VPE 0.00% 41.5¢ victoria petroleum nl

losses and dilution

  1. 378 Posts.
    I've been doing a bit of googling on vicpet and looking thru some old reports and announcements.
    Last year after tax losses of $7.1m
    year before losses of $7.8m
    Total accumulated losses in the order of $70,000,000.

    I understand that this is an exploration Co but they have been operating for 20 years and never turned a profit. What do you make of that TUI ?? Is this some sort of exotic tax scheme ?? "Bottom of the Basin" ?? or perhaps " Bottom of a dry hole" ??

    Time after time the board of Vicpet comes back to the market looking for more cash to burn. What's the end result? Year after year of losses. More presentations, more promises and more talk about how VPE is poised to hit the big time. MORE DILUTION.
    Look at any chart (1-10 yrs) for Vpe and it tells a very sad story.
    Vicpet shareholders are the ones that have borne the brunt of these losses and the constant dilution. Not, and this is the point, the board and management. They have less than 1% of the stock between them.
    They are riding a pretty sweet gravy train IMO. MD gets around $350k p.a + options package. Does anyone know what the rest of the board is receiving?? It would seem to me that these payments are excessive in light of the long term UNDERPERFORMANCE of the exec 'TEAM'.
    Admin and salary costs seem very high. Lots of overseas conferences and presentations but no profits as yet.

    Coraltrout quotes JK as saying he will resign if ODN is elected to board.! This would be doing shareholders a favour as if he resigns then there is no need to pay out his contract. $350k + options would attract some real talent to the board ($300k would do it) and get some real bang for your buck.

    I recently spoke to coraltrout about vpe "garbage assets" and mentioned the investment in both Greenearth and Samson Oil and Gas. What a monumental loss of shareholder funds that was ($millions). Can anyone tell me what (if any) rationale from the board was given at the time of the decision to invest ?? Was it disclosed to shareholders that Mr Pett (VPE Chairman) had a directorship with Samson??

    A mate of mine recently showed me a bunch of correspondence from Eddie Smith to Vicpet shareholders. He's playing it pretty slick imo but a little deceptive. He talks a fair bit about conflicts of interest & deals being done etc.
    I can't find a single mention of the fact that as Chairman of Impress his only real asset is a J/V with Vicpet of which he is defacto operator. He also fails to mention that he is a major shareholder in Impress.Lacks transparency in his disclosures IMO. His position appears to be CLEAR AS MUD. Eddie stands to gain much personally from a VPE coup.

    Eddie is hoping to get 100% control of his j/v asset and 100% control of all Vicpets assets at the same time, after all he is proposing to replace all of the existing board with himself and his buddies. If eddies resolutions are carried he will have complete control having only purchased 1% of Vicpet @ approx 13c ps.
    If that is not an opportunistic steal then i dont know what is !!BARGAIN ? certainly. WHITEKNIGHT or RED BARON ??

    Do yourselves a favour and at the very least attend the Odin presentation in your capital city and hear what they are proposing, ask your questions directly to them and satisfy yourselves that you are making a well informed decision before voting later in the month

    Lassatter
 
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