ALL READ -
I think initially there was some confusion regarding the LOI's and content. Please note (3) LOI's were announced back in May.
1. East Texas LOI
2. Quitman
3. Wood and Camp County
#1 The East Texas LOI had three options. One was the complete package, second was to rework 150 wells, third was to rework 12 wells. The company has the option to do one, two or all options. Obviously, everyone wants to see the entire package because then BIGN can be classified as an Oil Rig Operator driller with significant assets plus obtaining the existing cash flow 7M annually from the East Texas company. However, it should be noted that this company has it's own rework rigs(2) and drilling rig(1) to collectively work with BIGN on the smaller projects using BIGN's technology. So if any of the deals go through it's a bonus for BIGN.
Also - The company has announced it's JV program with WW Oil and Gas / Success Oil on the Tubbs project expected to commence in September. This is a plus $$$$
Also - We have two wells hopefully coming online at Grimes. This is a plus $$$$
This is my observation. Nothing has changed fundamentally with the company except it's "known" inability to execute and get things done. Delay, delay, delay. It's unacceptable and ugly but that is business. It is however, not a reason at this point to sell the stock into a panic.
At least the deal is not terminated and off the table. Everything is still on the table as was before with the exception of Quitman. Quitman was not a large project. The East Texas LOI is entering the financing stage of the closing and the sellers are not terminating the deal. My only question is how long will this process take since no timeline was given. Obviously, the sellers will not permit much more time.
