Titan Oil & Gas, Inc. (OTC:TNGS) Losing All the News-Driven Gains
23 Dec 2010

Yesterday, the share price of Titan Oil & Gas, Inc. (OTC:TNGS) lost the last portion of the consequently and in small steps added value this month. The illiquid stock got extraordinary volumes in December on the company’s natural gas properties expansion, accompanied by a lot of trading alerts.

The drop off from yesterday represented 26.67% of lost value and the closing price of TNGS stock was $0.77. Trading volume remained much higher than the average and totaled at the end of the day over 535,800 shares. A week ago, the company announced in a press release to have acquired additional petroleum and natural gas rights in southern Alberta, increasing thus its Alberta land holdings to a total of 5,060 acres. The end of the press release also sounded promising, at least to traders eager to bank more gains on short-term and news-driven share price rises.

Titan’s CEO said that the company is planning to advance its projects over the next months and aggressively seek new acquisition opportunities. The promoting alerts started a couple of days prior to the mentioned announcement. No official promotions with any cash compensations were disclosed, but the promoters’ disclaimers suggest that they are making their profits from intensively buying the same stocks that they subsequently advertise to traders.

According to the SEC filing that confirmed on Monday the announced acquisition of the additional exploration rights, they were valued at a total of $9,555 in the form of purchase price and annual lease payments of $899. Moreover, that new asset is unlikely to change much in TNGS financial and assets position as of August 2010.

The company had a total of $144,000 in assets, $86,000 of which in cash, minor liabilities of $46,000 and its income statement showing no revenues and no exploration costs reveals that Titan had hardly any operating activities in the past two years.

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