The best deal in the Canuck O&G patch!After the Spartan-Crescent Point asset deal & following with today's curve ball with OPEC production cuts going AGAINST the American & EU agenda, please note the latter point which is more cricial than the actual cuts themselvves, this will keep energy prices VERY volatile as major various powers attempt to control them for their own personal needs. With consumers & innocent bystandards being stuck in the middle, in the crossfires bearing the brunt of the damage and ending up as evetual collateral damage.
I do have a vested interest in Hammerhead, picking up a slightly modest position, right after they went public a little under $10. And picked up a bit more when it hit new lows recently. Anyone considering an investment in Canadian O&G, this one along with Pipestone & Kelt ARE the best deal in the sector with Hammerhead being number 1. The other two are more M&A prospects than anything else. HH is a solid as it gets. Thsi should rerally be trading at double where it currently is now. And i fully expect this to get there quickly IF WTI oil hold this level for any prolonged period of time.
What the SDE-CPG deal showed us here, is that HH's assets are at least worth 1,7B "monetized" as the location is identical, the amount of acreage is almost the same AND HH is MORE oily than the assets SDE sold!!! So in retrospect of all this, HH should be worth more than the current $1B Canadian price tag being put on it. at least 30% more.....
GLTA