Gspex - totally understood and agreed. I think the one thing that's getting misinterpreted here is that people are conflating me saying that I am not in favor of share dilution as saying that the company is no longer worth owning. You're 100% correct in saying that if the first few wells flop, it doesn't matter how diluted/undiluted the shares are because the stock will be worthless.
What I'm trying to say, though, is that if the first few wells produce good results, then it certainly does matter. Successful returns (and wealth in general, for that matter) are not binary. If the share issuance is exercised to its fullest possible extent given the terms of the upcoming vote, then that's a significant amount of money off of the table for us. Just because the company is (hypothetically) a success and the share price appreciates significantly in value doesn't mean that we didn't leave tons of money on the table via this share re-issuance.
That being said, if the alternative is the company going under, I'm certainly completely on board. I trust Seitz to make the correct call there and not dilute shareholder value precipitously, but that's my point: it's an added layer of trust we are placing in the hand of Seitz and the rest of management.
Anyway, I don't think this comment was even really directed at you, Gspex--I just wanted to clear the air a little here. It won't change how I feel about the prospects of this company at all, but it's just another (albeit comparatively slight) step to placing our complete trust in Gulfslope's management team
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