Husky Energy Inc. cumulative redeemable preferred T.HSE.PR.B

RE:RE:RE:RE:RE:Nice Move But...

[mrbb]

mrbb wrote:

 

GoldOilInvestor wrote: Husky operation in North America is shrinking. However, they have a big natural gas operation in China. I heard Li Kasing invested $6 billion in south China sea. I have a friend working in ShenZhen, their regional office. They are making a lot of money now. In particular, China is experiencing a gas shortage due to its coal to NG conversion. The price has increased 80% this winter. Now the government has ordered to shut down some production in order to ensure that people have heating. I think their next move is to secure more NG supply. Husky is right there.

I just came back from China and saw a very healthy economy. The demand for energy is increasing in double digit. 

don't forget Madura gas and liquid sale commenced ~ August 1, 2017

 

Contract price isn't as good as Liwan gas but still garnish excellent netback compare to north american gas prices.
 

BD gas field is located in Madura Strait at a water depth of approximately 55 m. Main production facilities included one unmanned wellhead platform, one FPSO and four production wells. Currently, the gas field has two wells in production and its gas and condensate sales production is approximately 7,200 boed. The gas field is expected to reach its Overall Development Program designed peak production of approximately 25,500 boed in 2018

 

Husky said on Tuesday that gas prices paid to the Liwan project are being adjusted down to between C$12.50 ($9.54) and C$15 per thousand cubic feet of gas, in a new contract that's back-dated to take effect in November 2015. That's about 13 per cent less than the $11 to $13 Husky was guaranteed under a previous contract.

versus barekt 2 CAD within Alberta

https://www.gasalberta.com/gas-market/market-prices?p=pricing-market.htm

 

Madura gas contract (2011 info), not sure if it is revised later or not

The agreements with PT Parna Raya and PT Inti Alasindo Energy are each for 40 million cubic feet per day

while the agreement with PGN is for 20 million cubic feet per day, plus an additional 10 million cubic feet per day

on a reasonable efforts basis. The initial gas price under each of the contracts is U.S. $4.20 per million British thermal units.  (~ 5.33 CAD/btu)