Duma Energy Corp. (OTCBB:DUMA) Climbs On Positive News

DUMA_chart.pngDuma Energy Corp. (OTCBB:DUMA) is one of the rare oil production companies in the OTC markets that actually register revenues and have stable operations. Unfortunately, after the peak in the end of May, their stock has been on a downslide, but it recently began to rise.

The price isn’t the only thing that is going up, as we saw quite above the average trading in yesterday’s session. The whole interest was triggered by a press release that announced optimistic estimates for the company’s Oponono prospect, that is jointly operated by DUMA and Hydrocarb Energy.

This led to a 15.53% gain in price and a close of $2.38 per share in yesterday’s session. The total amount of shares that switched hands in the session was estimated at 100 thousand and generated a decent $226 thousand in dollar volume, which is a lot considering the ticker rarely ends its sessions with more than $50 thousand.

The climb, however, might not last, because of the massive losses that were recorded in DUMA‘s latest annual report for the period ended July 31, 2013. The numbers of prime interest are as listed.


  • cash: $317 thousand
  • current assets: $1.5 million
  • total assets: $26 million
  • current liabilities: $5.7 million
  • total liabilities: $16 million
  • revenues: $7 million
  • net loss: $40 million


143LOGO.pngThe main problem is that their net loss has increased by a whopping 900% compared to their previous report, while the generated revenues have remained the same. On the good side of things, the huge net loss is mainly due to acquisition related costs, which may increase future revenues.

4MDDD_chart.pngIn any case, DUMA is yet to prove that it can operate at a profit. The good thing is that they are still going strong, despite the losses, and may some day prove to have been a smart investment choice. The stock is not that attractive for speculative investments, but be sure to do a lot of due diligence and ask yourself if you are ready to take the pressure of a long-term investment if you have any thoughts of betting on it.

Poly Shield Technologies, Inc. (OTCBB:SHPR) also had a very decent session yesterday as they registered a 22% gain, while gathering momentum in an upward direction. Makism 3D Corp. (OTCBB:MDDD) didn’t fare so well and ended the day with a 41% loss, while still being massively promoted by paid pumpers.

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