Daybreak Oil and Gas Inc (DBRM)

[xiws]

Conversation on oil price drop
In a recent conversation on the impacts of the drop in oil prices JW openly shared some thoughts that generally followed what I expected. He wasn't particularly worried, in the he didn't feel DBRM was over leveraged, and this is cyclical - he's seen it happen quite a few times. So, yes, profits get hit. But recent production increases from the new wells still generates oil, and the big drilling and connections expenses have already been incurred. Slow down or stop drilling for the moment (depending on various factors). Sales income goes down. So do many expenses from all the vendors and suppliers due to drop in demand. Production costs for DBRM are pretty low.