Register for free to join our community of investors and share your ideas. You will also get access to streaming quotes, interactive charts, trades, portfolio, live options flow and more tools.
Register for free to join our community of investors and share your ideas. You will also get access to streaming quotes, interactive charts, trades, portfolio, live options flow and more tools.
Thanks Buc
Yeah do it right before they dilute you, makes perfect sense. LOL
Where do you think they'll finance this thing? A nickel?
Yeah, who's paying buc's bill if things don't pan out while others save and have a diversified portfolio.
Sorry, it is what it is.
Sadly, this is why our country is so screwed. You should be investing your last penny into a mutual fund, not a penny stock with no cash in the treasury right before they are going to dilute the heck out of you.
Sorry, had to tell it how it is.
Why bother? This thing will only drift lower the longer there's no decision.
Buck,see recent news. State they would commence drilling in a couple of weeks.
Why not hit the sell button? You're sticking around for a reason.
Yes, its because we have a bunch of arm chair analysts here that dont know a thing about O&G exploration let alone running a company....Yep, I said it.
Didnt they say in the previous release that they were operators? Now, they arent sure if they want to be operator if they are an operator? How does that build any confidence?
Why in god's name would your large shareholders not want to average down at lower levels? That defies all logic.
Just waiting on HENC's financing now.
Genstock - how long do you think it will take? I'd expect HENC pay TGC the funds to acquire the seismic data immediately. After all, if they want to operate they need the data.
Amen!
Genstock, stop the pumping noise. Show me the $$$$. You cant drill with no money on the balance sheet. Do you really think they are going to finance this at 30 cents? Come on! Massive dilution for the little investor.
Even if they put money in the deal with will be a lot of dilution. Remind me....isnt Holloman in the pipeline business? I haven't heard of any guys in pipelines knowing much about O&G exploration....let alone in Australia!
I'll believe it when I see it. HENC hasn't shown to be able to do much this entire time.
Management's inability to execute is the glaring weakness in all of this.
"The parties will be subject to the Joint Operating Agreement whereby ownership representing over 51% of the PELs will vote on an operator. The operator will have the right to propose an exploration budget after which point each party must provide capital to fund its working interest."
Looks like a nightmare at the moment.
Hamil, you're reading it the same way I am. Fortune favors the ones who can READ and use common sense.
Makes more sense that TGC did it because they spent $6m to earn 20%, why would they spend 10-15m to only get another 26%?
Stop spewing made up non-sense. Clearly it state that an operator is voted on. TGC HENC and the other party VOTE on an operator. HENC cant vote on an operator if they only control 48%.
Only option for HENC...DILUTION
I see no other scenario playing out for us...not that has any rational sense
Josey - I see nothing about any other properties on their website. Even assuming they did, they clearly dont have a technical team and they would need to spend ~5m just to shoot seismic let alone even think about drilling anything.
Right. From TGC's release they plan on drilling it with or without the other partners...its just a bit riskier.
You're right on maneuvering the tough oil markets. HENC has done nothing it seems!
Mike's the only one that seems to get it. I'm negative on HENC because of this. They don't have control of the licenses. The last bit I hope was that management acknowledged the realities we face as a company....yet they are going to get drill contractors with no cash to pay for any drilling.
Wow. They receive a termination agreement in the morning and say they have reached out to drilling contractors by afternoon? Who's the captain of this ship?
They have $18k and have not done technical work but yet they are going out and hire drillers?!?!
That's a way to build investor confidence.
I dont know where you are trading. The TSX markets are open. Yesterday was the holiday. Get your head out of the sand.
Ignore any critical thinking. That's the way to do it fellas. Anyone providing unbiased opinions are ignored. Sticking your head in the sand is no way to invest.
Josey - use common sense. They control a large percentage of the float, yes. Us as shareholders of HENC own the smaller interested. Therefore if they raise capital your ownership is significantly diluted. Have you even looked at their balance sheet?
The worst idea ever is to put debt on a company that has no revenue. If exploration were to not work out then HENC would be bankrupt...which already seems to be pretty close as is.
Josey - Where do you come up with this stuff? TGC stated they are planning to fund their portion of exploration and have the cash to do it already on hand. TGC isnt going anywhere.
If the parent company does come in and finance it will be massive dilution for shareholders.
No, under normal procedures the parties vote on an operator. Therefore HENC can't vote themselves in on their own as an operator because they have controlling interest.
This is rather simple. They don't have control and they have to do dilute to be able to even retain the 48% interest they have now.
How much further is the company now than 10 years ago? Doesn't look like much has been accomplished.
Josey - talk the facts. TGC has the 20% per their news release this morning. Holloman only controls 48% of the project and can only retain it if they fund their portion of drilling.
I think you're right about 10 cents. Looks like huge dilution for HENC shareholders...that's if they can raise the funds.
I guess, for what it's worth, we could arbitrage it and sell HENC to pick up TGC. Based on the current valuation that seems like the way to go.
HENC will have nothing if they don't fund their portion and TGC takes on sole risk. Seems to me they are doing the smart thing. Share the funding to drill more wells and increase odds of success.
These terms are more favorable for TGC shareholders. TGC does have the technical team, cash, and understanding of the projects prospects more so than HENC. Where's HENC going to get the $5m to drill? Seems like the free ride is over.