RE: RE: RE: RE: Donnycreek now at $1.10 and moving I am a shareholder of Donnycreek & Contact and have posted on both boards in the past. I sold some Contact and purchased more Donnycreek since the Montney well results and continue to purchase Donnycreek on dips (which is rare these days). My 2 cents:
- I believe Donnycreek is the best way to play the Kakwa property for a number of reasons: strong insider ownership (got to be at least 50%), low share count (25 mil FD), ownership position within the Kakwa multi company agreement (50% on all remaining wells), management's past financing (great job developing this play so far).
- Donnycreek "promoties itself" better than Contact (i.e. more timely news releases, management seems to do a better job reaching out to the investment community to secure financings, etc.) which is good in the short term and maybe increases the chance of a takeout, but I agree that what is really going to drive the value of this company over the next 6-18 months is drill results. (share price could double or triple from here if they drill 2 more wells like the first one...its a big "if' but I am an optimist).
- share count, lack of investor news, & dead shale gas land in NB (NB goventment isn't going to approve any fracing for a long, long time: other companies have moved out of the area - this property has no value) are negatives for Contact.
- the best thing that has happened to me as a Contact investor is that I was introduced to Donnycreek.
- I am also not management Stateside but have read some of your past posts and quickly realized that many of the facts you present are incorrect (for example - Donnycreek has the stronger ownership position in the Kakwa agreement, not Contact). For this reason I do not place much value on the information you share on the board
- Oldsock...keep up the great posts! I find them insightful, objective, and helpful....if others dont see the value and chose to criticize, its there loss!!
GLTA