Desert Mountain Energy Corp V.DME

Forward Sales

[Fredo51545]

Does anyone besides me believe it would be a good idea to take enough cash in via a forward sale and start paying a dividend immediately? A $.10 quarterly divvy would cost $24 million over nine months by which time they should have some wells on production. Even if initially throttled back, they would still be in a surplus cash flow position as they paydown the forward sales volumes.

[mrfrankl]

For what purpose? To build hype for the stock?

[Messi09]

Have they ever talked about a plan for dividends before? I've heard that mentioned in the board but never heard it from management.

[mrfrankl]

https://youtu.be/zZKRnTMXRAU At about 24 minutes. This interview was back in early April

[tylerod1]

DME has been prudent about staying cash positive and not incurring debt. Why would they risk that now just to pay a dividend before we go into actual production. DME's cash posisition is one of the things that sets us apart from most junior explorers and is what will make us even more attractive when NASDAQ listing in institutional flow starts.  I'm all for dividends AFTER the

[SprengoM]

I agree with your opinion. They should invest as much as possible of their cash (flow) in drilling more holes and building up production.