Drill more Clearwater wells or buy backs?
This is my opinion, not bashing since I'm holding a fair amount of Baytex shares. With the current world situation, the skyrocketing prices for commodity prices, would Baytex benefit more in increasing drilling programs instead of buying back shares? They can delay these buy backs but at the current state I feel that they should be increasing their Clearwater activities or any other positions that they have identified. I will get some opposition to my theory from this board, no worries, it's my opinion only. The Clearwater position as stated many times over by BTE'S management, at these oil prices the wells pay out in less than 6-9 months. At current prices they would payout in less, probably 3-6 months. Does anyone think that they should revise their strategy under the current market conditions? Let's face facts, if I never invested in BTE, I would certainly be less wealthy as an example, this would stand for any other oil stock, doesn't matter which one. What I'm saying is that Baytex has a golden opportunity here to increase production, a 3-4% increase in production is too small, too conservative for the current conditions. If they did this, their debt would be eliminated within 2 years or less. They could buy as many shares as they wish that are allowed, dividends could be in the 10-20 % range. We know that these prices will not be around forever, so take advantage while you can.