Not sure how long the pps will be this low...but whatever is happening is below the radar type of stuff here. I would like to agree with you if there is even a hint of bumped up production that the pps will increase. But, if BDGR has been selling shares to offset any losses leftover from the barrel revenue to carry the companies expenses then I am getting a clearer picture of the state of the company and it's health at this time.
If they have been selling shares to cover companies costs along with barrel production then 5things are working against them not in any order.
1. Someone is buying these shares possibly a group for a takeover.
2. Joe has to issue more shares to make it harder and more expensive for them to acquire.
3. He has been selling shares to offset operational deficits to cover barrel revenue which alone might not be carrying BDGR's expenses.
4. The hiring of Ellis was a strategic move to pump up volume, which pumps up valuations of company and revenue booked.
5. The issuance of more shares and the selling of them is for the company to cover costs, acquisitions, etc. But, the shareholders suffer in doing this because the dilution drops the pps lower than what you pay for it and that doesn't do anybody good from that. Now if it has been manipulated and brought down through a group buying through MM's that is a problem for the company. If it is being manipulated then the group behind it is forcing Joe to sell shares for cheaper realizing less from the sales of stock. The only way out of this really is too make more revenues and grow the well count up along with production...hence the hiring of Mike Ellis. If the group obtains a majority of shares or 4.9% or more they become insiders that is why I beleive if there is someone behind all of this the only way out is for Joe to issue more shares as fast as possible delay and play rope a dope make it tougher for the group and more expenive and hopefully they don't have deep enough pockets and Joe plays it out.
My personal opinion is this...since no one knows what the share count is and financials I believe they will not release that data for the sharks circling Joe to know. Information that would be great for you and I but I think could put Joe in an inferior position and I don't think he is oing to do just that. Not at this time...this is all just my opinion I want you to know but an educated guess on my part. I wouldn't do either...UNTIL I boosted production and cleaned up operations bring on hundreds of other wells and then put my financials out with the position of strength.If he was to do what all of us want him to do by filing right now or until he gets things in shape then he would be slitting his wrists and jumping into the Gulf and would be swimming with the sharks. You never ever give someone like a hostile group your financial info or a share count because that is information they would love to get their hands on. It's like knowing the guys hands in a game of poker...they then would calculate approx what it would take to get your majority or a hostile takeover Joe would lose everything...including his cash cow.
So at the end of the day it comes down to nothing that we want as shareholders the owner of the company is going to do whatever it is he has to do hold onto his company at any expense. If it means dilution...it means dilution nothing any of us can do about it. My advice sit on the sidelines on your helmet watch Elllis do his thing and grow the production and watch the pps daily look for hints at production increases.
The other possibility is what happens if BDGR were to lose their lawsuit with OMDA? I have no idea really if there is a case does anyone? Let's say they do and those oil wells get stripped out of BDGR's possession. What do you have left and what produces in your inventory if you happen to lose. I mean afterall it is a lawsuit right? Having Ellis on board is an insurance blanket for Joe I am not saying that is why Ellis was hired at all. It is because in my opinion Ellis is going to boost the production up dramatically or improve on it which is a good thing. We don't know if those wells that are in question really have any value too them anyway as shareholders they could be duds or very low producers with no real tangible value to the companies booked assets. Like Joe stated in his PR they haven't lost the darn thing hasn't even gotten to that part yet and feels the lawsuit is frivilous without merit.
So at the end of the day what do you have? A very valuable oil company midstreaming it really off of stripper wells. They are making all the right moves hiring Ellis in my opinion bumping up production bring more wells online. I think over time we'll see those numbers and that audit...but not until this lawsuit is over, revenue and prodcution is higher and the group behind the hostile is smoked out playing rope a dope over time. So in the future all I do is watch the pps but not every second minute of the day I turn on my computer check it out and move on to toehr stocks that I own. I don't let it consume my life...it's interesting drama without a doubt should be interesting too see how Joe battles hisway out of all this. I think in the end he'll be successful or their might very well be a merge or complete takeover. We'll just have to watch and see but that this price it is really a joke way to cheap. Great for acquiring bad if your selling and have been holding at a higher price for a length of time. If you just bought in then minimal risk with huge upside.
Just my 2 cents that's all...
AI
