GREY:ZARFF - Post by User
Comment by
Cardboard1on May 22, 2018 9:09am
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Post# 28062498
RE:RE:Annualized CFPS of > $0.60 starting July
RE:RE:Annualized CFPS of > $0.60 starting July
Pretty clear that they do not consider status quo sustainable:
"Zargon's board of directors recognizes that Zargon is a suboptimal size to operate as a public oil and gas company in Canada, and continues to explore alternatives to allow Zargon to continue as part of a larger, better-capitalized entity."
The key was to survive long enough and not do any stupid transaction until a stronger market like we have today did develop. That is exactly what they have done: extended the debbies in early 2017, then took advantage of low decline rate to hunker down.
I also take comfort in that Craig Hansen owns 7% of stock and $900,000 of debentures. Must be a decent percentage of his wealth tied up into Zargon.
They also have $154 million in tax loss carryforwards which will start to gain value to other O&G firms as profits return.
Cardboard