We seem to hardly ever follow the same train of thought on some main issues. Same now.
I have never been able to find positives in your assessments. Nothing wrong there, after all we just share opinions. However, if you're always negative; why own the share?
Kerogen will just sit still in terms of shareholding, and participate in every new issue. It has been a hell of a ride for them. On average they had about 15%+ return every year. The share price is not relevant, as selling is not a target right now. Just maximizing the number of shares is.
Once the gas is proven (and/or oil), and more sites are drilled the share value becomes an item.
It is my guess that their objective is a price of around $5-10 per share. Nothing less. Perhaps more if more then expected will be proven and flow rates are higher then expected.
By the way, you say in the US they drilled the best shale at the bottom of the market. Not true. In fact, there were hardly any rigs operational in the downturn. Anyway, it is still a developing market, with a string of new successful shale areas that keep popping up. If shale has done anything, it is that it has continued to surprise people. That has not stopped, and in fact is not likely to stop any time soon....
Anyway, all the best, and next time better stick to shares and markets you are more confident about....
AJL Price at posting:
36.5¢ Sentiment: Buy Disclosure: Held
