Empyrean Energy

Web site : http://www.empyreanenergy.com

This just another over-priced oil stock. Exploration companies are overdue for some realism in thier SPs. It has been an 'oil dot com' boom.

Certainly is overdone, with more zones to be tested at a higher level, at Glantal this will come up substantially with a huge find. The crew are well on there way to find commercial flowing gas. look what happened at Vog this dropped then rose dramatically, when gas was dicovered, good things come to those whose who wait.So be it will recover as instituitions are in at 1.30p. relax for a while only small trades are present on the current sells.

It doesn't bode well that they got water. Admittedly, water at the base is not the end of the world. As ever, I admire the way they word these news releases. ;-)))

So that is where Labour party spin doctors go when they are past their sell by dates.

I have cut and run ..... also note that there is no news at all on Eagle which also does not bode well (IMO)

LOL Haystack

Bellow support level and falling

50p Haystack - go back to a yearly chart. Broke above 50p and retested mid Jan - I remember it well. ;-))However, it now needs to hold and consolidate here to form a base when faced with such a strong downtrend.

Watching

I think the next support is at 40p

and I am glad I cut and run ..... sorry guys, but I really do not like the feel of this stock anymore .... I smell nothing but grim news in the air

Think I'll stick with 50p for now, Haystack. ;-)) Volume when it dipped below was large - 60min chart is interesting.

Just been released by Galaxy Energy that all 4 zones for the well tested are duds, site now plugged.

Sorry guys, but my sense of smell was clearly accurate ...... I got smacked with the last RNS ..... In fact feel doubly sore as was about to lighten my holding at 80p but just as I was lining it up, the price collapsed to 55

Unlucky all holders........hope things get better with EN-1.

I think it is still best to cut and run (ditto with SEO by the way) and find somewhere more productive to put your funds ...... EME looks as though it will suffer the same fate as ELP ...... If something actually comes good, there will be time enough to put money back in, but don't hold your breath

All these oil exploration companies that are in make or break situations depending on the next well are like betting on throws of the dice. It is the dot com boom all over again. There is no realistic way to value these stocks.

Haystack ..... I think your statement is a pretty sweeping and not truly justified .... While it is accepted that exploration companies have a much higher risk factor that established producers, to sweep them all aside as "junk" is unwarranted ..... That said, there will only be a few princes among the shoal(?) of toads ...... How one prices any of them, it is true, is somewhat subjective and conjectural, but in my uninformed opinion, CHP, MHP (not so sure now), GFX and VOG all warrant more than cursory glance.

I did say "these oil exploration companies that are in make or break situations depending on the next well ".

I was not referring to all oil exploration companies, just the ones that people are ramping and saying that the price will fly if this well comes in. Many of these companies are very finely balanced at present. Their SPs are far too high for exploration companies that are not major producers. They are just cash sponges.

They raise new cash from new stock issues, bet the cash on one or a couple of wells and go back to the investors for more cash. This is nothing new in the oil exploration business. What has been new recently is that the companies have had absurd valuations because of the rising oil price. It has become an all or nothing gamble. There is a limit to how long this can carry on. EME is not the only one that has seen its price crash.

No ... VOG is another though (a) they do not have a record of asking for more cash, but offering shares to companies they take over and (b) I still believe they are sitting on a true resource ..... I shall certainly buy some back when I start reinvesting.

With that thought, it is good to see Dow at long last surging through 11150 and even 11200 ...... It tried last night and failed to hold, but I just feel that this time it will hold ...... or at least until the next "shock horror" probably from M/E

I think a number of people have been badly burned in VOG, EME and MRP, to name but a few. If nothing else, prices will probably fall further, as some decide that "enough is enough". Some may even decide to take profits in other stocks too, rather than risk a shock down the line.

DOW reaction was interesting. The inflation figure seems to have been largely ignored, in favour of believing the economy will just cool. A bad move I suspect. But hey, what do I know.....

As ever.....just my opinion.

Strawbs.