Cardinal Energy Ltd (Alberta) T.CJ

2nd quarter thoughts?

[vwbusman]

What are people's thoughts on the upcoming Q2 results?

 

My opinion is that is looking like a "treading water" scenario where no debt was paid down, no shares repurchased. WTI averaged about $73.69 for the quarter.

 

Saving grace may be improved WCS to WTI numbers

 

1st quarter differential was around $25 less for WCS. For the second quarter it looks like around $16 less for WCS. So even though WTI was down $2 for Q2 compared to Q1, WCS is up by almost $10 relative to WTI.

 

Looking like Q3 and Q4 2023 are when Cardinal will be much better of if oil price stability remains - perhaps able to eliminate debt by end of the year.

 

Still don't think they will go out and increase dividend in 2024 - have to be happy with the very nice dividend they now provide.

 

GLTA

[Pottsy]

To me it looks good, however risks going forward are continued recession fears plus the price of oil ofcourse. The divi won't be increased. World demand for oil has just been downgraded by about 200k bpd.  

[Quintessential1]

Inflation dropping...one more shot out of the FED cannon ought to do it. Oil price rising...demand  going nowhere but up and production going down. "treading water"  at over 10% returns is a ok with me. We might see CJ's production increase with a higher WCS price might mean a little debt paid down. Any good news will result in a higher share price.  Still plenty

[pkrash]

Don't know where you got that forecast from.... https://oilprice.com/Energy/Crude-Oil/OPEC-Raises-2023-Oil-Demand-Forecast.html

[Quintessential1]

WTI crude futures edged down to below $75.5 per barrel on Thursday, down from a 2-month high as investors digest the latest market oil outlook from EIA and OPEC. The IEA lowered its global oil demand growth forecast by 220,000 barrels per day to 2.2 million barrels per day in 2023. Meanwhile, OPEC maintained a positive outlook on world oil demand, raising its growth forecast for 2023 and