally be a little hope for us long suffering shareholders? I hope so!