RE:RE:RE:RE:RE:RE:RE:RE:RE:RE:RE:RE:Bad start to the day
I think that's a fair question. If I had to answer I would suggest three things. First off, by explaining the $25 million they have in the bank and pinpointing what it is ear marked for, it shows me as an investor that they have a plan of action and are following it. Anything extra that falls into thier lap is a bonus.
Secondly, in my opinion, it shows some confidence in the ground in the sense that they wouldn't earmark this for additional wells before the original results come in unless they had some confidence that the results would be atleast viable.
Third, I have to assume that by coming outright and suggesting the second wave of wells will be paid for by profits from the first would be bad strategy (think controlling the message and presenting in a way and time to get the most value of the SP for a buyout) and possibly (not sure, someone would have to either know or check on it) go against the disclosure requirements for the exchange.