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No one selling into bid... Someone knows something...
We are due, right??? Lol...
Shares are drying up for sure...
Awesome! Thinning out nicely!
Any changes to L2?
Startups even before profitability typically can fe 4-5x revenues... So if you are a believe in Lavance then we should be at $.05 by EOY regardless of profitability if profitability is near... Once we turn over to profitability then we will focus more on earnings and the PE ratio.
In the beginning maybe we fetch 100x for PE... I would assume we will settle in the high 30s after 2 years of initial growth...
Well let's run folks! Thinnest it's been in awhile!
Good news with new MSAs, profitability coming soon! Don't miss out!
Gary can you send me the l2 data?
I took all my bids off the table as of late and we still have some really strong bids... I just wanted to see what would happen...
Seems like we are getting strong support elsewhere now.
I feel really good about the company after the conference call.
Although, based on their projections we may be a little delayed versus what I thought we are still way under valued...
I think we are 5x year by EOY... Not as lofty as I had once thought but I am in this til $2+ territory either way. I have time to wait...
Company is positioned better than ever with larger producers now. We can sustain the ups and downs of the economy and I am very confident in the growing revenues because the revenue source is the best IEVM has ever had.
I will be cashing out more of my mutual funds and adding as we climb here... I think the general market is near its peak and this baby is just starting!
GLTA!
Someone else up to .015
Thanks! Just took out the .0139!
Thanks man!
Do you have l2 today man?
No worries! Enjoy the R and R!
Go Concho!!!!
Oil drillers making big-money plays in still profitable Permian Basin (8/16/16)
Parsley Energy and Concho Resources are making shale acquisitions in the biggest U.S. oil field that will be financed with new stock sales.
Parsley agreed to pay $400 million for drilling rights across 11,672 acres in the Midland section of the Permian Basin beneath West Texas and New Mexico, the explorer said in a statement Monday. Concho announced a $1.625 billion cash-and-stock deal to buy rights to 40,000 acres from closely held Reliance Energy, expanding its holdings in the basin, according to a statement.
Assets in the Permian, where drilling is still profitable at current prices, reached an all-time high, Iberia Capital Partners analysts said in a research note last month. Still, both companies fell in New York trading Tuesday and may suffer in the near term from the flood of new shares issued to support the deals, said Richard Tullis, a Capital One Securities analyst in New Orleans.
"The size of the transaction could be leading to a little bit of selling as people move in and out of the shares," Tullis said in a telephone interview Tuesday "Longer term, we like the transaction."
It's Austin-based Parsley's sixth acquisition in a $1.53 billion buying spree since oil markets began to collapse in mid-2014. Midland-based Concho plans to use about $1.1 billion in cash and 3.96 million shares for the deal. The company also announced plans to sell 9 million new shares to help finance the transaction and granted underwriters an option to buy an additional 1.35 million.
Parsley is paying the equivalent of about $34,000 an acre; Concho's cost is slightly higher at about $40,000 an acre, based on calculations by Bloomberg.
Both deal values are in line with SM Energy Co.'s $39,543-an-acre purchase of Permian drilling rights announced last week. All three deals were cheaper than QEP Resources Inc.'s $60,000-an-acre acquisition of Permian rights announced in June.
The Concho deal would add to the explorer's approximately 1 million acres in the Permian, an area that Chief Executive Officer Tim Leach called among the "hottest zip codes in the industry," in a conference call with analysts Aug. 3. The 40,000 acres currently produce the equivalent of 10,000 barrels of oil per day, according to Monday's statement. The land has estimated proved reserves of 43 million barrels, Concho said.
Parsley also said it plans to sell 7 million new shares and issue $200 million in 6.25 percent senior notes maturing in 2024 to fund the acquisition. The underwriters have been granted an option to purchase an additional 1.05 million shares. The new stock will dilute the current shareholder base by about 5 percent.
Concho dropped 4 percent to $130.98 at 10:28 a.m. after earlier touching $130.20, the biggest intraday decline since Aug. 1. The shares have gained 41 percent this year. Parsley fell as much as 3.4 percent to $33.39. The stock has advanced 82 percent this year.
http://www.dallasnews.com/business/energy/20160816-oil-drillers-making-big-money-plays-in-still-profitable-permian-basin.ece
Any l2 data today?
Thanks Gary!
Hi Gary! Have l2 info today?
No worries! Thanks!
I am... I am very confident in year end breakeven... Actually think we will be closer to 550-600 wells because I think the EP MSA is going to blow up and feel the latest report is very conservative. With that being said if we use breakeven here is my math...
$1.50 per gallon of excelyte * 130k gallons per month * 12 months = 2.34m annualized revenues.
With 508m shares outstanding eps comes in at $.00468. From there you apply the PE ratio. I am targeting 60 to 80 at this phase near year end which gives us a share price of $.28-$.38.
If the well count is closer to 600 wells where I think it will be then we could be $.56 with the 80 PE target based on $.00702 eps...
Good morning Gary! How's l2 looking?
Transcript of the call for whoever missed it or cannot listen...
http://seekingalpha.com/article/3999276-integrated-environmental-technologies-ievm-ceo-david-lavance-q2-2016-results-earnings-call
Yeah... Saw an article today banking on $70 oil by year end...
It's in the oil and gas forum here on ihub...
Stars are aligning!
Very true! GLTA!
Totally agree! Nervous I might not get more shares before it runs...
And based on company's current position with 3 large oil and gas customers, 2 more verbal commitments and 40 more customers in the pipeline I think we are going to move quickly...
Breakeven by year end puts us at a minimum of $.30 imo so I am assuming we will push above $.10 in the next few weeks.
A PR with new MSAs (whenever the 2 verbals sign on the line) should move us there!
Exactly! Been waiting for this swing for awhile... This could move quickly... Hoping to get some fork less than .02 by week end when my cash is finally freed up!
Very soon maybe! Thinning out to the upside right now!
Nice to see volume today! Over 500k shares!
Good luck man! I'm long here and don't worry too much about short term blips!
Hope you don't keep selling your shares and try to pick them up again cheaper...
It worked for a few months but the momentum is truly building here...
I sincerely wish you the best luck! I know you have been in this for awhile!
Our time is coming. We are sooo close! Stay positive and we will all be well off very soon!
GLTA AND GOD BLESS!
Working on getting the money today!
167k... Only $2500... I bet it's Warren Buffett!
You are assuming slot there and in particular assuming that the share price will not move prior to profitability. The anticipation of profitability will get this thing moving... Investors price in future earnings and will run this stock up as confidence grows.
As the price increases the company will see warrants exercised that will bridge any gap between profitability and liabilities...
I am still confident in breakeven by end of year... Figures have been based on end of q2 and we know that q3 is off to a big start as expected. Our two largest clients started this month. I would expect to see 50+ wells added each month with ease from here...
Lavance laid out his thoughts that 400 was conservative and which basins they would come from... 40 customers in pipeline. 2 more verbal commitments. Company has transitioned from small customers to larger producers. Seems like we will be on the way up here. And looks like oil is turning bullish ... Company is in best position it has ever been in!
Gonna free up some money and get some of these 15s before end of week! I could not be more excited at this point!
Start of the year was rough but as of now we are at 130 wells. So if 130k gallons equates to roughly 395-400 wells for breakeven we are in the neighborhood 45k gallons a month.
Problem is as of end of q1 we were only at 46 wells and as of end of q2 only 74... So the recent gallons data does not reflect the nice growth in the last 45 days to 130 wells...
125k -130k gallons a month is breakeven... About $190k in revenues...
I think it's only up from here... Feeling good!
Totally agree! Lon overdue, but take advantage of the lower pricing! It is crazy that it took this long, but I actually was able to have more money to purchase more shares... I have 3x what I would have had before...
Party is just starting... Later than it should of, but we will be good nonetheless...
The 70k was before the financing... It's closer to 700k now!
74 as of end of quarter... 130 as of now... They broke down where the wells will come from between now and rest of year and said they were conservative estimates to get to profitability...
Up to 12 customers now and looking like 2 more soon... 40 additional customers in pipeline at this point that we are in talks with ...
He did a really good job of explaining how the oil price decline hurt the company an show they repositioned for the future with larger producers that will not be effected by oil price fluctuations...
Worth the listen if you missed the call for sure!
I think it is the regional buildout and presence needed in 4 locations...
Has to do with transitioning to larger oil and gas producers and away from the mom and pop shops...
Really hard to sell a larger producer to use us in one region when it could damage their relationship with their existing suppliers else where...
As we give these guys the confidence that they can use us everywhere I think they are more apt to come on board...
Report is out!
Still targeting year end breakeven as anticipated.
Up to 74 wells as of end of Q2 but expecting to be at 130 in less than 3 weeks...
Definitely as anticipated... New MSAs are starting to show in Q3!
If we get to 200 by end of Q3 we will be sitting nicely!
Cannot wait for the presentation tomorrow!
I'm more focused on the call tomorrow than today's report. With the 3 new customers from end of Q1 and the 2 huge customers we starting working with just this month we have the contracts we need to get us to profitability in 3 months...
Not expecting earth shattering news this quarter, but definitely looking for a presentation of how we get from today to profitability.
What does the growth plan look like? What does the pricing strategy look like? Very excited and optimistic about tomorrow!
GLTA!
Not quite yet... Good things take time!
It's coming soon...
George Melas and Kevin Casey agree...