Post by
divime1 on Jun 01, 2021 8:17pm
In 29 days we are free .
In order to protect the company's 2021 first half capital program, during the last half of 2020, Cardinal hedged approximately 59 per cent (9,333 bbl/d) of its first quarter budgeted oil production. Cardinal's oil hedging exposure reduces to 39 per cent (6,000 bbl/d) in the second quarter of 2021 and in the second half of 2021, it drops significantly to approximately 13 per cent (2,000 bbl/d) of budgeted oil production.
Comment by
BadShituation on Jun 01, 2021 8:24pm
I like this. do we think they will roll over hedges higher or run naked? I obviously prefer the later, as i dont see much downside to wti. My concern with divy reactiviation would be that they rehedge, although at higher prices. Thats just a speculation obz.
Comment by
divime1 on Jun 01, 2021 8:56pm
They are getting punished because of the hedges so I doubt they will be in a rush to do it again . I doubt they wanted all of the current ones but were forced to by their lenders especially the National Bank .
Comment by
masfortuna on Jun 01, 2021 11:05pm
Perhaps BUT I think most oil plays have had to hedge a portion of 2021. If we need to find a reason, then that 2 million sell is the most obvious reason for the RED close. Not sure why someone would sell today with oil on a tear but...maybe they know something we don't. Mas