VIRGINIA HILLS OIL CORP VFGGF

The Next Step.....................................

[bankerboy28]

the Spartan deal fell through about 6 months ago and we got 12 million...so thats alright...but clearly PRY was interested in merger and being a dividend paying company around 8% or so....makes me  wonder about whats next..merger/ takeover/ or be takenover...alot of speculation on Renegade and Pinecrest merger with same goal as the Spartan attempt...we have very similar market cap  and shares outstanding...combined company would have assets of 1,359,720 with liabilities of 539,721...both have good netbacks and cashflow...bank debt would be better at 327,519 on line of 480,000 combined...current dividend of 19% with RPL would be cut in half to around 8%...paydown debt so its around 240,000 or less and have Wade be the CEO of the new company...noticed that as the prices have fallen with RPL...no insider buying and their presentation is off their website and also with PRY prices nice and cheap..no insider buying for last month...the last buys were in March 23 at $1.21...no buying in April...I have a feeling that something is in the works...both stock prices have been manjpulated and held down...PRY under $1.00 and RPL under $1.20....this is just my opinion...time will tell...BB28

[terroir]

Becoming a dividend payer was a means to an end, not the end. It was very clear during the presentations surrounding the Spartan deal that Pinecrest wanted to position itself to acquire additional assets that it foresaw "shaking loose" in the near future. Their preferred acquisition model is built upon Crescent Point's, i.e.. using shares as a primary currency, either as a

[bonjovi501]

bankerboy........I think you might be correct. Time will tell is right. Like both companies

[bankerboy28]

I agree with you terroir....I think Wade's past connection with Crescent Point is leading him to think along the same strategy for growth....the formula worked very well for Crescent Point and I think Pinecrest is trying to go in the same direction...there are plenty of cheap cheap assets out there...BB28

[splurge]

Yes it is difficult for PRY to contemplate an acquisition at this low cash flow multiple. I hope their focus is on successfully establishing their water flood programs and with a little luck they should be self funding which would be quite remarkable and unusual compared to most companies in this sector. That should help attract a better valuation but for now mergers and acquisitions seem unlikely