RMP ENERGY INC T.RMP

John, Craig, Dean looking a bit dumb and lazy

[JackDeeValentin]

RMP is a company with desirable high quality assets but mgmt are now tools working against what is in the best interest of shareholders There has been PE and strategic interest which they've pushed back on. Such a deal would provide the asset base with a much lower cost of capital and better liquidity. Many strategics such ARX trade at high valuations and issuance of equity could be accretive and create economic value add comparing their cost of capital with the return on capital In an environment like this a mgmt could also look to monetize non-core (valuations all much higher than where RMP trades on asset sales), or sell infrastructure and lease back, or bring a partner to develop well program in Gold Creek, Waskahigan, Ante Creek. These options all represent a much lower capital cost than issuing shares. So lazy, dumb, ignorant or rattled, call it what you want. The cost of capital issuing shares at this price is 25%-30%. Despite a legacy history of putting together a good base of Montney assets and well results, RMP's mgmt have been become slugs working against shareholders given their array of options. Time for these assets to be owned by a better capitalized strategic with a much higher valuation in the public market place or taken private where adult investors can oversee capital outlays, financing and the economic value add. Doing distressed equity, 25%-30% cost of capital financings is inappropriate and utterly irresponsible. Good assets, credit deserved for never getting over your ski's in terms of debt, but this is complete nonsense Time to move on from John, Craig, Dean et al --- fall on your sword, your now hurting this company's long term potential for success

[Ellesse]

With new financing 30M to reduce debt.... It's going to hurt the stock price in short term... Nothing much we can do.... It might take 2-3 years to see back to $3.00 - $4.00 level.... Oh well....

[Jonesing]

I know we are no TVE .They just completed the same type of deal and there SP is not suffering. Regardless we are 2 to 3 years to get to over 3$ and it's not because of the Financing or how gasy we are. The market scks, oil is over supplied and will be for years. At best 50 to 60 a barrel by end of year

[Albanian]

Why would it take 2-3 years to to get over 3$. I could see a buyout before that or a lot higher of a sp in 2-3 years.

[Jonesing]

I think oil recovery will be slow and bumpy. No one in OPEC gets along, and the Russians proved no to be trusted in the past. So we could see some recovery and then boom Russians or Saudi pull out of oil freeze and we are back down. As for buyout I agree with you on that one. Lowering the debt makes a company like RMP much more atractive to takeovers or buyouts. 

[Albanian]

I don't think Russia or Saudis can produce more even if they wanted to, freeze at the highest level of production seems a little counter productive to me. On a positive note sure how accurate TD is but it's showing 1345 bids against 2 sells at the moment, I loaded more of Rmp today as I see it very undervalued.

[Jonesing]

hard to say what they can produce. They keep things pretty tight lipped. Agree RMP undervalued and also toped up after the financing news.

[MustangMatt]

Well said JackDeeValentin, I agree 100%, however, one cavet.  Could be John, Craig, Dean have found something over at the new property.  I have to give credit to  this management team until it is proven that I have to with draw that credit.  This management team has earned it.  If in 2-5 years this proves to have been a mistake then I will re evaluate them.  Loyalty