NZ, Romania and Future:
After the NZ sale will be completed I expect the partner to drill a new well in Spring. Why else would they sell if they not want to continue operations? That totals the sale to USD 1.35 mln is CAD 2 mln. A big win in negotiations as last half year gross profit was only 125K.
Add the 2 mln to the CAD 5,2 mln cash and we got CAD 7,2 mln which is 8 cents per share and no debt nor decommissioning liabilities.
Market cap is 5,4 mln.
Now we got 15% ownership in Romania with NIS update to be expected with lots invested (estimated spending is USD $60 mln) in exploring at lower oil and gas prices. We would be producing with NSR% deal were it not for sanctions. Hopefully we get a large sum of cash in the sale.
https://www.eastwestpetroleum.ca/projects/romania/
Let's hope management will (and I will push myself management hard for these changes after the holidays as well):
- Make great deals with the cash, hopefully royalty deals, no production costs risk then for us.
- Do a dividend as the inflation is painful to have cash. Please invest in good projects carefully but don't leave millions to collect dust on the balance sheet. That declines in value with inflation. We have 5 mln in cash since 2020, that's a lot of inflation!
We don't need to hold so much in cash!
- Inform investors with steady press releases with also using press releases for Quarterly financials.
- Update the website and make (and keep updated) investor presentation.
- Share buyback will be welcomed.
- Share consolidation perhaps will be welcomed.
