Eagle Oil Holding Company, Inc. (OTCMKTS:EGOH) Remains Stuck

Some people decided that pumping Eagle Oil Holding Company, Inc. (OTCMKTS:EGOH) would be a great idea. Scratch that, they decided that paying money to pump EGOH would be a great idea. They splashed out a total of $48,500 and they asked several promotional outfits, led by the infamous Stock Mister, to inflate EGOH‘s price.

$48,500 is a sizable chunk of money, but it must be said that the third parties were asking a lot. After all, drawing any sort of attention to a ticker that has been scraping the bottom of the chart for months is no easy task. Thanks to more than ten emails and promises that investing in EGOH “could be better than hitting the lottery”, however, the pumpers did manage to attract about $270 thousand in dollar volume.

Unfortunately, they were wrong about the “hitting the lottery” part. During the first hour of yesterday’s session, EGOH made more than a few attempts to unglue itself from the bottom of the chart and it did spike a few times. $0.0002 was all it managed to achieve, however, and around 10:30 AM, it simply stopped trying. A trade at $0.00007 per share was logged and EGOH closed the session at its all too familiar price of $0.0001.

So, why did the stock fail to perform?

There are many answers to this question. The latest financial report should provide you with one of them. It covers the period ended January 31 and it looks like this:

• current assets: $4,245 in cash
• current liabilities: $1,096,303
• NO revenue since inception
• nine-month net loss: $83,403

The dismal figures mean that trusting your hard earned with EGOH is not easy and the sudden shift in the business plan that we saw at the beginning of the year doesn’t exactly bode well for the company’s integrity. For years, EGOH were talking about their valuable oil producing properties, but in February, they said that there simply isn’t enough money to be made out of them and they told their shareholders that they’ll be focusing on something else.

A company that has less than $5 thousand in current assets and the tendency to change its business plan every now and then doesn’t sound like the best place for your money. When the management team of the said company is being a bit tight-lipped about the share structure, things become even more dangerous.

Some changes took place over the last few months, but unfortunately, the people running EGOH forgot to tell us about them. According to the latest report, at the end of January, there were about 1.5 billion shares issued and outstanding, yet yesterday, in a matter of just six and a half hours, investors traded more than 2.5 billion shares. We don’t know who and why got the newly printed stock, but we can see from the company’s reports that EGOH is no stranger to satisfying its debt with the issuance of shares.

Another thing that the management team forgot to tell us is the increase in the number of authorized shares. At the end of January, it was sitting at 2.5 billion, but according to Nevada’s Secretary of State, it was raised four times over the last five and a half months. The latest amendment was filed on June 10 and it now allows EGOH to issue up to 10 billion common shares.