RE:RE:RE:RE:RE:RE:Fairly simple next steps… I think WCP is not being clear with his statements. I think he is trying to say... FEC should have given CGX fair market value in the past instead of trying to shake them down and taking shares for pennies because NOW, no ones values CGX shares more than 24c. Because FEC are IDIOTs. They should have pumped CGX shares giving fair value in the past and had the SP at $2-3 and then SOLD CGX to the highest bidder and the new owner would have had 27% of the block and FEC would have $500mil or so for their troubles. That is what they SHOULD HAVE done if they were not such morons.
So, now, what can they do. WCP is saying they should try to do that now. Give "fair market value" which he puts at $1 for 27% of 500-600mil boe as determine by 2 independent assessors. If FEC can generate interest by fully valuing CGX and proposing one or two "cheap" appraisal holes (maybe $50mil each as they only have to drill M zone), they could then sell CGX shares at a much high premium than 24c plus they could farmout another 35% of their 67% for a good return that will finance their future holes in the concession.By valuing CGX shares HIGHER, they could justify a higher ask. Plus their own 67% would be valued higher and they could sell off a portion at a higher price to help fund the appraisal holes without having to fork over more money for that. . At least that is what I think WCP is trying to put out there.
But the way FEC seems to be playing this is that the idiots will let CGX die on the vine and FEC walk away from their $500mil investment. Because they are soo effing stupid and greedy.