Here Is What I Sent To Geoff...It is Long!!!Hello Geoff,
It was a pleasure talking to you quite some time back and I felt this company is in extremely good hands but since then I am quite shocked as to what happened on two main things.
The first thing I am really not pleased about and absolutely scratching my head is in regards to the equipment being damaged. This is something I would have thought management would have done a risk assessment for and had the foresight will inevitably happen and have a plan in place?
If any company in production heavily uses equipment there will have to be natural wear and tear and quite possibly as in this case damage to it that will inevitably stall the process. With extreme heat pressure and electricity equipment by the vary nature will take a beating. Add cooling and heating things will expand and contract bending breaking and shattering. I don't understand how there were not any back up parts cables the sensor etc???? As a result this has put things back 3 and a half months and still running. If an engineer in a company did what happened here that person would be fired!!!
Moving onto the next one what happened for the company to lose over 75 percent value off its 52 week high? It is kind of strange that there wasn't any share support whatsoever that it imploded that badly and a raise had to be done at .27. Now quite honestly this looks like a convenient way for people in the inside our partners getting cheap shares because they did not like paying the .68 first raise??? There is no way the shares should collapse like this that while the heating process people at retail are told things from positive at least nothing negative to a more neutral still positive that things are working as expected. Had the company said things negatively yet still honestly then I would understand such a heavy drop but we never got that news at retail.
Ok one more thing because it became a big issue to some people not to me...so much so those people dumped shares and happened to do so on the high and get at the very low which makes me wonder if they know someone on the inside. In any case they dumped shares on the company not letting people at retail know how much oil is produced/flowing with the heating process what does it equate to in terms of barrels per day? If this is a bit tricky to put into that way I think this is something the company really needs to address because people think the company is not being fully transparent and hiding something. Like I said I didn't see it as a big issue but maybe I should have.
In some companies I hold all my shares longer term prior to what happened here I was doing so but in these two circumstances I am not pleased at all the lack of what should have been foreseen and the implosion of share value. I am debating strongly whether I will hold all fully for a higher price point or trade some out. In my first call to you I asked you point blank what is it that the company is looking to do with the oil and gas ip...you said to me that you don't have a crystal ball as to how things will go fair enough. My concern as to what I said in this message about our partners looking to get cheap shares is a serious one for me to consider so I know where I stand here. I believe that they took the shares down to ultimately get a cheaper acquisition price. I will never be able to prove this and you will likely say this is not the case.
My question is this when the chips are down will this company do what is best for the retail shareholder or what is convenient and easy which will be more favorable to the partners? I see it this way the partners got shares cheap and the company got funding to make all this possible so as far as I see it both got something there is no owing on the company to sell things cheap or think to do so out of loyalty to any of the partners. I hope this company shows spine unlike at these points which I can understand is possibly better getting monies from the partners than from brokerages who may do more damage later on.
Whether what I think is off base or not I am putting all my thought (cards on the table) that's the way I deal I don't hold things tight to my vest and if there is something on my mind I will speak it. Now I am curious as to your response because it may give me a better understanding as to things and to avoid making assumptions that are faulty but the share price collapsing seems real odd to me.
I won't bother asking about time frames of the workover and heating as that needs to be pressed but the foreseeability and the company not doing more to have averted a more than 75 percent share price drop yeah that has me scratching my head and thinking will this company do the same or fix these things?
Overall I still love what I see with the tech and hope the our interest at retail will be strongly considered when the time comes to divest the ip for oil and gas. Some are hoping the company will decide to run Mayrne and get into the producing side and holding majority ownership for a potential at higher share prices vs a lower acquisition one. I know there are several options but I don't personally see this company running production but rather most likely getting perpetual royalty payments and with that a lower share value.
With production people are hoping for extremely high share values over $50 a share. With licensing and low offers I tab this at $2 to $10 per share but I am wanting upwards of $40 or that at the least however it all depends what management wants and how it moves. It gets perpetual royalty on whatever arrangement then I know the value will be fairly low. Again I speak what's on my mind and whatever happens well it should be thank you and go on my way whether I am looking at seemingly high share values which are only achievable if this company runs the plant vs anything else but that is very expensive time consuming and has a high risk or not. I am as I will say objectively riding your coat tails as well as all who I put money into so it is what it is.
As hard as I am I will say you guys are doing a really good job overall although if when we first spoke I saw the company as an A plus which I did since then I see the company as a Bplus which is still really good but has some room to improve on.
I look forward to your response thanks in advance I greatly appreciate it...onwards and upwards :-)
Sincerely
Samir Goel