Replies to post #8331 on Pilgrim Petroleum Corp. (PGPM)

[SkyeCapital]

Well my cost base is around yours....as per valuation if people were in this stock at a higher price...i know that i would be buying hand over fist if after the PR comes out and the stock is still at .0006

im big on DCA

I am hoping for a .01, but i am new to this stock and anyone buying down here would catch a great swing if that happened...time will tell ill take 200% gains anyday lol

market going to crash to 8500 thats my bottom

good luck good searching

[downsideup]

I find it pretty hard to tell anyone what anything is or should or will be worth in the current environment...

With PGPM I've tried to focus my evaluation efforts more on the risk, potential assets and probable value of the assets than on the share price, as there are some fairly obvious reasons why the share price doesn't fully reflect known asset values now...

The share price performance story here has to be a two step... one step based on the probable asset value, and another step based on the the ability of the company to attain a market comparable value for the shares based on the assets they have. The current market is also piling new discounts onto oil based assets, and pretty dramatically in some cases.

My last was only pointing out that IF the current share price discounts being applied to PGPM's known assets are also going to be applied to the new assets... that is about all the upside that valuation of known new assets will get you... to $0.0012

The larger upside market potential for the share price clearly has to be tied to both step one AND step two. If the move to ACLE clearly enables escaping the problematic share price and corporate history of PGPM, as it should, then you can also look forward to having a more rationally valued base of assets supporting the share price. When you have a management you can trust, and proof that the assets are what we think they are... the 4 MBO in the Gustavson report, plus another 10 or 20 MBO from the shale, plus whatever else is in the Lariat black box... plus whatever new value a new company can attach to a share along with new capability and/or new market potential...

I still think it pretty likely the asset values shown in the Gustavson report may in fact be right, worth the reported $0.03 a share, and that the shale resources could in fact prove to be worth another $0.05 or $0.10 a PGPM share, or more... if assets are properly priced to market.

The shale story, if it proves out, could pretty clearly provide solid reasons why PGPM et al have been insistent on playing the "I've got a secret" routine with the Lariat black box treatment ? What ELSE will they reveal... in new and unknown potential and in the "good deal" being made for the PGPM share holders... when they DO take the wraps off ??? If what we see fully justifies the past effort in secrecy... that will also help to answer a lot of the still open concerns BOTH with the propriety of management decisions, AND with the reliability of the reported asset values...

Given all that... I can see that they might not be that far off when claiming that they have a clear path to $0.30 per share in asset value. That still leaves a need for proving the values, and for doing the things necessary to have the market recognize them... any of which will justify quite a bit more than $0.0012 per PGPM share... with obvious targets at $0.006, and at $0.02 to $0.03 up to $0.15... but, still likely leaving a need to prove more than we see now to get past that, likely also needing a more cooperative market than we have now to sustain gains.

What I expect... news to come out first on the terms of the dividend/exchange deal... giving a period of time in which to buy PGPM shares that will get the dividend and conversion rights...

When will more definitive news about the black box assets come out ? Don't know... but, hopefully, it will also come out before the dividend/exchange is completed?