This is exact reason. We're taking the present val
Post# of 39368
Posted On: 12/10/2013 10:59:54 AM
This is exact reason. We're taking the present value of the Mitchell leases NRI. Its literally the exact same revenue stream, with one at the present time instead of over 5 years.
So, we have a declining production curve (which means income becomes more and more spread out between oil pulls), a shareholder base demanding financial improvement now, projects to fund and debt to pay off. So, this move all in all was a win-win.
Also, just to dispose of any "the money went straight into the pockets" of management (which we've seen already). It went straight to paying off existing debts and to funding new projects as mentioned in the newsletter.
So, we have a declining production curve (which means income becomes more and more spread out between oil pulls), a shareholder base demanding financial improvement now, projects to fund and debt to pay off. So, this move all in all was a win-win.
Also, just to dispose of any "the money went straight into the pockets" of management (which we've seen already). It went straight to paying off existing debts and to funding new projects as mentioned in the newsletter.
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