The excuses and explanations just keep coming...oversold...lemmings.....not as bad as it looks...suckers are going to miss it when it takes off.
Just look at the chart of the sp over the last 2.5yrs. There is the reality. Forget the spiel, the dream, the it's all good gang.
The market hates range due to its low cash level in bank, extravagent expenditure, history of massive dilution, bad publicity re the shorters, obvious manipulation of the sp, consort secrecy, garbage payments to consultants, poor communication with shareholders, history of failure to deliver re timetables. All the other supposed reasons for the decline in the sp are just throw-offs.
The market doesn't have the same concerns re AOI. AOI hasn't done a 20 to 1 consolidation and then watched the sp drift back down to near the pre-consolidation levels. AOI don't have to make big payments to Consort upon completion of first well. AOI look like they know what they are doing and don't give the impression that they are taking the piss.
The market sees rrs as a dog specky with a poor management team. The rrs track record is SO POOR.... that's why the sp is SO LOW.
Can rrs turn it around and convince the market they can be responsible with company funds and serious about being involved in a profitable way in the development of Puntland's resources?
Maybe they can, maybe the task is beyond them. Without doubt Somalia is currently the worst place in the world to try and do business.
Massive UN intervention is long overdue and the only thing that can start the rebuilding process. Until that is done there will just be poverty and death by violence and starvation.
The country needs help big-time. AOI would have been expecting a pretty rough work environment, so for thenm to put the brakes on means it must have been much worse than they had anticipated.
RRS Price at posting:
0.0¢ Sentiment: Hold Disclosure: Held
