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I have been a bear of AIM listed penny share oil dreadful Range Resources (LSE:RRL) for some months. I remain a bear with the shares at 4.87p valuing the company at £114 million. But my attention is now drawn to a quite remarkable interview given by CEO Pater Landau with the blogger Brokerman Daniel. Dan is a good fellow but this stuff is extraordinary and makes me more bearish than ever. Dan and I disagree on this one and here is why.
Dan’s article can be found HERE
My bear case of yesterday explaining why the shares are worth 1.5p at best is HERE.
I pick up Dan on a number of points.
- He starts his piece explaining how disappointed Landau is with his dusters in the Islamofascist hell hole of Puntland and Georgia. But hey ho Landau tells him that
“The whole emphasis of the company is now being focused on Trinidad and Columbia with Somalia & Georgia being spun off into a separate entity with free shares for all.”
So two areas where Range has achieved nothing to date and which require vast cash to see any value created if indeed it can be will be put into a new small company with vast PLC costs. Hmmm so what exactly will these free shares be worth? Er… round about sod all I think. And surely a demerger should be announced via an RNS not via an interview on a website. Most unusual.
- We turn to cash. Dan says:
“I can also exclusively reveal that far from having no cash in the bank, Range are as of today holding about $10 million dollars”
Really. Dan mate, I do not believe you. As at June 30th it had cash of $10 million and net current assets of $14 million. Its corporate overhead is c$1.5 million a month (i.e. $5 million since June), it must have spunked at least $4 million away on the second Puntland duster of which a good amount was in the second half and there is hefty capex underway in Trinidad. So I just do not believe that as of yesterday Range has $10 million cash unless it has drawn down all of the $15 million rescue loan already. What Mr Landau is the net cash position?
- Now we come to the US assets which Range has been trying to flog for ages. Throughout the process Landau has been quoted by various BB loons as talking of an imminent sale, interest parties and prices of anything between $50 and $150 million. According to yesterday’s exclusive interview:
“ the sale of the USA assets is all but completed. Bids have been short-listed & finalised they range (forgive the pun) from about $30/$50 million dollars. Expect news November.”
Mr Landau if you have received bids at that level and they are all but complete why not publish an RNS? Why keep hinting and alluding via the internet. Surely the process with price sensitive information is RNS first, interviews second.
I could go on. Read Dan’s piece in full. It is the same old Jam tomorrow from stuff from Landau. I remain convinced that Range is being pumped ahead of the issue of equity, that cash is a major issue and that the shares are a sell. Read why in full detail HERE.
Give it up Tom – you have zero credibility these days.
Good luck with your RRL short – no-one else is selling
MoC
I am not short. We shall see what happens. Maybe of those who wrote this sort of thing ater my comments on Sefton a few weeks ago had played the ball not the man they would have saved themselves.
I guess you do not like hard facts… they don’t like it up ’em
Have a good weekend
Tom
Tom, why sell now? By your own words its going to get pumped for a placing. Why not sell out on the pump?
Tom, you don’t have to answer this – but how on earth does a very very average blogger like BMD manage to get an interview with PL – leaving you to just surmise and suppose on your own negative theories? A contrarian view is always welcome, but your opinion and style of writing / ranting about RRL makes many readers, me included, feel that you have a personal agenda against PL. It is a source of amusement to me that as of today I can read supposedly informed pieces from brokers and pundits like yourself suggesting a spread of target valuations from 1.5p right up to 25p. Frankly Tom, it’s ridiculous, why don’t you channel your energy in securing an interview with PL and providing a more balanced view – isn’t that how reputable journalists make their reputation?
M O’Classic, chill. A good blogger/tipping person will give a samurai sword cut message. I mean just a single blog that makes people understand. But our beloved bloke, who is famous to make a company fail (from 35p to 1p) and walk out with pizza shop will do only cheap blogging. He needs attention for his new business, that is the reason he is shouting with more than 5 blogs for each company. He is a “Kettle calling pot black fellow”, so leave him in peace. what a tip by him for NGL, lol…
Dan
Tom,
Your multiple blogs on a single company within weeks proves that “One of the UK’s most successful share tipsters”. By the by how you dragged RIVP from peak to floor, please write a blog on that. Also kindly include your tips, example NGL, that helped investors to make millions. I understand, you need people’s attention for starting one more failure business from your bedroom and you are shouting.
Have fun,
Dan
Always amusing to see the petty little trolls come along to play the man rather than the ball.
Tom Ws stock picking while with t1ps were terrible along with his involvement of Woodburn Square …now liquidated or delisted?? is not a good CV.
Norseman gold is a good summary of his top pick all the way to suspension.
‘T1ps’ since his departure to write books above a pizza shop is refreshing and reading between the lines of new management there are no complaints from them.
His sole interest and flagging/flogged reputation at trying to thrash this Range Resources is dubious but then again so is Peter Landua running that company ..in my opinion.
I will watch the Range story unfold and see who combusts first..I expect TW will as PL comes across as a slippery customer with more financial resources.