climbed even higher, trading over one million shares for the day. Apparently, something is happening with the company. However, it is yet unknown.The last news by Pegasi Energy came up on Jan 18, when the company reported the commissioning of its new pipeline in Marion County, Texas. According to the announcement, the company’s 80% owned subsidiary TR Rodessa has constructed a 4 inch pipeline and an 8 inch high pressure line to increase the capacity and move high pressure gas. However, despite the optimistic announcement, PGSI stock price wasn’t affected for long and it was back down shortly. Though, during the next days it started to move up again with no explanation. Whether a new press release is coming, or another reason to clear up the up move, it is about to be seen.[BANNER]
Pegasi Energy Resources Corp. is a Nevada Corporation formed to explore, develop, produce and sell natural gas and oil in the US. This month, the company’s market position has been changing sharply and the next move of the stock remains in mystery. Meanwhile, the financials of Pegasi don’t look much encouraging. Despite the fact that the company’s assets are higher than its liabilities, by end-September 2010 PGSI registered an accumulated deficit of over $8 million and its losses have increased. Besides, the company’s revenues have slightly decreased, just like the stockholders’ equity.
The management of Pegasi claims that it will seek to raise additional capital in order to implement its strategy and develop the company’s properties. However, obtaining additional funds depends upon a number of factors and there is no guarantee for a success.
