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That report, and the numbers look nothing like the prior one. Something smells rank and vial here.
I find it very interesting, and possibly telling that the time extension for the merger with AEXP announced today, was only a two month extension this time, not 3,4 or 6 months. I probably would not have done that unless I was nearly ready to mail out the proxy's?
I got the impression that we would not get any major PR news real soon. That does not mean we wont get an update on the merger extension. Hard to put a target date on anything, but Gerry did say he still had hopes of having the BP well online producing gas and cash flow by year end this year, if that helps. He also said that they already had a fracing crew and equipment already on call for a moments notice to start work once a financing deal was completed. So recent posts here that there is, or will be a 6 month waiting list to get a fracing crew and equipment, after financing are BS according to Gerry.
Actually it should put more pressure on a move to switch from Nuclear power to Natural gas, so for us it may help move investment in MNLU!
http://www.reuters.com/article/2011/08/24/quake-usa-nuclear-dominion-idUSN1E77M1N320110824
Even a pig should never say never!
Gold is down nearly $100 from the high this week! That is probably why mining is down. Today is a lesson in diversification my young Jedi!
They are still shaking the bushes so to speak.
I got the impression a JV was currently the most likely path, all considered, but I think they are juggling multiple options, including multiple JV deal options. One thing was cleared up for me, and that was Guggenheim. Seems they will (or at least they will consider) a further JV deal (with a line of credit, loans, like last time) but only once the current well is in production, thus converting the reserves status to "PROVEN" reserves.
Seems they only loan money (like they did before) against proven (I think that was the key word?) reserves, the BP #1 well is not yet proven, not until it has actually produced in such a way to establish a proven reserve, which is what they need some of the current funding for, to finish this well.
Chicken or egg problem, the which came first deal. So I got the impression Guggenheim might JV or loan money, or both(?) for additional wells, expansion, once the first well is proven.
I suspect an outright bank loan is not possible at this time for obvious reasons. Needs to be an investment bank, VC, JV deal or the like near as I can tell at this time.
Just a reminder, that there was PR about 10 months ago that MNLU was worth a good 50 cents/share (liquidated) based just on proven reserves in Louisiana, and that was at old oil and gas prices from about 12 months ago. So current prices are a steal here.
Par for the course, typical with this stock. I have been in this one for a good 2 years, maybe a little longer now. It takes a while to buy cheap, and a while to sell higher (not much good for day trading), but I am accumulating for the long haul on this one. I am not selling at anything under .30/share, as they have too many irons in the fire, and it is way over sold here.
I spoke with Gerry Friday, and I am still in. I may add if it goes any lower.
I am still watching this one from the side lines, so I have no axe to grind here, just interested in getting to the entire truth, and all the factors involved. I still suspect the news here is not as bad as most think it is, but I could be wrong on this one.
I ran across a post today in Alpha Seeking, on another short hammered stock I do own shares in, and a poster on that article posted this from the 10-Q of that company (ABAT), that I think may answer some questions in the entire China/US RM stock sector about the issue of moving cash to the USA to pay say dividends.
Here it is:
This applies to ABAT as well as other China/US reverse merger stocks I think. I found it in the comment section of the new article:
Very good new article just came out on ABAT!!!!!
http://seekingalpha.com/article/288279-advanced-battery-technologies-solid-revenue-growth-and-awesome-net-income?source=email_global_markets
Looking at the BDI has me thinking it may be time to buy here. But I have not kept up. Looks like the last 10-Q has book value at 1.6 billion dollars and less than 90 million shares, for a book value per share of nearly $20/share?
Is that right? Am I missing the land mine (other than recent losses on the quarter), And selling for less than $2/share!
If the markets rally, this could be good for a real nice bounce short term.
May be time to buy this one back. BDI has been moving up while the market crashed. DIVERGENCE!!!! Friday Capex was up 10%
Even the waste water div is loosing money due to excessive overhead costs. I have a run a one man waste water business for over 20 years now, and made more money my first year than they have. The one man heading up their waste water division has not even justified his own paycheck yet, and he has only closed one deal that I know of since he was brought on board over 18 months ago.
I suspect there are multiple deals on the table being negotiated, but some may not be attractive enough under the current climate, and I agree, the bean counters, and attorneys can make a turtle look slow!!!!
From the recent posts here, I think a few are either shorting the stock, or selling large enough holdings, in the hopes to buy cheaper in the future. It is looking right now like it might go even lower short term, unless the world markets rally soon (today is OPEX!!!).
I am not selling here, but I am preparing for another 50% hair cut IF and when it comes, to really stock up on this one and the merger partner AEXP, as I have no doubt a deal is coming that will send it back to at least $1/share under the worst financing circumstances, but it may be a little while longer before the news of the final solution to the funding problem happens.
I had high hopes we would be off and running and fracing the well by now, with funding by now, but it seems like funding at this stage is just going to take a little more time to work out all the details, and do it right.
There is no way to know for sure where and when the exact bottom will be. But I do know it is very easy to miss the bottom, and it is possible we already bottomed. I also know that MM's rarely let us buy shares at the exact bottom, especially when the volume gets thin, and the spread gets wide.
Sooner or later the right deal and money will show up and this will go into production. In the mean time, shorts may talk nervous investors into bailing at the wrong time, and we may see lower prices. But I am not going to bank on it. I am holding and will add if we make new lows.
I find it very hard to believe they will not get financing. Just look at this:
http://www.mainlandresources.com/index.php?option=com_content&view=article&id=55&Itemid=61
If anything, I think there may be a bidding war under way, too many choices perhaps?
Looks like we are off to the races folks! Already up .10/share!!!
They already have a facility online. I agree on the licensing fee problem, good explanation, and it is a big part of why I finally sold and gave up on them. It was a great idea if they could sell it, large upfront profits, but your analysis is right on, no one is going to risk that much money up front.
I am hoping it is partly OPEX driven. Tomorrow is OPEX! The BDI rally may be seasonal!!!!!
But there are landmines ahead for sure. Elections for one. Liquidity drying up some is a problem. But there is a difference this time, many firms (outside of the BDI, like GE) have piles of cash this time and are not dependent on overnight cash loans like they were in 2008. M&A may take off again in some sectors.
Falling oil may help the shipping sectors, and airlines
BDI is definately showing major strength and not just for a day or two, in spite of all the other bad news. Question now, is the rest of the market testing the bottom and about rally all year, or will the BDI rally be trumped by all the other market wide bad sentiment.
What is even more interesting is that MNLU is much cheaper than AEXP today, on less volume. I have no idea, but I am almost green today, only thing hurting my longs is OPEX stocks like AA, which is getting hammered today. I think the penny stocks bottomed 3 months ago!!!!
There has been no dilution since then.
MNLU payed it off, and did not renew it, as they were swiming in cash at the time. I have no doubt they could borrow from Guggenheim right now, but it is obvious they think they can get better terms.
There has been no change OS shares in about 18 months.
Thanks.
Having read it, now I am wondering why there is not more detail on the debt that was retired with 60 million shares? The 2010 to 2011 debt level in the tables looks nearly unchange, yet 60 million shares are out now? I only see details of retired debt of about $120,000 at most which would only be about 12 million shares at .01 share. Something there does not add up yet.
Aug 11 report? Where?
I think on a normal day this news might have sent us back to test .30/share. The day is not over, if a market rally takes hold we could break out over .20 on this news.
This is major news!!!!!! This patent alone, in China, is worth millions!
LOL, Have not seen that:
"Patience my ass - I'm gonna kill something"
In some time.
I think the selling, or the price drop has just started. Been playing / investing in this one since 2008. We have steady insider selling, and future dilution coming at an unknown price, along with all the other market, economy, and debt worries world wide.
Nice! Thanks for the help!
The sell off here has begun. Only question is where will it bottom. I am holding cash to buy when we get there.
And so the Phoenix rises!!!!
Up 40% at .07, on 290,000 shares!
BOOM!!!
I don't think so. They seem to have insiders (Like Gerry, the new Director, who owns at least 10% of the outstanding shares according to the form 4 he filled when he accepted the Directorship position), that are willing to loan enough money in unsecured notes to MNLU to the pay the important, critical bills. I think the hold up, issue is the big loan for at least 15 million they are trying to float. The last 10-Q showed insiders loaning over $1 million in cash, unsecured, to keep the lights on the last 6 months. That kind of loan by insiders (documented), with out share dilution says all I needed to read and hear!!!!!!
They had used about 8-12 million dollars of the Guggenheim line of credit, and payed off the entire balance when they collected the $28 million from the sale. I forget the exact numbers.
That concurs with my conclusions based on the SEC filings and 2 chats I had with Gerry 4-6 months ago. Frankly I find the delays encouraging, tells me MNLU Execs are holding out for the best deal they can get, and tells me they are not in a panic rush here where they might sell the farm.
The 28 million was first used to pay off the borrowed money from Guggenheim, in full, on the 40 million dollar line of credit. It was about 10 million dollars (+/-) paid on the debt, paid in full, most of the rest, about 14 million went for the well, and some more to the leases.
Those are not exact numbers. They are in the S-4 and 10-Q, and 8-K filings at the SEC.
If this was a typical penny stock, I would think this was an MM raid for cheap shares just before big news was coming out. I have only seen that happen with MVTG once, about 14-18 months ago, but I think that news was partly expected (Korea at the time), not leaked.
FWIW, the CO2 GHG problem has not gone away. I was watching the weather news last night and Houston, Texas has broken not one, but nearly a dozen all time heat records this year, including a 75% reduction in rain fall this year.
So just like the Euro and USA national Debt, The GHG-Global Warming-CO2 problem ain't going away on its own!!!!!
http://www.google.com/search?q=houston+heat+wave+records&ie=utf-8&oe=utf-8&aq=t&rls=org.mozilla:en-US:official&client=firefox-a
The MVTG technology is still sound, economical, revolutionary, and it has international patent protection in process, and 2 very large firms (not to mention 3M), KOSPO and LaFarge all already took notice.....
I agree.
LOL, they do speak English in India do they not?
LOL
Calm before the storm?
Only question I have, is which storm is coming?
Probably a smart trade! GLTA.