RE:RE:RE:RE:Passing through $5…Admittedly the debt repayment schedule, and FCF #s are hard to predict and not very exact on my side, I think I went to the lower side of FCF from a Seeking Alpha article based on that person's numbers on $70...
Using the numbers I showed the Debt would be paid off in 4.56 quarters, but I really don't think that is realistic as the company will not use all the FCF after the div I showed for debt reduction, some will sit around on the balance sheet as cushion, capex will increase as they upgrade facilities or develop new projects and altho we all want our O&G companies debt free, realistically how many carry 0 debt? I believe some will become debt free, but I dunno that a majority will, managements will always find ways to spend money they don't currently have and even if we stay in a good run with oil pricing, the full repayment will likely be extended.
Nuttell's major party line lately has been talking about how long companies can payoff thier debt and purchase themselves privately, I really don't see that happening with most of the companies, it's not realistic even tho the maths work.
Overall I do agree with everyone saying get rid of debt as quick as possible, but getting paid later doesn't effect my wallet today, and odds are not everyone here today will be here 4-8-12 quarters from now for various reasons.
A major idea in personal finance is paying yourself before others when it makes sense. I think the company is at that point that we can pay ourselves for our time invested now.
I will be fine if they don't announce a div and I expect to still be here for a long haul, but damn I wanna be paid for my time ASAP!