Some MMEX facts to consider: Most recently, Mad

Some MMEX facts to consider:

Most recently, Mad J. suggests that $88-million in project financing funds are necessary for the Phase I project (whatever that now is). Using the vague information MMEX has released, this is to be an 80/20 debt/equity deal.

We already know that Mad J., primarily through gross negligence and total incompetence overran an initial cost estimate of <$49-million. Ignoring the intermediate errors, the difference is $39-million, a 44% cost overrun before ever bending a plate.

Given the delays, ineptitude, and utter incompetence, along with history, it isn’t unreasonable to expect that Mad J.’s current estimate is off by at least 20% - which brings the Phase I cost to something north of $100-million.

Given math isn’t the strong suit for the MMEX advocates, that means the equity component of the deal ranges from $17.6-million to more than $20-million.

So far, in more than a year, Mad J. has managed to raise a bit more than $2.1-million - all of that in the form of floor-less, convertible toxic debt - most of which has been siphoned off in the form of “SG&A expense” and related-party transactions. That’s about 10% of the required equity raise, in round numbers, in about 18-months.

There’s no evidence, other than vague claims in shareholder letters, about a now-expired “terms sheet” from an unnamed “international debt fund,” about the 80% debt component source.

There’s zero evidence about a $20-ish million private equity raise - no deal teams, no financial industry news, no prospectus in the PE markets, no nothing.

In parallel, recall that MMEX is a super-dilutive, insolvent OTC shell company, with no business operations, employees, or assets. MMEX has nearly $40-million in cumulative losses, and current liabilities.

MMEX has no intellectual property, and owns no proprietary technology. MMEX has no suppliers, and no customers. MMEX has no luminary management, or technology team.

MMEX has a single permit, now invalid, due to incompetence. MMEX’s site, a 126-acre parcel of isolated desert land has no pipeline access for crude or refined products transmission. The road distance from Permian crude sources is long, and the rail line adjacent is deprecated.

MMEX’s business plan is so heavily flawed an undergraduate student could torpedo it to the abyss.

MMEX’s founder is a con-man, a grifter, with a 30+ year history of loss generation, fraud, and malfeasance.

Those are the positives.

So, someone stand up, honestly, and delineate exactly how a company like MMEX is eligible for $88-million to $100-million or more in legitimate capital financing. Please use facts, and verifiable references.