CGX Energy Inc V.OYL

JV

[taal]

WS I believe we had discussed this in an earlier post..Cgx is in need of money for thier share of the drilling...The money will either come from Fec...or via a JV...When I posted this our share price was being held in that 88....90 range.Our discussion was that if Fec was financing the deal then that was most probably the reason for the share price being in that range.....But if the share price started to move ..like it has in the last week or so that there would be a good possibility that a JV was coming....I still believe that to be the case...The only other reason for this move would be a public financing (private placement) or a bought deal financing at a pre-determined price.....But I highly doubt it....I believe we will get a J.V

[westcanpride]

I agree taal with your post here.  Another thing to look at is that Frontera does hedge a lot of their production. Besides the obvious of not getting full market value of ~$75/bbl Brent right now for all of their 40k boed (close to 50% produciton is hedged till end 3Q), it implies that Frontera's board is risk adverse to a large degree. Otherwise, why hedge at all? Anyway, my point is