Still voting NO to the resolutions. In effect ELK management have sold Grieve oil for sub $3 a barrel, out from under the very large majority of holders and are now asking those very holders to vote in favour of issueing them performance rights that could be worth millions of $$.
Word has it there is a nice glossy presentation floating around for select shareholders explaining the performance rights, now why would that not be available to all holders??? could it be becouse it is the large holders that have the voting power?? Issueing a large whack of the company to the big boys when the shares appear to be trading well undervalue, should be good for a few votes.
Binbin in reply to your last post...... Most holders are not in the position to throw more money into this company, something that all too often is lost on manaagement or they just don't care, which is more likely the case. When times are tough you dont see them tighten their belts, no they just pass the begging bowl around.
You suggested that the remaining oil is likley largely immobile in the lower Shannon, sounds like you have been talking to the company. I suspect that is what they would like you to believe. I dont buy it one bit.
The upper Shannon had been waterflooded so yes likely the oil is now predominantely immobile, the #8 well is basically at the oil water contact so no surprise the water had likely moved up past this formation, why on earth they decided a water injection well close to or on the original oilwater contact would be a good candidate to produce oil I will never know. I doubt that the water has made the lower shannon oil immobile higher on the structure, I suspect the company would not know either as I dont believe they are aware of the breakdown of fluid produced from the lower and upper shannon in #1 well. Moving straight to chemical flood avoids any risk that if the previous effort was botched up it would be shown to be the case.. Cheers
ELK Price at posting:
20.0¢ Sentiment: LT Sell Disclosure: Held
