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Somebody wants to buy 775,000 shares! What's up with that??
Looks like HYPF is trading again!
The "Caveat Emptor" Designation may be assigned when OTC Markets becomes aware of one or more of the following:
Promotion — The security is the subject of stock promotion that may be misleading or manipulative. Promotional activities may include news releases, spam email, and newsletters, whether they are published by the issuer or a third party. See OTC Markets Group's Policy on Stock Promotion.
Investigation of Fraud or Other Criminal Activities — There is an investigation or other indication of fraudulent or other criminal activity involving the company, its securities or insiders.
Suspension/Halt — A regulatory authority or an exchange has halted or suspended trading for public interest concerns (i.e. not a news or earnings halt).
Undisclosed Corporate Actions — The security or company is the subject of a corporate action, such as a reverse merger, stock split, or name change, without adequate current information being publicly available.
Other Public Interest Concern — OTC Markets Group may determine that there is a public interest concern regarding the security. Such concerns may include but are not limited to promotion campaigns (including third-party), unusual or unexplained trading activity, spam or disruptive corporate actions even when adequate current information is available.
OTC Markets will resume the display of this security’s quotes once adequate current information is made available by the issuer pursuant to the Alternative Reporting Standard or by the SEC Reporting Standard, and until OTC Markets believes there is no longer a public interest concern. Investors are encouraged to use caution and due diligence in their investment decisions.
OTC Markets Group Inc. ("OTC Markets") has discontinued the display of quotes on www.otcmarkets.com for this security because it has been labeled Caveat Emptor (Buyer Beware). OTC Markets Group designates certain securities as “Caveat Emptor” and places a skull and crossbones icon next to the stock symbol to inform investors that there may be reason to exercise additional caution and perform thorough due diligence before making an investment decision in that security.
Why has HYPF stopped trading? Last trade was 2:12 pm est. Any news?
Anybody still following HYPF ??
Alberta Securities Commission - Notice of Hearing
12 March 2013
http://www.albertasecurities.com/Notices%20Decisions%20Orders%20%20Rulings/Enforcement/Hypower%20Fuel%20Inc%20NOH%202013%2003%2012%204440718%20v1.pdf
Citation: Hypower Fuel Inc., Re, 2013 ABASC 105 Date: 20130312
Docket: ENF-008470
Securities Act, R.S.A. 2000, c. S-4, as amended (Act)
To: Hypower Fuel Inc., Thomas Hochhausen, Douglas Bender
Notice: The Alberta Securities Commission (Commission) will convene at 2:30 pm on Tuesday, the 9th day of April 2013, at Calgary, or elsewhere, in Alberta, to deal with any preliminary matters, and to set a date for a hearing regarding the allegations in this Notice. At the hearing, the Commission will consider whether it is in the public interest to order:
(i) Under subsection 198(1)(a) of the Act, that trading in or purchasing cease in respect of specified securities;
(ii) Under subsection 198(1)(b) of the Act, that you cease trading in or purchasing securities;
(iii) Under subsection 198(1)(b.2) of the Act, that you be reprimanded;
(iv) Under subsection 198(1)(c) of the Act, that any or all of the exemptions contained in Alberta securities laws do not apply to you;
(v) Under subsection 198(1)(d) and (e) of the Act, that you resign any positions that you hold as a director or officer of an issuer, registrant or investment fund manager and that you be prohibited from becoming or acting as a director or officer or as both a director and officer of any issuer, registrant, or investment fund manager;
(vi) Under subsection 198(1)(e.3) of the Act, that you be prohibited from acting in a management or consultative capacity in connection with activities in the securities market;
(vii) Under subsection 198(1)(i) of the Act, that you pay to the Commission any amounts obtained or payments or losses avoided as a result of non-compliance with Alberta securities laws;
(viii) Under subsection 199 of the Act, that you each pay an administrative penalty;
(ix) Under subsections 202(1) of the Act, that you pay the costs of the
investigation and hearing; and
(x) Such further and other order under Section 198 as the Commission deems appropriate.
Location:
Alberta Securities Commission, 5th Floor, 250 – 5th Street SW, Calgary, Alberta.
Procedure:
1. You may obtain disclosure and particulars of the allegations in this Notice from Don Young, c/o Alberta Securities Commission, 600, 250 – 5 Street SW, Calgary, Alberta, T2P 0R4, telephone 403.297.2642.
2. You may be represented by legal counsel and you or your counsel may make representations and introduce relevant evidence.
3. If you or your counsel fail to attend on April 9, 2013, at 2:30 pm, or as directed, the hearing may proceed in your absence and an order may be made against you without further notice.
See also section 29 of the Act and Commission Rule 15-501 – Rules of Practice and Procedure for Commission Proceedings.
Allegations
Summary of Breaches
1 Staff of the Commission (Staff) allege that Hypower Fuel Inc. (Hypower), Thomas Hochhausen (Hochhausen), and Douglas Bender (Bender) (collectively, the Respondents), made misleading or untrue statements in news releases.
2 Staff allege that the Respondents acted contrary to the public interest.
Parties
3 Hypower is an Alberta corporation, whose securities were quoted for trading on the OTC Markets, pink sheets, beginning in 2006.
4 Hochhausen is an Alberta resident accountant. He acted as chief financial officer for Hypower.
5 Bender is a resident of British Columbia and the President of Hypower.
Circumstances
6 From February to September 2011 (Period), Hypower issued news releases regarding ‘significant developments’ to the company. All news releases were drafted or reviewed, or both, by Hochhausen and Bender. Among the statements made in the Hypower news releases during the Period (Statements) were the following:
6.1 It had signed a major development agreement for $5 Million (February 10, 2011);
6.2 It had an extensive patent portfolio, with patents presently in place (February 16, 2011);
6.3 It had approved a share repurchase/buyback plan, to be funded by the company’s available cash (February 22, 2011);
6.4 It had entered into negotiations with two potential acquisition companies that were on the cusp of explosive growth with the potential for double digit near term profitability (March 1, 2011);
6.5 It had entered into preliminary agreements with a number of shareholders to repurchase approximately 1.5 million outstanding shares (March 17, 2011);
6.6 It was in the process of upgrading to the OTC Pink Current Information tier, and it was working diligently on closing the two acquisitions and expected to be able to announce one by the end of the month. The two companies are leading edge, with exceptional technologies and offerings (March 22, 2011);
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6.7 It was very close to a Definitive Agreement with one of the two companies, and the name and particulars would be released very soon. The technology of the second target company (TC2) is a true game changer in a variety of fields (March 31, 2011);
6.8 It had reached an Agreement in Principle on the Purchase Formula for the purchase of some or all of the first acquisition target company (TC1). TC1’s principals with the help of Hypower’s consultants have been updating their business plans and projections. The second acquisition is also proceeding well and it truly is a Game Changer (April 14, 2011);
6.9 The two acquisition companies had expressed a strong interest in making use of Hypower’s strength to grow quickly, show financial results, and then be Spun Out as separate public entities trading on recognized exchanges, higher than the Pinksheets OTC. Hypower shareholders could receive a special dividend giving them a direct shareholding in the target companies in some manner (April 20, 2011);
6.10 Both TC’s had agreed to provide verifiable information that Hypower can release concerning their operations and business plan in the very near future (April 25, 2011);
6.11 Due diligence was progressing, with each day new markets and opportunities for the Game Changer technology becoming more apparent and real. Hypower was to be granted unrestricted access to TC2’s entire engineering team. TC2’s technology is truly one of a kind, leading edge, game changer technology that has applications in the medical, oil and gas, automotive and household markets. The due diligence on TC1 is proceeding well and Hypower continues to assist both TC’s in developing their websites, and with revenue projections (April 27, 2011);
6.12 Both target companies are in high growth industries with products and services very much in demand. TC2’s leading edge technology will revolutionize the industry. Industry and engineering experts are impressed by the product and believe it will be a phenomenal success (May 10, 2011);
6.13 It has signed a Memorandum of Understanding to purchase a control block position in TC2. A ‘spokesperson’ for Hypower stated TC2 has received a preliminary Business Valuation in excess of $100 Million. Hypower negotiated the MOU at a significant discount to current valuation. The product will generate large sales orders immediately (May 17, 2011);
6.14 Verifiable information from TC2’s professional advisors will be forthcoming over the next few weeks (July 13, 2011); and
6.15 It had met with the principals of both companies and are encouraged by their forward progress. TC1 is a category leading company with over 30 years experience in the green deconstruction-recycling industry and has been involved in such projects across North America and internationally. Hypower is pleased to be a partner in TC2’s exciting technology and is currently assisting it in locating and negotiating with overseas licensees and for major investment funding (September 28, 2011).
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7 Staff allege the Statements were unduly promotional, misleading, or untrue, or failed to state facts necessary to be stated – particulars of which include:
7.1 Hypower never raised the $5M for the reported development agreement;
7.2 Hypower had no patents in place;
7.3 the share buyback program, reported to be funded by cash, was actually to be funded by a government credit for research conducted by Hypower or from private sources. No credit was received, no funds were obtained from private sources, and no shares were ever repurchased;
7.4 the 1.5 million shares were to be repurchased from revenue or privately sourced funds. No revenue was earned, no money was raised privately, and no shares were repurchased;
7.5 apart from preliminary discussions with legal counsel in the US, Hypower did not have the money and took no steps to upgrade Hypower to the Pinksheets – Current Information;
7.6 Hochhausen was at the time, and for many years prior a paid consultant to TC1 (or its predecessor), tasked with preparing its tax returns;
7.7 TC1 has never applied for patents, developed technologies, or built a prototype;
7.8 TC1 did not discuss selling the company to Hypower;
7.9 TC1 had minimal inventory, no cash reserves, and only earned enough to pay salaries and bills. From 2008 to 2011 it had no revenue growth. TC1 never had any agreement in principle or had agreed upon a purchase price formula for Hypower to acquire TC1;
7.10 TC1 never agreed to provide to Hypower for dissemination verifiable details of its operations and business plan - it did not even have a business plan;
7.11 TC1 never discussed with Hypower TC1 being spun out as a separate public entity;
7.12 TC1 has no leading edge green technologies;
7.13 TC1 completed one project in Toronto, Ontario, one in British Columbia, and was paid $3,000 for a United Nations report in Sarajevo;
7.14 Both Hypower and Hochhausen, through a corporate vehicle, were shareholders of TC2;
7.15 TC2 never had any discussions with Hypower with respect to Hypower purchasing all of TC2;
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7.16 TC2 never had a website;
7.17 as at March 31, 2011, TC2’s technology had not passed engineering tests and was ‘quite a ways away’ from the last of its tests and clinical trials;
7.18 TC2 never discussed with Hypower TC2 being spun out as a separate public company, and TC2 had no intention of doing so; and
7.19 Hypower did not conduct due diligence of TC2 in 2011.
8 During Staff’s investigation, Hochhausen and Bender were interviewed under oath. In their interviews, both stated that the principals of TC1 and TC2 received Hypower news releases during the Period described above before they were issued. Staff allege this is untrue.
9 Hypower’s securities, which traded at less than $0.01 in February 2011, rose to a high of $0.05 during the Period.
Breaches
10 As a result of the above, Staff allege that the Respondents breached subsection 92(4.1) of the Act by making statements that they knew or ought to have known were misleading or untrue, or which failed to state facts necessary to be stated, and which would reasonably be expected to have a significant effect on the market price or value of Hypower’s securities.
11 Staff further allege that Hochhausen and Bender each breached section 221.1 of the Act by making a statement to an investigator, that is TC1 and TC2 received Hypower news releases before they were issued, which was untrue.
12 Staff further allege that the Respondents’ unduly promotional, misleading and untrue statements in news releases, and untrue statements under oath to Staff investigators, constituted conduct that is contrary to the public interest.
Calgary, Alberta, 12th March 2013.
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ALBERTA SECURITIES COMMISSION
”Original Signed By”
W.E. Brett Code, Q.C.
Director, Enforcement
4440718v1
Thanks for the "Heads Up", Highline!
Thanks for the correction!!
I have to admit I messed up the math badly... Lack of focus on my part! Thanks, doglover!
OR, Somebody bought big today....
About $0.20 a share!
The offer of $15m for about 315m shares of stock is around .20 centes a share. Of course there are shares of CHAMA involved also, but since it is not a listed security, it's hard to tell what the value is.....
Chama Technologies to Acquire HPGS Stock
Chama Technologaes, Inc., a private company, announced today that it has executed a binding letter of intent with High Plains Gas, Inc. (OTCQB: HPGS) for the purchase of a controlling stock interest in High Plains.
The terms of the proposed acquisition are substantially as follows:
In consideration for a total of $15,000,000 in cash and 658,289 shares of Chama stock, High Plains Gas will issue a fully diluted 90% of its common stock to Chama at Closing. The letter of intent requires that Chama place into an escrow account for the payment to the creditors of HPGS prior to the acquisition a total of $10,000,000, deliverable in increments. The increments are that in 10 working days from execution of the letter of intent, CHAMA is to deposit $1,000,000 and in 20 working days after the initial million, CHAMA is to deposit an additional $9,000,000. Prior to closing, CHAMA will then continue to fund the remaining $5,000,000 into escrow to finish creditor payments. The Letter of Intent includes other terms including funding the termination of an outstanding class of preferred stock and buyout at a discount of any and all outstanding options and warrants.
The letter of intent also requires the divestiture of Miller Fabrication, LLC, the oil and gas servicing subsidiary of High Plains.
Immediately subsequent to entering into the Letter of Intent, the parties are negotiating the final terms of a Definitive Stock Exchange Agreement to effectuate the transaction.
The letter of intent requires that the definitive Stock Exchange Agreement include a significant reverse split of High Plains Gas common stock which will provide sufficient authorized capital to issue to CHAMA 90% of the outstanding equity of HPGS.
High Plains Gas has experienced difficulty in maintaining profitability due, in large part, to the decline curve typical of coal bed methane wells. CHAMA, along with MCF Energy, LLC, own the patent on a device that solves this problem and will bring profitability back to these wells.
Along with the recent signing of a Special Private Placement Agreement (SPPA) for USD $50,000,000 of equity line funding with Lambert Private Equity LLC (LAMBERT) with terms that give CHAMA the right to increase the amount of the equity line funding up to $200,000,000, management of Chama is confident that Chama will have the resources necessary to make this acquisition a success for all parties.
About CHAMA TECHNOLOGAES INC. (CHAMA)
CHAMA is a Natural Gas and Oil exploration and development company with a device that utilizes the water in CBM wells for the extraction of Natural Gas. We have wells and property commitments in Wyoming in the area called the Powder River Basin. We also are negotiating offshore interests in the South China Sea as well as oil interests in Central America. For further information about CHAMA, please go to www.chamatech.com and www.chamaenergy.com.
Disclaimer: There can be no assurance that CHAMA can successfully raise the capital required to complete this acquisition or that issues relating to Chama's due diligence review may occur, and thus, all of the above terms, including the reverse stock split, may not occur.
Forward Looking Statements
The information in this press release contains "forward-looking statements" and are inherently susceptible to uncertainty and changes in circumstances. These statements can be identified by the fact that they do not relate strictly to historical or current facts. Forward-looking statements often include words such as "anticipates," "estimates," "expects," "intends," "objective," "believes" and words and terms of similar substance in connection with discussions of future operating or financial performance. The Company's forward-looking statements are based on management's current expectations and assumptions regarding the Company's business and performance, the economy and other future conditions and forecasts of future events, circumstances and results. The Company's actual results may vary materially from those expressed or implied in its forward-looking statements. Important factors that could cause the Company's actual results to differ materially from those in its forward-looking statements include government regulation, economic, strategic, political and social conditions and Associated factors.
Contact:
Anthony Saviano
773-527-7631
I really have no idea how this will play out, but I am very uncomfortable with this. This is what happened when HPGS bought the original company --- can't even remember the name-- but it was a very significan reverse stock split....
Significant Reverse Stock Split
The terms of the proposed acquisition are substantially as follows:
In consideration for a total of $15,000,000 in cash and 658,289 shares of Chama stock, High Plains Gas will issue a fully diluted 90% of its common stock to Chama at Closing. The letter of intent requires that Chama place into an escrow account for the payment to the creditors of HPGS prior to the acquisition a total of $10,000,000, deliverable in increments. The increments are that in 10 working days from execution of the letter of intent, CHAMA is to deposit $1,000,000 and in 20 working days after the initial million, CHAMA is to deposit an additional $9,000,000. Prior to closing, CHAMA will then continue to fund the remaining $5,000,000 into escrow to finish creditor payments. The Letter of Intent includes other terms including funding the termination of an outstanding class of preferred stock and buyout at a discount of any and all outstanding options and warrants.
The letter of intent also requires the divestiture of Miller Fabrication, LLC, the oil and gas servicing subsidiary of High Plains.
Immediately subsequent to entering into the Letter of Intent, the parties are negotiating the final terms of a Definitive Stock Exchange Agreement to effectuate the transaction.
The letter of intent requires that the definitive Stock Exchange Agreement include a significant reverse split of High Plains Gas common stock which will provide sufficient authorized capital to issue to CHAMA 90% of the outstanding equity of HPGS.
High Plains Gas has experienced difficulty in maintaining profitability due, in large part, to the decline curve typical of coal bed methane wells. CHAMA, along with MCF Energy, LLC, own the patent on a device that solves this problem and will bring profitability back to these wells.
Along with the recent signing of a Special Private Placement Agreement (SPPA) for USD $50,000,000 of equity line funding with Lambert Private Equity LLC (LAMBERT) with terms that give CHAMA the right to increase the amount of the equity line funding up to $200,000,000, management of Chama is confident that Chama will have the resources necessary to make this acquisition a success for all parties.
CHAMA Technologies to buy HPGS!!!
CHAMA Technologaes, Inc. Enters Into Letter Of Intent For Acquisition Of High Plains Gas, Inc. HPGS 10/09 04:29 PM
Peggy,
Do you think that you could post the Quarterly Report? Thanks
http://quote.morningstar.com/stock-filing/Quarterly-Report/2012/6/30/t.aspx?t=XOTC:HPGS&ft=10-Q&d=c68c47da8fd03bed7e17780740e026b3
We're Headed To $8 Natural Gas
Forbes 7/22/2012 @ 8:46AM
http://www.forbes.com/sites/richardfinger/2012/07/22/were-headed-to-8-00-natural-gas/
There is a glut of natural gas. Everybody knows that. There’s so much of the latest multi stage hydraulic fracturing going on from New York State to Texas and all places in between, prices will be low forever. But just as a full watering hole can deplete quickly the current gas storage glut can recede. If fact it already has been and at an alarmingly brisk pace and there may be a confluence of other events which could hasten the process. Consider this. The weekly EIA natural gas storage numbers reported each Thursday came in with a 28 billion cubic feet (bcf) injection. The inventory increase last year at this time was 67 bcf while the five year average accretion was 74 bcf. So true that one week does not a trend make. But this makes eleven straight weeks that have experienced below average storage injections. After Thursday’s numbers were released inventories stood at 3.163 Trillion Cubic Feet or 19.2% above last year but only 17.5% above the five year average. A seemingly decent cushion until you consider as recently as May 10 stockpiles were 48.4% and 49.9% ahead of the previous year and the five year averages respectively. So the question becomes, why are rates of gas injection dropping so precipitously unless the shale plays are actually unable to produce the necessary incremental volumes.
continued on web site.......
Form 8-K Definitive Securities Purchase Agreement
High Plains Gas, Inc. (“High Plains Gas” or the “Company”) on March 9, 2012 entered into a definitive Securities Purchase Agreement with Tonaquint, Inc. a Utah corporation, to sell a $836,000 10.3% OID secured convertible note. High Plains Gas received $750,000 in financing through the transaction which the Company intends to utilize to fuel its recent growth. The Note bears interest at the rate of 6% beginning 180 days after closing, which is payable in cash or shares of common stock at the option of the Company. The Note is due in 18 months, can be repaid by the Company at any time with a 125% redemption premium, and is convertible into common stock only after 180 days at a fixed price of $.05 per share. The Note is secured by a discrete list of assets of the Company and Miller Fabrication LLC, its wholly-owned subsidiary. The Note is also guaranteed by Miller Fabrication, LLC.
In addition, Tonaquint, Inc. received a warrant to purchase shares of High Plains Gas, exercisable for a period of 5 years. The number of shares of common stock issuable under the Warrant is calculated by taking 50% of the amount of the Note with interest divided by $0.10. The exercise orice of the Warrant is $0.10.
The precise terms of the Secured Convertible Note and Warrant described above are more precisely set forth in the documents attached to this Form 8-K and incorporated herein by reference.
Item 3.02 Unregistered Sales of Equity Securities
See Item 1.01 above with respect to the sale by High Plains Gas of a secured convertible note and warrant.
The Company issued a related press release attached hereto as Exhibit 99.1.
Item 9.01
Financial Statements and Exhibits
High Plains Gas, Inc. includes by reference the following exhibits:
No. Description
10.1 Securities Purchase Agreement dated as of March 9, 2012 by and between High Plains Gas, Inc. and Tonaquint, Inc.
10.2 Secured Convertible Promissory Note issued on March 9, 2012 by High Plains Gas, Inc. to Tonaquint, Inc.
10.3 Warrant to Purchase Shares of Tonaquint issued on March 9, 2012 by High Plains Gas, Inc. to Tonaquint, Inc.
10.4 Security Agreement dated as of March 9, 2012 by and among High Plains Gas, Inc., Miller Fabrication, LLC and Tonaquint, Inc.
10.5 Guaranty dated as of March 9, 2012 by and between Miller Fabrication, Inc. and Tonaquint, Inc.
99.1 High Plains Gas, Inc. Press Release issued March 13, 2012.
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
High Plains Gas, Inc.
Date: March 13, 2012
By: Brandon W. Hargett
Name: Brandon W. Hargett
Title: Chief Executive Officer, Chief Financial Officer
Gunny, we can be very glad that the volume is only a half mill. If there had been a real dump it would have been much higher. This is probably a good sign and means that there is a lot going on. There is still the possibility the wells could be sold off and the money used for manufacturing operations! Full Disclosure -- Pure Speculation on my part........
I was referring to the never disclosed number of shares that were used to purchase Miller Fab... In any case, it may be an opportunity to buy at .05 or below for those willing to hold for about 2 years, or more!
Looks like a lot of selling going into the earnings.... Hmmm, wonder if there is some concern about the number of shares that were used for the recent acquisitions? Share dilution?
Natural gas rises on Fed's rosier economic outlook!
By SANDY SHORE Associated Press 03/13/2012
A rosier assessment of the economy from the Federal Reserve on Tuesday gave a boost to flagging natural gas prices.
After declining earlier, natural gas futures surged when the Fed forecast gradual declines in the unemployment rate as the economy expands moderately over the coming months. It also noted that consumer spending and business investment have picked up.
Natural gas rose 3 cents to finish $2.299 per 1,000 cubic feet in New York trading. It fell to a 10-year low of $2.269 on Monday.
Oil and gasoline futures also rose. The gains indicate growing confidence in the economy and the potential for stronger energy demand, said Michael Lynch, president of Strategic Energy & Economic Research.
Benchmark oil increased 37 cents to finish at $106.71 in New York. Brent crude ended up 88 cents at $126.22 per barrel in London.
The price for natural gas has fallen about 26 percent this year because homeowners and businesses used less heat during the mild winter. The savings helped offset the higher price of gasoline and diesel fuel. And about one-quarter of the nation's electricity is generated using natural gas.
At the same time, natural gas production is booming because energy companies are accessing underground reserves using newer drilling techniques. The nation's natural gas stockpiles are now about 48 percent above the five-year average.
Energy consultant Stephen Smith estimated there is 800 billion cubic feet more natural gas in storage than what is typical for this time of year. To bring supplies back into balance, over the course of a year demand would have to exceed supply by about 2.5 billion cubic feet every day.
With the price dropping, some big natural gas companies like Chesapeake Energy Corp. have cut production. The number of horizontal gas drilling rigs fell about 30 percent from October to February. But it will take time for the reduction to affect supplies. And other big producers, like Exxon Mobil Corp., have pledged not to cut back. Traders will need to see a clear trend of lower production before they'll bet on higher prices, Smith said.
In other trading, heating oil futures rose 3 cents to finish at $3.27 per gallon and gasoline futures increased 3 cents to $3.35 per gallon.
At the pump, the national average for retail gas increased less than a penny to $3.81 per gallon, according to AAA, Wright Express and the Oil Price Information Service. That's nearly 30 cents more than a month ago and about 25 cents more than a year ago.
Thanks for posting, and it is news on HPGS worth reading, but it would be appropriate to document the source. And the date is relevant. The implication of your post is that the news was posted today. IMO.
Valley, your post was a partial copy of a StockHQ article that was published back on 17 Nov 2011.. The clown isn't funny anymore!
http://www.smallcapnetwork.com/Wyoming-Natural-Gas-Producer-Bounces-Back-Today-OTC-HPGS/s/via/14/article/view/p/mid/1/id/364/
Check out the news release in 15 August 2011
"High Plains Gas Completes $1.12 Million Common Stock Financing"
High Plains Gas, Inc. (OTC: HPGS, "the Company") announced it has completed an initial round of funding of approximately $1.12 million from institutional investor Ironridge Global Energy, in exchange for unregistered shares of Company common stock. The Company expects to continue working with Ironridge Global to raise up to $3.5 million in additional funding
It has been fairly quiet on the corporate front. Any Wyoming residents hear anything over coffee in the mornings? Your posts are welcome and have more information than most! TIA
The strategy is for the short sellers to push it up, sell it short once the cheerleaders pump, and then drive it down to buy it back.... MM needs to make a living!
It looks as if HPGS wants to keep Miller as a separate entity. This way they can still sell off the wells and function at what they do best! I wonder what they could get for the wells??
I think that we will find that the number of shares outstanding will be the big surprise. They have never detailed the number of shares that were paid for Miller, and that question has quietly slipped away over time....
Hey valley, were you making a visa run, or what? How do you make your trades at that end of the world?
Will Nat Gas Rebound This Year?
By Zacks Equity Research | Zacks – Thu, Jan 5, 2012 3:50 PM EST
Among the most commonly asked questions by energy investors this new year is: will low natural gas prices continue in 2012 or will we see a durable rebound in prices from their multi-year plight?
From a peak of about $13.60 per million British thermal units (MMBtu) in 2008 (referring to spot prices at the Henry Hub, the benchmark supply point in Louisiana) to around $3.00 now – sinking in between to a low of $2.50 in September 2009 – the plummeting value of natural gas represents a decline of over 75% over three years. In fact, prices have been low, roughly around $4.00 per MMBtu, during this timeframe. Thanks to this steep fall, industry participants are pressing the panic button.
But it Hasn’t Always Been this Way…
It wasn’t long ago that the nation was facing a real natural gas supply shortage, which sent prices on a tear. It is almost impossible to imagine that things once looked so miserable on the U.S. natural gas supply front that plans were made to invest money in liquefied natural gas (AMEX:LNG - News) import terminals to bring in natural gas from overseas. This commodity shortage meant that natural gas was in a raging bull market in 2005 and in 2008, with prices skyrocketing.
Factors Behind the Decline
But then something happened; the success of ‘shale gas’ – natural gas trapped within dense sedimentary rock formations, or shale formations. This unconventional fuel source transformed domestic energy supply, with a potentially inexpensive and abundant new source of fuel for the world’s largest energy consumer.
With the advent of hydraulic fracturing (or fracking) – a method used to extract natural gas by blasting underground rock formations with a mixture of water, sand and chemicals – shale gas production is now booming in the U.S. Coupled with sophisticated horizontal drilling equipment that can drill and extract gas from shale formations, the new technology is being hailed as a breakthrough in U.S. energy supplies, playing a key role in boosting domestic natural gas reserves.
As a result, once faced with a looming deficit, natural gas is now available in abundance. Through their technical advancements, independent producers like Chesapeake Energy, EOG Resources Inc., Southwestern Energy and their ilk were actually so successful in pumping up natural gas volumes that it rocked the price of the product that they were selling.
So while most commodities have at least doubled in price over the last 3–5 years, natural gas prices have not recovered. In fact, they are currently trading at their lowest level in more than two years.
What’s surprising is that even the recent, steady fall in the natural gas rig count has failed to stem the rise in natural gas production.
Defying Rig Count
Every week, Houston-based oilfield services company Baker Hughes Inc. releases a rig count, tallying the number of rigs searching for oil and gas in the country. And after analyzing the numbers, we find that the natural gas rig count has been falling since the last few weeks, 125 rigs in fact (or 13%) from its recent high of 934 on October 28.
Now, as per conventional thinking, this (a lower rig count) would indicate that a significant production decline is positively on the horizon. However, this is not as simple a conclusion as it might seem, if we look at the U.S. production and the shift in rig composition.
With horizontal rig count – the technology responsible for the abundant gas drilling in domestic shale basins – close to its record high, output from these fields remains robust. As a result, gas inventories still remain at elevated levels – 13.7% above the 5-year average and 9.1% higher than the same period last year.
Fundamentals Don’t Back a Big Move in 2012
Looking ahead, EIA expects average total production to rise by 2.8% in 2012 (to an all-time high 67.72 billion cubic feet per day, easily eclipsing 2011's record high estimate of 65.9 billion cubic feet per day), while total natural gas consumption is anticipated to grow by just 1.7% next year. We believe these supply/demand dynamics – the projected lower consumption growth compared to production – will weigh on natural gas prices, translating into limited upside for natural gas-weighted companies and related support plays.
In the absence of major production cuts or a stronger economy to boost industrial demand, which is responsible for almost a third of the gas consumption, we do not expect much upside in gas prices in the near term. In other words, there appears no reason to believe that the supply overhang will subside and natural gas will be out of the dumpster in 2012.
In the past, winter weather has played a factor in boosting prices with demand for domestic natural gas exceeding available supply. But with no dearth of new supply, even this association is becoming more and more obsolete.
Where's the Opportunity Now?
With the industry average production cost at around $5 per MMBtu and natural gas hovering around the $3.00 range, most of the producers are close to or below their break-even. Even big companies like EnCana Corp., Chesapeake, Royal Dutch Shell have seen their share prices erode. As such, we can see why investors are scared to dip their feet into natural gas stocks.
However, some (like Chesapeake) are better equipped than others and this is because of their initiative of deploying more funds toward liquids. One can also opt for large gas producers like ExxonMobil and Chevron Corp. that have the deep pockets to wade through the rough waters.
Another way to play the market is to look for the lowest producers of natural gas. These include firms like Ultra Petroleum Corp. and Southwestern – both with substantially lower production costs. These companies will get the best results when natural gas finally rallies and be the ones who will stay afloat the longest if prices stay low.
Zacks Investment Research
BREAKING NEWS
Open Letter to Shareholders Issued by High Plains Gas CEO Brandon Hargett 01/10 08:07 AM
GILLETTE, Wyo.--(BUSINESS WIRE)-- The following is a letter from High Plains Gas (HPGS:$0.077,0$-0.003,0-3.75%) CEO Brandon Hargett to shareholders:
Fellow Shareholders:
2011 was a very busy year for us. High Plains Gas (HPGS:$0.077,0$-0.003,0-3.75%) had more than our share of significant accomplishments including the completion and development of the acquisition from Marathon Oil of the “North and South Fairway”, a significant coal bed methane asset in the Powder River Basin. We currently own and operate over 1,650 coal bed methane wells encompassing approximately 155,000 acres and we continue to reactivate shut-in wells on a monthly basis. In the context of plunging natural gas prices, this asset nevertheless realizes revenues of approximately $3-4 million per quarter. Also, we are quite excited about the formation and growth of HPG Services (detailed below). Unfortunately, we also had misses. Most notably, we were unable to secure the adequate funding to complete the Huber acquisition in mid-year.
Our Performance for 2011
I believe that our team has laid the foundation for future prolonged, reproducible, and robust success. In 2010, our management team took over High Plains Gas, Inc (HPGS:$0.077,0$-0.003,0-3.75%) in the face of headwinds of faltering natural gas prices and deficiencies in our corporate structure. First off, we have worked and continue to work hard to amplify efficiencies while eliminating internal duplicity. Prudent and responsible corporate reorganization has resulted in streamlined administrative, operations, and accounting teams throughout our company. I now believe that our business processes have improved to the point that they match the level of client service and satisfaction that we have achieved in the past. Moreover, we centralized our accounting operations throughout the divisions, added appropriate internal controls, and strengthened our infrastructure to grow.
While we anticipate real growth in 2012, it is imperative to me that we have the necessary proactive controls, infrastructure, and teams in place to metabolize and catapult the growth.
As we have just culminated an eventful 2011 at High Plains Gas (HPGS:$0.077,0$-0.003,0-3.75%) , I would like to take this opportunity to lay out a “state of the union” of our company moving forward into 2012.
In this letter, I intend to focus on the following areas:
I. Emerging Even Stronger: Expansion to Energy Construction and Field Maintenance Services
II. Stability: Growth in Energy Demand, Infrastructure, and Production in our Backyard
III. Culture of Success: Talent and Will Abound
IV. Optimism: The Future is Bright
Emerging Even Stronger:Expansion to Energy Construction and Field Maintenance Services
In the past year, we recognized that the demand for Energy Construction and Field Maintenance Services in our region was booming. The concept is simple, yet elegant. Being a relatively small company, we have the ability to be nimble in strategic direction and, as such, HPG Services was created to provide construction, maintenance, and fabrication services to the energy industry. As the regional energy demand, infrastructure, and production grows, we fully expect to grow into one of the dominant regional players in this industry.
HPG Services has already been catapulted by tremendous growth. We acquired several like regional energy-related construction companies, most importantly Miller Fabrication, which will serve as the entity that operates all of our energy construction and field maintenance services moving forward. Miller Fabrication has recently signed multiple Master Service Agreements with established companies that operate regionally within the energy industry. We are currently in the process of engaging projects in our region, including North Dakota and Wyoming, as well as working to develop our internal resources to capture much larger projects. We have facilities that will enable us to fabricate many of the specialized items necessary for the operations of companies from which we win bids.
Recently, we received approval from the American Society of Mechanical Engineers (“ASME”) for our code stamp, an important process for building compliant structures used within the energy industry. With over 45 years of combined experience, Mark Hettinger, Chief Operations Officer of High Plains Gas (HPGS:$0.077,0$-0.003,0-3.75%) , and Ty Miller, President of Miller Fabrication understand the past, current, and future landscape of energy construction and maintenance business very well. I would like to reiterate the fact that Mark Hettinger was able to take his previous construction and services company, Hettinger Welding, from a small regional welding company to a company generating $200+ million per year in revenue in the absence of our present strong regional infrastructure and engaged management team and dedicated board of directors. To put it plainly, we are bullish on Miller Fabrication for the foreseeable future. Given Master Service Agreements already on the books, I anticipate significant revenue for this division in 2012. As our balance sheet tightens, supported by said growth, my goal is a low debt load and improved operating capital to win bids on larger projects.
Culture of Success:Talent and Will Abound
While our company operates in a region with bountiful natural resources, this past year served to remind me that our most important resource far and away is our people. We have assembled a stalwart team from the field level to the project managers to the account managers. Moral of our team members has significantly improved throughout the past year. At every level and in each division, we are unified by our culture of excellence and integrity. We continue to raise the bar in this regard as we have implemented improved controls at every level, which will serve us well as we continue to grow rapidly. The combination of experience, will, and talent will place us at the forefront of our industry.
Optimism: The Future is Bright
Our management team has every intention of growing High Plains Gas, Inc (HPGS:$0.077,0$-0.003,0-3.75%) into a regional power in energy-related construction and field maintenance services. I am confident that we have and will continue to lay out a path for success in 2012. We expect natural gas prices to remain stagnant for the foreseeable future, and, thus, expect the bulk of our immediate growth from Miller Fabrication. The incredible regional growth of the energy sector coupled with our multipronged measures to improve all aspects of our organization will prove as an indicator for sustainable growth.
We, as the management team, will continue to be transparent with our fellow shareholders to affirm our dedication and vision for this great company.
I genuinely thank you for your time and attention.
Respectfully,
Brandon Hargett
Source: High Plains Gas, Inc. (HPGS:$0.077,0$-0.003,0-3.75%)
Get more news on:SYMBOLS: HPGSNEWS TYPE: Top News, Top Stories: InvestingSECTORS: Energy, Oil, Gas and Consumable Fuels
Credibility is something you earn! So far you have -1....
"Well, that was real friendly. I thought longs had faith in each other. Why on earth would I give false information? I happen to have a lot of shares in HPGS and I'm just as frustrated as you are that this stock is going nowhere....that's why I called them. I was trying to share what I was made to believe from a high company official was something positive. I'm not happy that the PR didn't come out either. Since you don't believe me, call them yourself and ask to talk to Tim Ondrak, the VP of finance. Phone # 307-686-5030. Then you can report back and see if I believe you."
Just my opinion, of course, but I think that we have all been had by HYPF. The whole company seeme to be a backyard project by an amateur from the backwoods of Alberta. The players appear to be completely overcome by events and have no idea of what they are doing. They may have either committed fraud, or are completely ignorant of the law, and have released fictitious press releases in the hopes of unloading worthless shares.
I hope everyone has a Happy New Year and that our investment choices in the coming year are better than this choice!
The year in review...!
Promises, or is it only HYPE?
May 17 Announces Valuation in Excess of $100 Million
May 10 Announces Revenue Projection Indicators
Apr 27 Announces Game Changer Acquisition Site Visit
Apr 20 Announces Spin-Out Option and Possible Future Dividend
Apr 14 First Acquisition Draws Closer
Mar 31 Provides Status Update on Two Acquisitions
Mar 22 Announces Acquisition Update and Tier Upgrade
Mar 17 Commences Share Buyback in Anticipation of Acquisitions
Mar 04 Announces Potential Acquisitions for Profitability and Explosive Growth
Feb 22 Announces Share Buyback Program for Value Appreciation
Feb 16 Patent Update on Existing and New "Game Changer" Technologies
Feb 10 Signs Major Development Agreement
Feb 08 Issues Shareholder Update
All securities transactions are subject to the antifraud provisions of the federal securities laws. This means that you and your company will be responsible for false or misleading statements, whether oral or written. The government enforces the federal securities laws through criminal, civil and administrative proceedings. Some enforcement proceedings are brought through private law suits.
If you believe that you have been defrauded by an OTC Bulletin Board issuer, you may file a complaint with your State Securities Regulator or contact the SEC's Office of Investor Education and Assistance.
HYPF is dropping yet again, only this time an investor is reacting! An investor over at raging bull has made the following post:
"C Oakes, I have to tell you I filed a complaint with the SEC and the ASC weeks ago, I did alot of research going back years and I wasn't happy with the way Doug Bender was acting with my investment, and for that matter 100's of thousands of $ folks just like you and me have invested in HYPF mostly because of Benders positive looking PR"S. But after not getting a response from Bender or Bob our new Ivestor relations guy I decided to file a complaint. It wasn't easy for me because its almost like shooting yourself in the foot, here I am invested and filing a complaint against the guy I'm invested in, but I just can't for the life of me understand why Bender won't talk to his invsetors. My next step is to file a lawsuit against him and his holdings."
In my opinion, this company which has no product and has no revenue and has completely failed to provide any communication of substance, should be avoided by anybody that wants to see a return on investment.
Opinions are what these boards run on, highline! Thanks for sharing that information! It's always good to get an insider's view!
Just my opinion, but I believe that many of the shares that have been used for acquisitions and services are restricted shares. That said, I don't believe that the company has been very transparent about how many shares are outstanding and what the restrictions are on those restricted shares!
razorback, Don has given you the link that I use. It provides the Daily Short Sales list and you find the correct symbol. It is posted approximately an hour after the market closes. Everybody seems to have a different interpretation for the data, but it is only another tool that you can use. I use it to see if I can see any patterns to the trades.
The MM uses short sales to provide liquidity and sells naked short when they don't have the inventory to cover the stock. They later have to purchase the stock within three days to make the transaction. HPGS has been running 25-35% short sales per day. Today's 69% is unusually high and may be indicative of a short sale strategy, or maybe the MM was unprepared for a higher than usual demand near the close. In any case, the MM will have to cover the short sales. I am hoping that the demand was higher than expected and that the demand will continue and create a short squeeze for the MM.
I have no desire to argue with you. Interpret the facts any way you want. The fact is that 69% of todays transactions were short sales. I do not know which transactions were sold short, or at what price they will cover. The MM doesn't give money away, and they need to pay for champagne.
If I put in a buy order for .077 when the ask is .079 and I get the sale at .075, then the MM is able to bring the price down with relative ease. We'll see what happens over the next few days....