UnionTown Energy Inc.(fka UTOG)

[NZPaul]

Both press releases are negative news for UTOG. Investors should be waiting for the end of year financials that will be released within the next 20 days before taking on additional positions in UTOG. The statement regarding oil shipments is very dubious. The statement regarding listing in Europe speaks volumes. They have tapped out all possible financing options in the US and are now looking to try and secure any funding they can from floating more stock on a European exchange. All this will dilute the stock and incur UTOG more expense listing and trying to promote the stock in Europe. This tells me they have not been able to satisfy requirements for relisting in the USA. Listing in Europe is the last thing the UTOG management wants to be spending money on (money they don’t have). Since these releases there has been no volume whatsoever on this stock pointing towards buying from just a handful of people interpreting the last two statements as positive news.

I’d like to see the end of year financials to get an idea of what their balance sheets look like now. They were desperate for additional funding and have made no announcements to the shareholders outlining if they have secured financing to continue in business for the next 12 months.

There are no conspiracies going on here. UTOG made some wild claims (I saw the emails) The claims just couldn’t have been backed up at that time. The share price rocketed as speculators who had probably never even read the balance sheets bought into the stock. UTOG got their wrists slapped and de-listed for TEN DAYS as they could not get together the required information to back up their claims. Their share price understandably disintegrated. No hedge funds, no bankers, no bogey men involved. If they were on the up and up they would have been relisted straight after the ten day suspension. To this day they are not relisted and now looking to a European exchange (note also they didn’t say which one).

Klee- “the European markets don’t allow shorting” – Yes they do. They have suspended shorting for periods in times of immense crisis for a few days. This is also the case for the US exchanges (like the ban on short selling financial stocks in September 2008 for few days).

As stated before I am neither long nor short UTOG.