its trading volume jumped up over 2 million shares.The most reasonable explanation on the massive trade appears to be latest news on Liberty Energy. A couple of days ago, the company reported they have received a further draw-down from their equity financing agreement. According to the announcement, the agreement does not include any debt financing and facilitates funding of up to $8,000,000, which will be used for supporting operational activities of LBYE. Besides, just a few days before the agreement news, Liberty Energy issued more good news on their business, which gave new hopes to traders.
The positive news ensured the market position of Liberty Energy and the stock grabbed the climb at once. Now investors are curious how far it will go.
Liberty Energy Corp. is an Independent Oil and Gas Exploration and Production Company dedicated to the sourcing and production of fuel supplies in the US and Europe. A month ago, the company hit another impressive gain, this time due to stock promotions and more good news. At that time, LBYE was promoted by Daily Profit and the compensation for the promotion was one hundred twenty three thousand and one hundred dollars, paid by Capital Financial Media on behalf of Liberty Energy for the distribution of email advertisements.[BANNER]
Regarding the financials of LBYE, as of end-October, 2010 its balance sheet shows zero revenues. The company’s liabilities are lower than its total assets, however, the deficit accumulated during the exploration stage has been constantly increasing. The quarterly report states that as the company’s revenues are insufficient to meet its operating expenses, future issuance of LBYE’s equity or debt securities will be required. In this case, until Liberty Energy succeeds in finding additional capital for their operations, the company’s ability to continue will be considered as a going concern.
