Hemi Energy Group Inc. (fka HMGP)

[cowboy69]

I do not have any proof since my thesis is compiled from information which is public. This information is either in the way of other posters' comments about the company (which is heresay) or news flashes taken from financial publications.

Again, my thesis, as with any, is subject to the same risks and exogenous shocks. Therefore, consider the information as you would any information which is the thesis of another.

This is a capital intensive business. HMGP only has a market cap of ~$96k. Obviously not enough to control heavy machinery used to explore and extract oil for profit.

However, with oil prices climbing to $4 p/gallon and expected to increase further, banks are looking to put cheap capital to work and would lend capital given the proven reserves and cash flows which easily should pile up given the current economics.

HMGP is based in one of the best oil regions in the country, seems like Keith Anderson is trying to time the market by signing the loan and lease agreements. Obviously a smart capital budgeting decision, which should help them fly out of the gate!