CMKM Diamonds Inc. (fka CMKX)

[tfant53]

Webinar Notes #63 January 31, 2017

4profit
Global Moderator
*****
Global Moderator

4profit Avatar

Eye Saw That

Posts: 3,222
Member is Online

Webinar Notes #63 January 31, 2017 Feb 1, 2017 at 7:44pm granny2shoes likes this
Quote Edit like Post Options
Post by 4profit on Feb 1, 2017 at 7:44pm
NHHI

SK started with 21 people in the room, didn't know if piped into other rooms. NHE meeting tonight lasted 35 minutes. Had emergency crisis late afternoon, chaos. NHHI Meeting will be brief. Shocking something creating trauma, unfortunately due to his indirect or direct NHHI involvement, all these years, not providing for family like they're used to. Moved on into opening prayer.

We are still in litigation at that point in history, it's repetitive, not a lot of good news on a daily basis. Trial moved to May 23rd and hopes there is a trial. Doesn't guarantee it bexcuse it's not his department. Edwards found competent, court said he will be given special accommodations, whatever that means. He hopes his speakers are working group, his old laptop died and getting this one up to speed, he just got a cheap one.

Collections-Legal team indeed have been active, working on numerous collections. Very frustrating in that regard. Hired collections over a year ago, difficult and frustrating. It will produce fruit over time. More time and expense than SK would have ever expected. He hired a judgment lawyer expert. Had 6 attorneys. Frizzell on reduced contingency fee. When there was 6 lawyers, you have yourself an interesting thing. #1, No one has ever seen a deal like this. #2 a lot of mud attached to these assets that needs to be cleaned off. As a layman trying to orchestrate, in reality, they're throwing motions at the wall to see what will stick.

Issues involved before they can sell properties. Clean title precess is tedious. One of the most frustrating things SK has ever been through in any fashion. 1 step forward, 2 back. Is how it seems to be working from the beginning. Making progress, sledding out there, far from easy and wouldn't suggest as it's nothing anyone wants tackle.

Just fired group of lawyers, hired 2 more, because they want ty of be paid for every second. He says he bets if you look at Law firm hours working group 40 hours and billing clients 500. Beyond belief. If they scatch their nose and think about CMKM, they want to bill you. Any company in litigation like this, if you'really surviving on litigation, it's not the place to be.

Oil through NHE is small potatoes, compared to rest of the world, at least it's something. Litigation will continue and will continue ue to fight. He wouldn'the wish this in anyone. Shareholders deserve better - to get their money back, some way, so either how.

50,400 shareholders in this stock with only 25 people in the webinar, there should be better attendance. Waiting for a pay check from Al Hodges, vast majority don't care what's going on expecting a big pay check from Al Hodges. That's NOT going to happen...the impossible dream. Shareholders lost their investment to an Enterprise, they stole our money. When that happens it's such an ugly process to get money back. He doesn't want to go on and on but no money is coming through Al.

SK is switching to a non paltalk format., when he has time. He will be able to show shareholders spread sheets, files, while listening and be able to report order each webinar. He should be comfortable with the format and using by March.

NHE going along great pretty well. Slow to get cheap wels up and running. Looks to be profitable and re-invest. Going along fine. See NHE webinar for further info.

Steve after a question gave breakdown about what's paid out and what filters into the Company?

He said it's hard to give an absolute but Bill Frizzell as contingency could collect 33 1/3 % plus expenses. It's been cut to 20%. Out of net, recovery collections gets, 25%. After deducting other legal costs for any recovery converted to cash.

Some deals very difficult to get done quickly. Some are not in names of judgment debtor,converted, have to wade tbrough confusion because that's the way they set it up. Peel back the layers and project end judgment debtor did it. Need lawyers in those cities/States licensed to practice where those assets are. Texas enforcement group and Frizzell are set fees. To get anything done, extend anything, they need SK's approval.

Are there any recoveries to put us 8n a good place. Yes. Theyou stole over $200 million, there are assets we haven't found yet, assets we haven't gotten to yet. They took so much money they couldn'the spend it quiv kly. Some comments he made he made in last month's webinar. Working all the angles and working to find more.

Properties costing several hundred thousand will leave chunk of change each for the company on each one. SK looked at some cheap properties found in Texas, Realtor said X number of dollars a piece. True if market beaded out. Boomers spent money but due shift in age now, buying power makes a dent as those once hot properties are now stagnant. No one paid property taxes for years, big tax bills. Debt to properties and hope you can sell. Going to lose money after lawyers. Near community, not growing, no real demand. Casino being built there 15 miles away but not generating any boom. They were supposed to have some property sale there, SK went just to check out prices, but the sale didn'the happen.

Steve spent the day in town speaking to of everyone he could and Steve decided, he needs to stay clear from those properties.

Steve still has contracts for the sales of the other properties being litigated, can't sell until the titles are clean. Shareholders are the biggest victims of what they did. He says he and Frizzell get shocked every week about something that comes up regarding assets.

(Crooks) They will lose in the end, it's like a slog. Nothing easy about building a company from the ashes of a $200 million dollar fraud. They did it this in anticipation the company would come after them. In May might see some people I jail a long time. In some respects, it's a tragedy for those trying to build something out of it.

Steve also said if anything big happens in NHE or NHHI, he will put it on the website.


Read more: http://tfant53.proboards.com/thread/11415/webinar-notes-63-january-2017?page=1#ixzz4XebcRweH



4profit
Global Moderator
*****
Global Moderator

4profit Avatar

Eye Saw That

Posts: 3,222
Member is Online

Webinar Notes #63 January 31, 2017 Feb 1, 2017 at 5:02pm tfant53 and granny2shoes like this
Quote Edit like Post Options
Post by 4profit on Feb 1, 2017 at 5:02pm
Again I know nothing about oil so apologize if some words aren't correct it's what I heard and doing this on a tablet..

NHE

Began saying this will be brief, had some emergency of significance late, has some things in turmoil. Then into opening prayer,

NHE is rocking along well. Slow process getting leases producing. Actually sold some oil and selling some more. Starting to see revenue coming in.

For those who might not be up to speed, 3 wells in Eastland not producing. Sent assignment data to Friends who put the deal together, it has to be filed in court. However, even though these are good people, they have struggled too long with financial.

Hope to get investment back plus 2 producing wells, sell leases. Probably will need new feedback from pumper, geologist. Going to spend some money to get production up for more money in sale. Has $15,000 in, ready to spend $4,500 more. Have to haul salt water, one of 2 things he doesn't like. There isn't a salt water deposable well, so have to haul load of oil or more a month. 25% before water out. 5% oil - rest salt water. That's not bad, lots of wells produce salt water and pump hundreds if not thousands of gallons of water to get a few barrels. Separate oil from water, it gets separated by a disposable well, probably can get a lot more back.

Asking is about $50,000 a barrel, if NHE can get up to 5 or 6 barrels instead of 2 1/2, spending $4,500 is a good investment. Ramp them up and sell tnem.

There are potential buyers, we control it. Increase ownership stake with $4,50P more. Currently 33 1/3 %. Negotiated ownership go to 50%. Good deal either sell or operate for little less than $20,000. Solid production. $50,000 a barrel a day,

Sound cut out but I think he said Harris..leases,10 producing wells, have not picked up production yet.wells chemical treatment, built pump, pump worked great but then only ran 1 -2 hours, ran out of fluid, dutchers (?) out of oil. Treatment did not open casing. Need to open up, do more work, Baylor 3 wells., invest a little more to get up to 20 barrels a day. Drill and get 20 more barrels a day, getting products ton up to 40 barrels a day. Looking at possible $1 million with 20 barrels a day, $2 million with 40 barrels a day.

He said they wired out the money today,NHE bought their Japanese partner out. He got into a deal SK didn't think was good for NHE. $750,000 for 2 wells, not really producing. 5 year pay back if everything goes well. NHE has to start small and can't accept 5 year pay back.

NHE has 30%, another partner 30%, Oklahoma 10%. He (?) put the deal together, stake will go up, 150% of the money back. NHE $50,000 and other partner in these wells.

NHE owns 45% of those leases,, other partner put up 15%. If we can estimate, $22,000, to invest additionally will produce at least 20 barrels a day, expecting 20 more by drilling another well looking roughly $2 million valuation. Having spent $122,000. Is he counting on $ 2 mill? No he isn't, won't know until they drill. Shallow wells drill in blanket formations, there are better places to drill than others. Evaluations pictures optimums. Working with geologist who knows, runs the equipment and says this is the best place. Can get your money back rather quickly if you drill right.

In Texas much better long term deals and again, can ride herd on nice prospects. If necessary in a deal, investors can fly into Houston and can be shown wells, first hand view. That'said the plan, not ready to sell. In good shape looks like. Eastern County wells not brought on line (?) Something(?) to get investor's money back.

He's not going to count chickems. Focused on getting original investment back. Get to the point of selling, on conference lines see if investors want to stay in, get some money back, will be discussing those options. Stay is great, take. A little out is great, SK needs feedback from investors. Most companies don't work that way. But SK thinks it's the best thing to do. Essentially where we are. Anyone needing to communicate can email him.

Family member investor, one of his children, engaged, moving to Texas when he marries. Wants to work with the ole' man in oil. He's a major asset, has some money, his son is NOT a CMKM shareholder
Will be right in there with us.

Oil hit stable point, low $40's $50's, drilling ramping up. NHE Can do well with small deals. Hundreds of drilled wells sitting there for sale front bigger companies when oil dropped.


Read more: http://tfant53.proboards.com/thread/11415/webinar-notes-63-january-2017?page=1#ixzz4XebnrA10