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Bullboard - Stock Discussion Forum Compliance Energy Corp CPYCF

Compliance Energy Corp Is a Canada-based exploration and development company. The company is engaged in the exploration and development of resource properties. The firm is an exploration and development company working on resource properties it has staked or acquired, principally on Vancouver Island. It has interest in Comox Joint Venture (CJV), which holds the Raven Underground Coal Mining... see more

GREY:CPYCF - Post Discussion

Compliance Energy Corp > reality bites again, and harder
View:
Post by bocaman on May 17, 2013 2:56pm

reality bites again, and harder

Yep, Suomalainen - I almost typed Sumoalien - Chris and Mokita are Indians too.

CEC news today is devastating, for those who only want to hear good news.

CEC has spent everything! All the CUM shares are gone. Ongoing basic expenses will eat up what remains of their cash in a few months. Nobody's going to underwrite a new share issue with the condition this company is in.

The EAO has just added at least a month or two, possibly a lot more than that, before the company can even resubmit an application - and that's before the 180 day environmental application can start.

It looks like the special resolution is just about ensuring the existing directors can exercise absolute control over who can be nominated as a director. That's surely the Emperor's New Clothes story, Compliance Energy style. Surround yourself with sycophants.

Oh, that's a big word. Sorry. Brown nosers, if you prefer.

There's no fix for the junky coal. But there are things they can do with the company itself: Consolidate it down to 10 or 20 million shares. Work a private deal for a substantial underwriting and equity position. Get a more exciting property to promote than the garbage they hold right now.

Comment by 2guys on May 17, 2013 3:01pm
They still have $2 million I believe, but if they no longer have a potential project, then it would be wise to reduce the salaries/compensation as there's nothing worth paying a CEO over $200k for just taking care of cash, IMO.   If they don't resubmit, then it's time to really cut costs and move on to another project, not another play like GUM, but a real energy project that has ...more  
Comment by bocaman on May 17, 2013 3:33pm
A review of CEC's financial statements shows that in 2011 and 2012 they spent on average $100,000 a month on "general and administrative expenses". Those include compensation, office rent, etc. But nothing related to the Comox Joint Venture or the Raven project. The quarterly statement just issued shows that they have whittled those down to about $60,000 a month. The quarterly ...more  
Comment by 2guys on May 17, 2013 4:05pm
Last time I spoke to IR which was well over a month ago, I was told that CEC had approx $2 million left.   It was over the phone and not be email, so it's not verifiable.  Anyway, if there is going to be a resubmission, I would expect increased costs, otherwise I would expect much less than the $60k per month. JMO
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