Tiger Oil and Energy Inc (OTCMKTS:TGRO) Slides as Pumpers Go Quiet
Back in April 2011, Tiger Oil and Energy Inc (OTCMKTS:TGRO) and Virginia Whitley Irrevocable Trust signed a contract which allowed TGRO to acquire two wells called Whitley #1 and Whitley #2 for the bargain price of just $1,000. We could find no press releases from the time but we’re quite sure that back then, the management team, led by Mr. Kenneth Liebscher, were extremely optimistic about the prospects of their new properties.
Speaking of which, until a couple of days ago, Mike Statler, co-editor of Stock Tips’ newsletter, also seemed convinced that TGRO is about to set Wall Street on fire. This seems to have changed over the weekend. The latest email that we received from him is dated January 3, it still boasts the same disclaimer (which informs us that a third party called Laluna Services has spent $2.5 million for the pump on TGRO), and, as you can see from this link, it’s full of conspiracy theories about the evil short sellers who are stopping the ticker from breaking through the $2 per share barrier.
Truth be told, all of Mr. Statler’s theories sound like little more than an excuse for the ticker’s poor performance which, by the way, seems to be deteriorating by the minute (about an hour into today’s session, it has already lost around a fifth of its value).
As we mentioned in our previous article, Mr. Statler tried his hand at pumping other penny stock ventures like Eco-Tek Group Inc (OTCMKTS:ETEK), Amarium Technologies Inc. (OTCMKTS:AMMG), and Pan Global Corp (OTCMKTS:PGLO), but the results were pretty devastating. Now, as TGRO‘s promotion seems to be nearing its end, it looks like the people who fell for Stock Tips’ bright projections could be in for another disappointment.
Of course, with the colossal budget in mind, we won’t be surprised if we see more promotional activity in the coming days, but eventually, it will have to end and a lot of people are probably wondering if TGRO might actually have what it takes to make some progress once the pumpers go away. So, what are the chances of that happening?
Well, with less than $2,000 in assets, their latest quarterly report doesn’t look like much, but they have signed financing agreement which should secure them a $600 thousand cash injection. It won’t last them forever, but it should stabilize things in the short run. Is this enough though?
Let’s take a look at what happened with the Whitley wells that we talked about at the beginning of the article. TGRO didn’t even manage to break the ground at the properties and on August 21, 2013, Virginia Whitley Irrevocable Trust sent the company a letter informing them that the leases have expired.
Sure, they now have other properties to explore, but with the track record of the people currently steering the company in mind, the chances of success seem rather slim. As we mentioned numerous times already, TGRO‘s CEO, Kenneth Liebscher and the company CFO, Howard Bouch, have been (or still are) involved with numerous shady penny stocks.
Being aware of all the dangers is, as always, absolutely crucial.
Another promoted ticker called Centor Energy Inc (OTCBB:CNTO) is also struggling to cope with the increased pressure. It lost around 17% on Friday and, as you can see from the chart on the right, it’s not doing particularly well today either. Some of the marijuana stocks like Medical Marijuana Inc (OTCMKTS:MJNA), Cannabis Science Inc (OTCMKTS:CBIS) and Hemp, Inc. (OTCMKTS:HEMP) also displayed a surprisingly poor performance on Friday, but, at least in early trading today, they seem to be recovering nicely.