Baytex Energy Corp T.BTE

If WTI gets well over $100 I would hedge the......

[65F09A]

Careful what you wish for.  Bond holders would love to see calendar hedges but not us common shareholders.  Current forward calendar prices:

Cal24  $83.01
Cal 25  $76.16
Cal 26  $71.89

The $60 dollar floors BTE has put in place do nothing for shareholders.  Those are to keep bond holders happy.

[dllscwbysfn]

lol, I wouldnt hedge at 60 I would hedge at 120. Why are you talking about hedges that are in place??

[robert41]

I doubt you would be able to hedge at 120 unless the new floor is 150 who would take on hedges like that

[dllscwbysfn]

Hedging is insurance. So if a company believed that the price of oil was going to continue to go up it might very well lock into a contract thinking that they will save money if they are right. Both the buyer and seller are at risk of losing/making money.  Years ago people and companies were buying nat gas hedges at over $15.00. Many of them cried when the spot price of Nat gas fell to $3.00.