Typical share price pumping going onCanacol's share price is almost always manipulated higher on the cusp of news, then once the news is out, the share price trades down.
The old pump and dump....or buy on rumor sell on news.
The gas well Canacol is drilling right now is a development well, it will ad zero reserves to Canacol if successful. There is a better chance that the well results could result in a reserve write-down. Management guided that the well would take 5 weeks and it was spud in the begining of August.
Canacol's 2014 June YE financials are due to be published within 90 days of its year end. Last year's numbers were released on Tuesday Sept 23, 2014. Would expect similar timing for the 2015 numbers. I was surprised that Canacol's cash balance was so low in their press release on Aug 10 ($45 million), I hope the financials can connect the dots. After the last two quarterly reports Canacol's shares have traded lower.
Canacol still has not press released that LNG project that they contracted their gas to is dead....when will that happen? Maybe they are hoping to lump some bad news in with some good news.
Transparency with this company is a total joke and Canacol continues to lose money each month.
Considering Canacol is still primarily an oil producer, I'm currios if they are still onside with their covenants on their debt, if the pipeline for their gas is delayed the lenders may lean on Canacol to issue equity to fix their balance sheet. Would be a total disaspter for shareholders, but that is just one of the risks outstanding.