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bdahl385

08/07/08 8:17 PM

#38342 RE: PinkElephant #38338

I agree... there is indeed something not right about growing the O/S (dilution to us shareholders) at the same time Hemi PR's that they are tanking oil as there is no need to sell at this time. Oil was at $140+ a bbl. then and now $120...

Big Mur

08/07/08 8:33 PM

#38344 RE: PinkElephant #38338

I'm not saying you're wrong, PE.... I don't necessarily agree with what you say about Keith's attitude, but I do have to agree that this duality does exist in a way.

And, were this a few weeks ago I might have argued "But what else can you expect Keith to do, except to keep building the company and growing the strength of the fundamentals to the point where the SP can't resist anymore..."

But now, with what Hemi has going, I'm thinking they may have the ability to do more than they could have previously, to help the share price.
I DO NOT know if they are, or would consider this, but with the ND deal, whenever it's finalized (if not already), and with the highly increased production now that they found the "sweet spot"... Hemi may feel more comfortable puting a few of those dollars towards some sort of action that could squeeze out those NSS finally. There are only a limited number of things (VERY limited) that would actually be effective, and the company itself might not exactly get any ROI from doing so... at least not directly. It would preferably be something that once it's done, the MMs don't immediately go right back to the same old games and the NSS doesn't immediately resume.

I guess we'll see where this goes... I'm willing to bet we're in store for some pleasant surprises.
Don't know if anything can be done fast enough to bail out someone in an immediate situation though.

REAZO

08/07/08 10:32 PM

#38353 RE: PinkElephant #38338

Nice post PinkElephant. Good perspective on Hemi and HMGP. I believe Hemi is sitting on a lot more value than most know, but they are a relatively small company. I don't know if I'd say resources are strained, but I do know they are busy. My guess is that Keith is placing more value on Hemi than on HMGP, like you suggest. I think this will pay off for longs within the next few years, big time.

You and I agree that it is undervalued. I am not concerned about the OS growing and expect it to. However, I am fairly confident that the AS won't change. Having said this, I do wish the company was more proactive in getting HMGP to FMV as it would benefit shareholders and the company in the short to mid term.

The season still has some good time left, and things are moving nicely and hopefully will continue.