These days, Alamo Energy Corp (OTC:ALME) stock woke up from its continuous lethargy that lasted for almost three months. The news about funds raising and the speculative bids rushed ALME shares up.Announced by the company at the beginning of the month, the annual report was not able to convince investors of a starting uptrend for ALME.
Being not so optimistic, the fiscal year end results just brought to investors the belief that the exploration stage ALME has to further explore various opportunities to improve its financials.
ALME reported a net loss and a positive gross profit, which is though still not enough to cover the company’s operating expenses.
At the end of April, ALME presented negative cash flows from operating and investing activities. The company’s operations were only possible thanks to the sustained cash flows from convertible secured promissory notes.
This was also the case with the latest SEC filing. It was filed two days ago and described the company’s initiative to raise funds.
Sticking to its traditions, ALME announced the next in row promissory note, issued to Eurasian Capital Partners Limited in exchange for $25,000. Although the company’s balance sheet shows that there is still enough space to record debts, the news was both good and bad.[BANNER]
Not taking into consideration “the dark side” of that news, since Monday ALME stock attracted investors’ interest. The scale of the stock stir was, however, not as strong as it was during this spring when ALME was in a stock promotional campaign.
Just for the last two days, ALME added 19% to its value. Yesterday, the volume traded exceeded eight times the average for the company. After the hot investor bids, the stock closed at $1.27 per share in a market, prevailed by 76% shorting interest.
ALME is engaged in the acquisition, exploration and development of oil and gas properties. At the end of this April, the company owns a 75% working interest in oil and gas properties in Frio County, Texas, a 16% working interest in certain oil and gas leases in Adair County, Kentucky and farm-in and participation rights agreements in onshore oil and gas properties in the UK.
