Arcan Resources Ltd ARNBF

Arcan's Q1 Report is Out

[hardeehar]

They are boasting about modest production gains realized from the 4 wells they drilled over their winter drill program.  It didn't move their top-line avg prod guidance for the year however, only bumping up the low-end from 3400 bbls/d to 3500 bbls/d.  Oh well - every little bit helps I guess, and the market likes it as the stock is up 4.5 cents.

I see they also bragg that costs continue to fall which is good,  but a glaring omission is the ~$10/BOE hedging loss they suffered in the quarter - all because of their still huge debt load due to guarantees they had to provide to the Banks.  It's a double-whammy between the hedging losses and interest charges!  That continues to be the elephant on Arcan's back.  It's about time they sold DM2 already!