RE:RE:RE:RE:Thanks Eric NDec 1 2021:
"Annual 2022 production guidance of 33,000 -- 34,000 boe/d "
"The Company's current 2022 hedges equate to 50% of sales volumes and include 13,500 bbl/d of fixed WCS swaps at US$54 (US$67.50 WTI assuming a US$13.50 WCS differential) and 9,750 bbl/d of WTI collars with an average floor of US$50 WTI and an average ceiling of US$96 WTI."
I understand the 67.50 hedge, but how do I price the 9750 bbl/d hedge? I think it means that if oil goes above $96, we are limited to the $96 price. I asume these hedges end in Q4.