qtrly's due this week, page-6

Beats me how they keep the doors open.
They owed suppliers $13.7M at the end of December.
If I was one of those suppliers I would have had the debt collectors circling for months.
The $2.8M raised does not even come close to paying suppliers.
They need $13.7M to pay suppliers and $5M a quarter to pay interest, lease costs, and admin.
They probably need another $5M / quarter to progress the wells at an acceptible pace.

Thats $43M required to get them moving for 12 months.
or $90M to repay their debt and have enough cash to develop the property for 12 months.

Its becoming a very scary equation with gas prices dropping rapidly as we head into the injection season.

If they dont raise $13.7M a supplier will be winding them up, sooner or later.

Quarterly will probably show $5M spent, $2.8M raised.
The Debt clock ticks, another 90 days.

Court action by suppliers must be imminant