The SEC is protecting ZN Shareholders... They should be thankful
ZN found nothing whatsoever in their well... This happens in 1/7th of all wildcat wells & is normal - even expected...
However, ZN Management littered their Press Releases with tons of hints that they had encountered high pressure, tons of gas, flowing oil, etc... Now ZN Management's reputation is on the line & they are willing to do anything (even lie) to keep from having to tell their shareholders that they have once again squandered their investments...
The SEC appears to be stepping in to protect the shareholders though before ZN Management can drop another deceptive, misleading PR to spark a flood of investors exercising warrants at $5.00/share & likely open yet another round of rights offerings...
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If ZN got their money from a revolving credit facility like normal oil companies, this would not be possible, banks would demand to see the well logs & records before loaning anymore money...
But because ZN targets church going people who typically are not savvy investors, & have no idea what a well log even is, they just assume that "these are godly people & they would never be asking for more money if they didn't know the oil was down there"...
Well, they are wrong... ZN Management will do anything to keep this going - protecting their reputations, huge salaries & huge, fancy office building... ***None of which have ever been earned by the way, in over a decade of operations & after burning through $170 Million of investor dollars, ZN has never generated a dime of revenue... I don't know what is more ludicrous, the salaries, the office building, or their reputations being such that people rush to write these guys checks...
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Because ZN shareholders are unable to protect themselves, the SEC is stepping in to do it for them...
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ZN Management is nothing but a bunch of fake evangelists & failed geologists who stumbled across a scam that has probably put well over $10 Million in Mr. Brown's pockets over the years... All by selling promises that they he knew he did not have capability of delivering...
