Eric surely pulled a rabbit out of his hat and because of this we have a new company with huge upside short and long term. Of course i am slaughtered in this stock during the past few years, but i have purchased a good position not only to average down, but to build a new low price position. He raised $233 million- this is not a small feat!Morgans report i believe was based upon $55 wti we are now at $70 wti. Morgans had a target of .21 a huge appreciation from the stated price at that time.Based upon Morgans assumptions that equaled around a $14 price for the US ADR SNDE a far cry from the $4.50.. Again this was based upon $55 wti not the current $70 wti and don't forget that Eric said in many cases we are getting $6 over and above the wti price! Most of US drillers have all appreciated dramatically except SNDE and it is only a matter of time that the US brokerage firms find and re-rate SNDE with a huge price target during 2019 of over $20/sh ..Keep in mind that a 10/1 reverse is planned and this $20 target once the split happens will be $200.00
All the chips are falling in place higher oil prices, a huge player in the EF that will be valued once the large brokerage firm see this discount to reality. Again this split would cause our ADR to currently be trading @ $45.00. I am glad that they did not do a 100/1- even thought there are still some 680 million shares outstanding - this is a totally different company.
Of course it will take me a huge move to break even, but by averaging down help is on the way. The AU dollar has always been the boogeyman and the tail will continue to wag to head, but big players are here now and penny flippers will hopefully move onto greeener pastures.
SEA Price at posting:
6.5¢ Sentiment: Buy Disclosure: Held
