Reality

With Elk having some 1.7 BILLION shares outstanding if including all possible issues, it means that a one cent change in the value of the shares would be a A$17 million dollar increase in the value of the company.

This is before the completion of the recently announced capital raising.

Given the debt, payments, and production profile, IMO it is hard to see what could move the value of the company up by that amount.

Even an increase in the oil production of 1 million barrels per year probably wouldn't add that much profit to the bottom line.

The difference between Elk with its shareholder dilution and Coca-Cola with its stock splits couldn't be more different.

In 1919 Coke listed on the NYSE at US$40 a share. Over time that one share though stock splits has become over 9000 shares by growing the company. Dividends from that one share are now over US$12,000 per year.