Spyglass Resources Corp SGLRF

SGL buy back interests me

[PUNJABI]

I did trade this stock long time ago. Then lost interest.  Yesterday when they announced possible buy back program. I have moved SGL to my screen number one. To monitor &  tested trading the stock yesterday & today. Trying to figure out the trading pattern & the reaction to overall market.

I spent some time reading the about the company & am bit confused about their target production of 10000. They sold 1250 boe to Eagle. How do you explain the differnce of production from over 13000 to 10000. Some how I cannot figure that out. They have decline rate but also capex of $26m . Eagle said that their purcashe from SGl has a deline rate of under 10 % . Now SGL states that they have a decline rate of 21 % . Which is not bad but not as good at 10 %. Which means that they have sold their best asset.

If they expect 10000 b with $26m capex then the decline rate would be much higher. Some how the figures do not add up.

I am interested in the buy back. They have a small float, Short position  & stock at $.39. The buy back should provide support & short seller will help to move the share price. Short postion is 5.3m shares that is about 4 %. Total oustanding shares are 128 million & tax loss selling is over.

Now the big question is will the company buy back or not. Lot of companies announce buyback but do not execute. LTS announced buyback bought some shares stock ran from $2.50 to $3.90. Then they pulled the plug & the stock hit $1.18

If there is no actaully buyback I have am not that interested in this company but if they do I am ready to trade it.