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Energulf Resources Inc. ENGFF

Energulf Resources Inc is an oil and gas exploration company. Along with its subsidiaries, the company acquires and develops oil and gas projects in the Gulf of Mexico in Africa and Albania. The company's assets are located in Canada, Namibia, Albania and the Democratic Republic of Congo. Majority of the revenue is derived from the properties in Canada.


GREY:ENGFF - Post by User

Bullboard Posts
Post by Beenburned64on Jul 18, 2012 5:14pm
257 Views
Post# 20128185

When you invest in venture stocks

When you invest in venture stocks

you should be aware of the inherent risks. These are mostly small companies with no revenue that must come to market to raise funds. Delineating potential resources and then attempting to make a commercial find are time consuming and costly not to mention the odds of a hit.

I think many people who buy these stocks are dreaming of quick riches instead of measuring how much they can potentially lose here. When it turns against them they stubbornly hold on and get trapped in low liquidity trading. I bet more people get trapped in underwater trades on the Venture market than anywhere else.

Really I think whatever funds you earmark to a venture stock, you should be prepared for a 100% loss. Of course there is really no excuse for losing all your money, decent charting should prevent that but one should still accept this is among the riskiest of investments.

Most of the time I stick to trading index etfs, but once in a while, if I see a catalyst on the horizon such as an upcoming drill I will invest in a company which I would normally avoid. This is one of those times. The Lotshi drill is coming, its a matter of when, not if in my opinion. I am invested based on that line of thinking and will not change my mind on the stock until the Lotshi drill is off the table. Until we hear more, it is still on the table.

BB64

 

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