RE: Choke vs FlowI can't see any consolidation happening and any equity financing. If the company didn`t abandon the Calatea-1 exploration well and continue burning cash on that well then maybe an equity finance would be needed (they could have also tried to get debt finance instead of equity). I think the new management is doing the right thing and just let Balay-1 come on with full capacity production (current testing production of 1,378 barrels of oil per day is pretty good) and Balay-2 come on with tetsting production - these two wells will give the company a significant amount of cash after a little while of production. With the money they currently have ( from their presentation as at March 7th 2011, they have more than $13 million and $7.2 million "Letters of credit"), I don`t see any need to raise cash.
The more you dig into research on the company, it`s becoming clear to me that traders are desperatley trying to knock the stock price down by making those new to the stock think there will be some sort of equity financing coming. With the old management strategy of focusing on exploration, then I would have seen a need for financing but with the new management focus of building up producion and collecting cash for the company to use for future exploration and operation is the right thing to do. The share price where it is now is a steal to me - do your research and please, offer me a different opinion that what I am coming up with (it`s looking clear to me that current stock price is a steal).