RE:Delays are a problemMargin321 wrote: As I see it the biggest problem is various delays which decrease confidence that company can execute plans. Biggest short term problem is getting production and revenues growing - otherwise company finances will not support development drilling or next phase of exploration. New equity at current share price would be a disaster, as would taking on debt without revenues to service the debt. Not that anyone would give them that with current revenue stream.
The recent operations update of May 25 had a couple of items that illustrate the problem. 1. The service rig is at Chinook. They announced they are going to test the 20 feet of gas in the shallow Cruse. formation, up hole from where the well was plugged. But they say “we will begin as soon as we get approval”. What is that about, how can you drill a well, test it for months, and not have approval to do a simple up hole test? Who will approve it? An agency of the government already has a contract to buy any gas they find. We should have the results already - you can’t make it a big drawn out process (and expensive one) to get that piece of information. 2. Delay was announced in moving the rig into Royston pad - because of need to add soil stabilizer to the road. I used to make roads. “Soil stabilizer” is a pretty broad term to increase load capability and reduce dust and erosion of “dirt road". The process can use different compounds including more modern polymers, but also oil based or cement based or crushed or mine waste. It usually follows grading and some gravel. It is short of paving the road. Anyway , they have had more than a year to get this access road planned and ready. How can this be a hang-up right now. Makes very little sense.
These kind of items increase expense and detract from confidence. There is total urgency to get cash flowing - absence of cash month after month is annoying, but absence of cash for another year or more actually is a threat to financial ntegeity of the company.
"Delays are a problem"
I beg to differ, as they provide additional time to accumulate even more shares. Therefore delays should be encouraged and regarded as a positive from an investors perspective ! LOL