Interesting post from Hotstockmarket.com (This thing can be big if he is right):
CGHI, the next gold and oil bonanza?
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If its $60+ million oil acquisition finds something big in Alaska, this stock is going to be the next Exxon or Chevron and the executives will become instant billionaires like so many oil executives this past year (just check out Forbes new richest list and you will see what I mean). By the way, $60 million is 6 times what the company is worth based on current market price. I don’t know of anyone who would throw out that much money on blind hope. Expect the oil IPO dividend to be a big one. CGHI was chosen by Escopeta to receive these assets because of CGHI’s own assets and leverage and potential for a big run up. Escopeta’s executives know they can make a lot more if they transfer these valuable assets and invest in CGHI indirectly. The same tactic has been used before with El Paso transferring its oil rich assets in Canada to SNG prior to selling out the company. Those former El Paso executives, not surprisingly, are now all board members of SNG. With gold prices expected to continue to climb due to rising energy costs, interest rates, inflation, and deficit spending, there is gold fever on the market. The values of these assets have doubled since 2001 and yet many predict that gold prices can add another couple of hundred dollars within the next 2-5 years. If gold prices go up because of the reasons above, this prediction is likely to be true since I don’t see those problems coming to an end anytime soon. That’s why gold companies like AZMN.PK is up 1800% within the last year. Also, check out IDWD.pk if you are looking for potential.
