OTCQX:GXOCF - Post by User
Comment by
smittyfrompaon Feb 17, 2011 6:20pm
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Post# 18153748
RE: RE: This move stinks
RE: RE: This move stinksIf they were to flow test a horizontal AB at 1000 BOD (or more) of light sweet crude, and announced same in about two weeks, they could have sold half the number of shares, at probably $7 or higher, to finance the asset buy. In fact, with a successful flow test, they probably could have sold higher priced convertable preferreds, with even less dilution. While they didn't intend it this way, this extreme dilution says to me they are simply not that confident in the outcome. Of course, if they do get an outstanding flow test, many current investors are going to be even more angry, at the $4.30 dilution price. Diversifying within the province of Albertastan isn't exactly exciting, either. All strictly IMO.