Ascent Resources (LON: AST) Yesterday plunged the knife yet again into their own shareholders via a huge discounted placing raising a piss poor £750,000. The last placing they tried was with Primary Bid ‘in the bolloxs‘ which failed to flog the full allotment, of yet again, hugely discounted shares hence why the residual shares that Primary Bid couldn’t sell were off-loaded yesterday to yet more so called ‘Institutional’ investors. This is a bare-faced lie.
There are no ‘Institutions’ investing in Ascent. Just as in the Henderson Global, Darwin Strategic, Lombard days of chicanery, so called Institutional Investors. And we all know exactly where these Institutions are right now. Gone, vamoosh, scarpered with the loot after selling off all their heavily discounted shares leaving you the mug punters holding the CONfetti.
Gobshite Taking Cash To Ramp
Ascent has now hit rock bottom and is having to use ‘bottom feeder’ bucket shop finance. The new improved ‘Institutional Investors’ are in actual fact a small group of well known ‘Vulture’, one man band corporate flippers. Who will be ramping to fook on twitter, Total Market Shite, ‘Gone for a Burton’ and various BB threads under anonymous names. My sources tell me that one of the flippers is planning to flip out every time he’s showing a 15%-20% gain. I could name that individual but it would compromise a source. But he’s a well known corporate shyster who works in cahoots with twitter cowboys and is a chum of the under investigation First Equity Broker Mr Miles ‘Vulture’ McNulty who recently ‘dearly departed’ from twitter due to said investigation….
Ascent are embroiled in a costly legal dispute with the Slovenian Government, have piss poor deteriorating production that needs several million in capex spunking away every year on top of huge corporate overheads. The business isn’t viable. Come the Ascent Resources AGM, the Articles Of Association will be changed to allow Hutchinson to issue an unfettered amount of shares below ‘par value’. This is going to result in massive, and I mean massive dilution with a consolidation of shares in issue. Funnily enough round about the time ALL the corporate flippers will have sold all their discounted stock back to the mug punters. If you hold this stock for any length of time you are going to be wiped out. The Board have a history of not giving a flying fook about their shareholders. It’s all about keeping the lights on via whatever finance they can get.
Now we all know that CEO Colin Hutchinson, was left holding the entrails of the AST corpse after Clive Carver & Co jumped the sinking ship, (pockets filled with pay & expenses leaving him to wind down the company) has to raise money to survive otherwise it’s lights off and good night Vienna but when CEOs deliberately masquerade Corporate flippers as ‘Institutional Investors’ knowing full well that they will deliberately pump & dump to the detriment of genuine long suffering share-holders then it is time for shareholders to sell up and move on, particularly when the fundamentals are as shocking as Ascents. The next placing in Ascent Resources is already being planned by their newly installed joint broker SP Angel it will come post AGM. Of course they’ll now deny it till blue in the face and they’ll try to drag it out for as long as they can. But my source is within SP Angel and has confirmed that they were taken on specifically to assist in another cash raise post AGM. So expect more horse-shit RNS’s to artificially raise the SP.
I wont go into the cash raised pre Jan’ 2017. Otherwise I’d be here all day! Suffice it to say that AST has spunked away circa £40,000,000 pre 2017. Since January 2017 Ascent resources has raised £14,235,271. 2017 & 2018 production generated circa £2M in revenue. Production has steadily fallen. Last figure was circa £35K for March 2019. Down from an initial high of circa £200k per month.
Ascent resources has basically spent £7,000,000 per year to generate circa £1M. As a business that is unsustainable. Which is why Hutchinson is now grabbing low level bottom feeder finance. The Petisovci gas field is in terminal decline. It needs, and will always need, expensive workovers to deliver small gas. The Capex by far out-stretches the revenues generated which is why during the Strategic Review no fooker would touch it. It’s production will never get into the black. In what business would you invest £7,000,000 per year to make £1M? The talk of ‘Workovers’ is very apt here. It’s you the AST shareholders who are and will continue to be worked-over by Ascent Resources. Production has all but ground to a halt and the cash-burn will have to increase. Enter the latest batch of corporate shyster finance.
Talk of a new direction and new assets is a ‘Jackanory’, a white elephant. There’s no money for new assets. It’s a fig leaf to lessen the disaster that is the Petisovci field and the continual rape of UK Investors. This is only going one of two ways and that is administration/delisting or another team comes in and wipes out (again) share holders while heralding a new dawn…. We’ve all seen it many, many times. It never ends well.
Get out and stay out!