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LGX Oil + Gas Inc ROAOF

LGX Oil & Gas Inc is a junior oil and gas company. The company is engaged in the acquisition, exploration, development, and production of oil and gas properties. Its projects are in Southern Alberta. The company invests in all types of energy business-related assets, including petroleum and natural gas-related assets, gathering, processing, and transportation assets located in Western Canada. LGX is dedicated to delivering growth in reserves and production for its investors through land acquisition, exploration, and development of oil and natural gas resources.


GREY:ROAOF - Post by User

Bullboard Posts
Post by tatkoon Dec 20, 2008 7:54am
492 Views
Post# 15659260

Question

QuestionMy take:
With Cannacord deal we would get 200 million for about 35% of the company assuming the worst case scenario ie. the whole 112.5 million in interest would have to be repaid. This 200 Million would easily carry us through next 18 months even with this oil prices. Then OILEXCO's  market cap was still about 600 milion.
With RBS "deal" we are giving away 25% of the company for 47.5 million. This will carry us only until January 31 of 2009. This money is also repeyable on demand (47.5 milion) The market cap is about 180million.
This is an open question to Mr Arthur S. Millholland and the Board members: How is the RBS deal better than the Cannacord deal ???????
Can  Anyone correct me if i am subsantially wrong ?
Bullboard Posts