VIRGINIA HILLS OIL CORP VFGGF

Calculation

[Shlinker_]

This is the way i see it.

If you own 100,000 shares currently in PRY, they convert into 1000 shares of Virginia Hills. You then get to purchase (if you chose too) 8 Arrangement rights for every Virginia share held, so 8 x 1000. But it will cost you an additional $2000.00 (8000 x 0.25). I'll wait to see what the Virginia shares trade at before i use my Arrangement Rights...I'll have a month to decide after the official closing date of the "Arrangement".

25m goes to pay debt, 2M financing at 0.25/unit. Shares outstanding? not sure. The financing will add 8M+ shares once covered.

I hate the deal, but what other choice do we have, good job Wade et al. And i don't really mean good job.

[jcw604]

If the 2M finance were 0.25/unit, Virginia will probably initially be trading at the same price range. i.e. the current Pinecrest share will only worth for 0.25 cents. If you can short pinecrest at 1 cent per share, you will still be making money. That is why the share price dropped 50% today. The only risk of shorting pinecrest is that it may end up in the court, which may order some degree of