Dominovas Energy Corp. (OTCMKTS:DNRG) Makes Another Jump
The news that Dominovas Energy Corp. (OTCMKTS:DNRG) is set for the delivery and implementation of a demonstration unit of its RUBICON™ SOFC system in Johannesburg, South Africa, took the ticker 58.54% up the charts yesterday. So what’s wrong with this picture?
Well, the announcement that DNRG is finally going to preview its product is certainly good news, that much is true. However, investors seem to be a bit too enthusiastic about it, hyping that this is proof that DNRG is now on the fast track to success.
Truth be told, that isn’t necessarily so. This is a step forward for the company, but not a big one. DNRG still has a lot to do to prove that it can become a commercially successful entity.
Unfortunately, the company’s other achievements to date aren’t really helping in that respect. Its history consisting of “a series of monumental achievements and milestones” can be summed up pretty neatly in the three lines that follow:
- Cash & Current Assets – $107 thousand
- Total Current Liabilities – $2.5 million
- Quarterly Net loss – $1.6 million
This is what DNRG‘s face REALLY looks like, when you strip the loud boasts and deceptive optimism.
Well, that and over a million dollars worth of convertible debt that can be turned into shares of DNRG common stock at serious discounts (usually 30-50%, or fixed prices as low as $0.002) at the drop of a hat.
Once that is taken into consideration, it becomes quite clear why DNRG stock was worth about a penny before its latest PR boast hit the web. Upon a bit of examination, the ticker’s continued slide into illiquid obscurity seems entirely warranted, and investors really should make a note of that before jumping on the DNRG hype train once more.
