Below is a copy of a post that I just put on the RB board. As MBD pointed out, the old boards used to be full of constructive discussions... nothing wrong with being old fashioned.
Is CFP coming this year or not? Has anyone figured out if they have enough contracts to turn the corner or are they still short in gross revenues? It seems very likely that ERF isn't there yet as it hasn't announced any new contracts during the last quarter that could increase revenues... that means... if the SLB contract is still mothballed or officially terminated, the only way it happens is with a new contract or two... conclusion, we have to see new contracts well before the end of the year, if this company is going to turn the corner before 2011 gets here. "Well before the end of the year" would be like "right now!"... It takes months to build the back end of a new project; so unless they are working on it right now, the revenues won't hit until next year.
So I am back to original question... do they have enough revenues in existing contracts? If they don't, DC is way off base predicting CFP in Q4.
In rough terms (I am very open to input on this), I figure that they need to be pulling in somewhere around $18M per year to turn the corner... that is $4.5M per quarter... if the next 10k has anything over $3.25M in gross revenue, then I'd say they have a shot. Anything less than that and it turns a long shot into an improbability.
I am thinking ERF needs one or two contracts to make this work... I hope the ink is drying on one today and all the back end is ready to go. The market is ripe, so let's get a move on.
JMHO
A1
