MGM Energy Corp MGMCF

why is MGX down today?

[shambano1]

is anyone else surprised by the fall-off in MGX SP today?

I didn't think we would see 021's again but I guess with commodities falling, maybe sellers are just selling everthing O&G which does mean MGX.

oh well, MGM is my hail-marry pass, so I don't care if it keeps falling.

I also noticed that the sellers are coming down on their ask prices, but how low can she go?

DYODD

[joehkeller]

A friend of mine has been liquidating his position because he needs the money.  He sold his last 250,000 shares today.  He needed to get out, hence the lowering of the ask.

[farml1234]

Re:::A friend of mine has been liquidating his position because he needs the money. He sold his last 250,000 shares today. He needed to get out, hence the lowering of the ask. if true we should do much better   . JMHO    

[shambano1]

sure I can believe that because I just can't see it being company related, they have too many things going for them and drilling is just around the corner. hang on longs our time we will come soon. DYODD

[shambano1]

basically shareholders are waiting for drilling results that will be happening in a few shoprt months and depending on those results we could see a minimum 25% increase in our SP and I'm guessing even as high as 50%, so we could go from 0.22 to 0.33 over night.  if they can fit in the second well in 2013 also, and if that well is successful we could also be in for another 25% gain or

[SmallBet]

Question:  If MGX were to hit one, or two wells this winer in Shale oil, then why would it not go to production for 2-3 years?  my understanding, is there is a current pipeline very near by, in which case it does not tak much effor to complete a well then produce...

[shambano1]

well things happen a lot slower in the artic where they need winter roads, and getting supplies is a lot harder.  and don't forget Shell is going to have 50% of this play at the least so they are not interested in 1 or 2 wells producing they want 100-200 wells producing so setting up the gathering system, batteries, etc, will be a major project. but they might also want some production

[SmallBet]

thanks shambano1, great insight!  been a while since i worked in that area, simple things, one forgets...

[shambano1]

I'm no expert and there are others with much more knowledge about how things are done in the north, but I think produciton from 2 wells by 2014 is very doable and then if the numbers are really good, we'll see a major development program from the big operators, like shell and husky. GL