Replies to post #40710 on Hemi Energy Group Inc. (fka HMGP)

[abbam]

yeah, but with oil dropping a few bucks each day hard to make a case to invest in oil anymore. you need to strike when the iron is hot.

got that ?

[bdahl385]

Regarding that $475K net to HMGP - I was hoping for something in the $100K range after the initial Oct. 6th PR since the WYO lease was not ever touted very much even amongst the Hemi stalwarts. The $475K amount was a very nice surprise indeed, now if only the SP will give KA and Craig some credit here.

FWIW - I actually bought my first lot of HMGP in over 5 months Tuesday at 0.019 hoping for a nice PR and that upcoming lateral Squirrel well. I had another GTC in at 0.017 and never got filled yesterday or today even though some were lucky in getting that 0.017 today.

GLTA - even though the low oil prices are impacting our o/g investments, I believe they are a Godsend to help the world economies out of this financial tumult we are in.

[zguy]

Nice post, Kels. To expand on your last sentence of...

"And yes, and most importantly, this transaction allows Hemi to remain Debt Free, expanding the current HMGP operation and provide increased value to the overall assets of Hemi."

I've seen the more negative group attempt to twist the part of the PR which indicated this sale allows them to "remain" debt free. Hemi has PR'd they are debt free and cash flow positive and have been debt free and cash flow positive from the sale of oil, meeting all normal operating expenses, since the beginning of the year. BUT, can they remain debt free AND have a more aggressive drilling program from the production of oil? My guess is the production of oil, while providing for enough funds for normal operations, may not allow them to be as aggressive in their drilling plans as they'd like to be. In order to not issue more shares at these crazy low prices and remain debt free but still do the more expensive drilling they'd like to do, they sold a WY lease. That is my take on the context of "remain" and not the negative spin some may try to put on it.