Southern Pacific Resource Corp STPJF

Debentures are unsecured bonds!

[stphouse]

Buyers of the debentures don't pay interest in buying the bonds fool! Debentures are unsecured loans to the gov't. unlike a bond it has collaterial on the oil and natural gas reserves. The total debt owed to creditor is about 500 million. This company is better of shutting off operations and not lose 30 million cash. and bleeding. this company was losing money when oil was $100/barrel. There is no equity at this moment for the shares . and note even dead cat bounce on the equity. or small chance. Only way this company can or chance is a buyer buys all the debentures and bonds of the company and throw your equity investors a bone. and if yo u are lucky it goes to a measly 10 cents which is 5% or 10 crents of the $2 it was trading in 2011