Have to agree. I think a lot of long term holders lose sight of the risk and focus on the potential. I know I'm guilty. But to be fair, the way this company goes about their business does build confidence. They tend to be conservative in their announcements I guess in an attempt to "under promise and over deliver" There is always a risk but I'm pretty comfortable with my investment in FDM and am trying to maintain patience.
This latest announcement didn't need to be made in my opinion. I wasn't expecting anything until 30 day production numbers, so they are very forthright with information. But this information is good news........so far. I think you need to read the last 2 announcements together. 12 June the new wells were putting out 1000 barrels of water per day Pressure is high. 28 June 150 bopd with water decreasing oil increasing each day. The 2 existing wells were back on line and improving. The 30 day numbers (and 90 day) are still what really count.
But then they have plans to start a single rig drilling program. They need to secure additional well funding before the WF facility kicks in somewhere in the 4th. quarter. There is still acreage to acquire. Plenty of opportunities to see the company build value. And with those opportunities come risk. But unlike a lot of other small players in this sector, they have a plan, they have communicated clearly what that plan is and most importantly, they are executing that plan.
FDM Price at posting:
28.5¢ Sentiment: Buy Disclosure: Held
