RE:RE:RE:Interesting commentsSirlostalot wrote
I may very well be wrong but after reading releases from CJ They have indicated that the 55 wti covers all operational costs including the 5 cent a month divy , I would think any difference between 55 and current wti is what they will have to pay increased capex, debt retirement and any increased shareholder returns above the base dividend.
--------------------------------------------------
Calculating it that way does not work well because in looking at their financial statements at $55 oil they pay a much lower royalty than they do at $90 plus oil. They also would likely cut capex to the bone at $55 oil.
In the first quarter when oil averaged $94 around where oil has been for the last while CJ had Cashflow of aprox. $86 million or aprox. $344 million per year. That would equal aprox. $172 million for the second half. Capex including the increase for the second half will be aprox. $70 million. The 5 cent monthly dividend will cost aprox. $48 million and debt repayment will be $62 million for a grand total of aprox. $180 million in expenses against cashflow of aprox. $172 million. There is no room for dividend increases and share buybacks and they will have a hard time eliminating all debt by the end of the year at current oil prices.
Sorry about repeating the same numbers and i am not talking about you but some posters here cant seem to add numbers very well and all they can keep repeating is i want my dividend increase whah, whah, whah you promised me and i want it right now. whah, whah, whah.
Greedy Fu$$ckers.