Post by
uograd on Apr 29, 2010 10:31am
The risk is about the second well
If it craps out like the first well then .20 is way too high a valuation for this company. If it stays steady and proves up additional locations then .20 is fair value. With the first well crapping out there is no support for a market valuation higher then .20 with all the guys who got the cheap shares in the first financing blowing out their positions. The guys in the second financing got screwed royally by not being informed the first well had gone to shat.
Petroglobe will be lucky is there is not a class action suit.