MPO 0.00% 14.0¢ molopo energy limited

Buddy, I have no problem in giving you mmy understanding of the...

  1. 2,677 Posts.
    Buddy, I have no problem in giving you mmy understanding of the effects of the consolidation.

    one of the reasons for a consolidation is, as I understand is due to there being to many shares on issues. The reason why the number of shares is an issue is particularly important when the share price is in the low teens were each tick is 0.5c. Combine this will a relatively high volatility factor, makes the shares open to trader to make the 0.5c gain. While this may not seem an issue but some factors considered in whether a share is a good investment, apart form the fundmentals are the intrinstic factors such as volitilty, margin spreads to name a few.

    The other effect of the trading volatility is that it costs the company a lot of money to maintain a share register.

    So by consolidating the number of shares, the perception of being a penny dreadful is lost. Reduced volitilty, a reduced margin spread.

    This is great on paper. The other thing that needs to go along with a consolidation for it to be of benefit to the shareholders is that MPO has the potential and in this I refer to generating earnings so that p/E ratios can be determined. I expect projected earnings to be released to accompany the consolidation

    Given the urgency i feel taking over the need to develop qld assets, I see this as progressing MPO to start generating earning ASAP or establish more 2P.

    However, if MPO has no fundementals (which isnt the case) or no potential to generate revenueto (which also aint the case) then the share will drift lower and lower.

    Thank you Buddy for this opportunity to give you some of my thoughts.

    But in seems strange that you needed to bold me and in capital letters. Seems that you are angry as if you were shouting at me. hope it isnt because your friend cortis has been offended by her lack of ability.
 
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