Azure Holding Group Corp (AZRH)

[Controlledoilandgas]

We're not denying that the Vision at the date of acquisition owes $90k in property taxes that is 100% real - however, Cohen has resolved issues like this before through tax settlement programs that stretch out the liability over a period of time as a fixed monthly payment.
We're also not denying that the company has severed leases (which sounds worse than it is - it means you still own the leases but under the Texas Railroad Commissions opinion and through failed H15 tests submitted that you have to perform what's call an MIT on each well - which is not cheap to do). However, Cohen and Watson both have a lot of experience with the Texas Railroad commission, and the most important part of resolving matters like these is communication with the Railrod Commission what you're going to do together with them to resolve and fix the issues, and communicating about your efforts towards full compliance.
If a lease is severed it means you can produce on that lease but you can't sell oil on that lease. The group is confident that they'll most likely have 9-15 MIT's that require resolution (Mechanical Integrity Test, performed in front of a member of the Railroad Commission).
The workover rigs are there to bring wells back online for all of the leases that aren't severed while the company works through its resolution program with the Railroad Commission to (1st) determine which wells can be retested / reshot (primarily the wells that failed due to fluid to surface level issues, which are usually due to the wells sitting idle / shutin and need to be repumped / recalibrated) and (2nd) perform the MITs where required to unsever the effected leases.
3rd well workover completed today, 157 more to go.
https://www.linkedin.com/posts/joshua-a-cohen-522baa20_workover-3-complete-in-cochran-county-for-activity-7353146151698583552-YFR0?utm_medium=ios_app&rcm=ACoAAARytGoBtIX1Q6WUaVFzfvMhbb4SCKtMR-E&utm_source=social_share_send&utm_campaign=copy_link