RE:Clear example this morning of manipulation Would agree the CGX share price below $1.00 is significantly below what we (as CGX shareholders) would expect the company to be worth.
In my opinion, given the volume of trading over the past 2 days (post Maka Central Results) - we have yet seen the big transactions. Yesterday, less than a million shares traded - amounts to roughly US $500k. IThis leaves me to believe:
1. Capital management firms, instituional investors (big money managers) have not yet taken a postion in CGX - big money remains on the sidelines,
2. Despite fairly weak volume (given the news release yesterday), the bid / ask spread remains tight (coiled spring per se). It's comforting to know that less than .05% of total outstanding shares traded can move the stock upwards 15% - 20% in a single day.
Is the share price being manipulated? Maybe. Based on volume traded over the past few days, I don't believe we have yet reached an inflection point to determine the stock is being held down by a key player / large shareholder.
I would say Frontera Energy seems to be in the same boat given where their share price has traded over the past few years. It would seem large capital management firms, instituional investors (big money managers) have yet taken a sizable postion in Frontera since its return from bankruptcy.
I would suspect investors want to see Frontera start harvesting their investments and return value to shareholders. This not only applies to their investment in CGX - but, many of the large infrastrucutre assets they hold interest in.
As mentioned in my prior post - I would question Frontera's desire to allocate US $150M to $200M for Guyana 2020 drill campaign. Rather, I would see Frontera shareholders would prefer to see Frontera harvest part of its investment in CGX for a substantial exploration, appraisal and development carry.
In my opinion, given recent Carapa and Maka Central Results (among the many other discoveries in the basin) - believe we will see Frontera/CGX start re-couping their investment in the basin via some form of strategic partnership, divestment, outright sell, etc.
Perhaps big money wants to have clarity on this arragement prior to taking a postion in either CGX or Frontera.