RE:expect 0.01 or 0.005 on monday, here is whyNow wasn't all your worrying for nothing?
This was a pretty easy trade to make.
A $0.68 book value stock with current production of >5,000 boe/d, in a country where multiple pipelines are being built into China (which is transitioning hard from coal to natural gas).
Add in the monstrous potential of Tajik and Kazakh reserves (sure, throw i Georgia too), and you can see the investment logic.
If Sinohan was still willing to pay $75M late last fall for this ONE asset (valuation of $150M), then should the market cap of the company be in the $25-30M range? Nope.
Yes the financial conditions put the company in a tough spot, and that is why the SP was so discounted. But now that we can move past the Sinohan deal and work on "maximizing shareholder value in the shortest timeframe", this thing is gonna creep back up.
Personally I hope CNPC or PetroChina buy us out at $0.35-0.45. Time will tell.
mingzhu wrote: 1, if they can not conclude sale 50% of JV in 13 months, how can you expect them to have a deal in 10 days?
2, Institutions have to sell millions of shares because of their policy toward companies on the verge of bankruptcy, like INA,(in first half hour, institions sold 30 m shares.) Retail investors can not stop the avanlance.
3, chinese are out of the deal completely. either TPL has some problems with govenment officials or Chinese have some problem. It is a mystry to me that a deal which is good for all three parties can not go ahead.
4, shareholders can pray that chinese become kinder and gentler and give TPL more time to have a deal.. I do not believe they will.
5, fear is always more powerful than greed.
i put half position at 0.01 and aother half at 0.005. But It is very dangerous play. Hope a miracle will happen.