Replies to post #368 on Red Mountain Resources Inc. (fka RDMPQ)

[boomer23]

I'm not sure it's understood who is trying to get bashed here! LOL! Obviously it's the Trustee that has egg on it's face!

"Hunter Drilling and RMR assert" (meaning that Hunter is SAYING) that because the Trustee has racked up huge fees that "based on the amount of accrued administrative obligations"..."the closing of the Asset Purchase Agreement is an impossibility. It goes on to say "the Trustee does not agree with the assertions".

I love this one..."the Trustee asserts that Hunter Drilling and RMR are unable to perform their respective obligations under the Asset Purchase Agreement based upon, among other things, information contained in RMR’s Form 10-K filing on September 13, 2012 and RMR’s Form 10-Q filing on October 16, 2012;". Based on what they read and what they assumed, RDMP could not satisy closing requirements and then RDMP did satisfy those closing requirements. We now know the Trustee was wrong.

And then...."the Trustee seeks proof of the ability of RMR and Hunter Drilling to satisfy the Closing Obligations". They got that SATISFACTION when Hunter closed and THEN the Trustee sent back $250,000!!

To add insult..."(a) Certification by counsel to Hunter Drilling of Hunter Drilling’s delivery into an escrow account, for which counsel to Hunter Drilling will serve as the escrow agent (the “Escrow Account”),1 Cash in the amount of $700,000, plus the amounts of any Exchanged Senior Debentures Shortfall and/or Exchanged Junior Debentures Shortfall as required under sub-paragraphs (b) and (c) below;" ALL SATISFIED!!!

"acquisition by RMR of Senior Series 2009A Debentures in an aggregate principal amount of at least $2,345,000.00". The Trustee said it couldn't be done but now they have triple that amount!!

And it's gets even better (or worse fo a basher)...

"3. In the event RMR and Hunter Drilling deliver the Hunter Deliverables on or before October 23, 2012, then: (a) the Trustee will deem the Closing Obligations satisfied; (b) the Asset Purchase Agreement will be deemed terminated pursuant to Section 6.1(a) of the Asset Purchase Agreement; and (c) the Trustee will cause the return of the Deposit by wire transfer of immediately available funds to an account designated by counsel to Hunter Drilling within two (2) business days of the delivery to the Trustee of the Hunter Deliverables."

Pretty obvious there is MUCH confusion as to what just happened here. RDMP satisfied it's requirements to close despite the Trustee's belief that they could not. The Trustee then sent back the cash that seemsed to be such a problem (OBVIOUSLY CASH WAS NOT AN ISSUE). If there are any questions as to what just happened here I'll be glad to elaborate further. Since there are only 2 people that read this board it may not be neccessary.