in perspective First off theres always going to be speculation on a company when its going through a process of strategic Alternatives. We all saw the Westfire deal and Im not quite sure the shareholders got the best value out of it?
Nuthall is going to be conservative on the Novus topic. Its a big dollar purchase and today is a tough market place for a public company to raise 400 million to do a purchase. That being said I think its likely that a mutual fund will be attracted to Novus. Names like Teine, NAL and a few others that are not publically advertised will be able to get funds for this purchase, it takes time though. The investment to buy Novus will need a mind set that Im not going to 2x my money on this purchase but i will make a decent profit because im a private co. Novus is a cash pig and funds like the CPP like this. All it takes is a proven oil and gas managment team to provide a plan to a fund.
Nuthall should not make statements that Novus is fully developed their land. I actually discredit his intellect for making a bold statement like this because we have not seen the reserves report yet. That is a pure rumor. Him also saying WhiteCap and Raging river are not interested...Perfect do you show your cards when you play poker? No you buff if your a good player!
The viking is the best play going in the wcsb period. Novus is a very important piece of the pie. There is land, facilitys and pipelines. Everyone has seen reserve reports like raging river come out and they are expanding the reserves. So Novus will also have P2 reserve growth. You cant even argue. The explotation of the viking is still in its infancy the first Hz was drilled in 2009 and only approx 1700 hz have been drilled in the sask viking pool. Drilling and completions are getting more effective at draining reserves and increasing recovery % (hence the increase in probable reserves). 16 wells / section
I think theres a chance that after the long weekend we will hear something and if not March 1. History shows typically take outs happen after a long weekend.
The last 2 days there has been a sell off. If you are watching whats important major houses are adding to their positions. ie TD, National Bank ect. Cannacord has added 330,000 shares just this month. 428000 shares changed hands at GMP.
The viking is the best play going in the wcsb period. Novus is a very important piece of the pie. There is land, facilitys and pipelines. this is worth $. I stand strong in my position that Cormark and First energy will find a buyer because if they dont then this company will be a hostile takeout once the news of no bid comes out and a huge selloff occurs. I hope this helps some people that are sitting on the edge and speculating after Nuthall.