Ok, well here goes. Feel free to skip to the end of this lengthy post if you'd rather not hear (or don't require) the disclaimers.
I don't need to pretend to be a novice to picking apart these filings, but fueled (excuse please) by genuine curiosity I managed to burn a couple hours and a bunch of brain cells on this 10-Q. What I've concluded from this exercise is little more than a general impression of "the essential state of Worthington E."
I'm not claiming to know the ultimate (condensed) truth of "our" financial condition and forward outlook. What I have come up with is a viewpoint that I can honestly say I feel comfortable in believing for myself as a shareholder in this company.
Briefly, I'd like to add that I'm glad to see this board evolving from the typical ihub content. It's one thing for a board to have dedicated shareholders, and quite another to have dedicated shareholders commited to thorough DD, the good bad n' uglee (if you will). xzx easily deserves the accolades he's received over the past months, and it's been due largely to his posts that I've viewed this board as atypical (which is to say, relevant as an information tool in forming my own approach to investing in WGAS.) I've said it before, but thank you again xzx for your posts and moderation.
That being said; enough qualifying. I offer this "laypersons synopsis" for the purpose of discussion and if anyone disagrees with my impression, I'd genuinely welcome clarification/additions/counterpoints etc.
Here are my points. You'll find some of them simple reiterations of the message boards general opinion, others will differ. As always this is all "IMO"
1) I agree Mustang Island is crucial to the companies survival, but prior to spending this time reading the current Q I viewed production from MI as an easy ticket to safety. Now though, I think for the company to exit "the danger zone" we'll need that and more.
2) This will likely raise a few hairs here (mod's I hope you'll bear with me), but it's my opinion that we're in relevant jeopardy of losing the VM179 lease. We're in court over that deal. I don't know the likelihood of a favorable judgement under the circumstances, but we are, and have been in since December (I believe) in default of the purchase terms, and (again, per the Q etc) Montecitio is entitled to release from the sale. That's why we're in court with them, to retain the sale. Now, we may very well complete that sale. It remains to be seen, but I think the current pps doesn't really reflect VM179's inclusion as an asset. This is also to suggest that a favorable judgement coupled with (or hinging upon) Tony Mason securing the "new financing" will do wonders for our pps prior to production.
3) And lastly, with regard to the possible "new financing." I believe it's highly important (if not mandatory) that we succede in procuring those monies. I don't think Mr Mason would be bothering to pursue this financing if he didn't think it was of the utmost importance. I'm comfortable assuming Mr Mason believes in a resonable chance of "saving" the VM179 deal with this financing, or at the very least essentially guaranteeing production from D-Bar and the W.Texas lease via this financing.
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Ok. That's my take. Probably too much yappin' for most, but I hope anyone who bothers to read it registers the sincerity of my commitment to understanding "the state of WGAS."
Comments, corrections and criticisims are certainly welcome.
Thanks for reading.
