Post by
Carbonbull on Nov 13, 2023 7:55am
? for the board
Which company KEI or VLE has the best risk adjusted profile and why ? I have extensive models on both , very interesting to contrast and compare . KEI is rich in reserves and light on cash flow (with a plan to address) ,, VLE is rich in cash flow but light on reserves ....in a different era IB would have these entities merged ... question in todays oil and gas what is more important reserves or cash flow ...with the caveat thta kei has the cash flow to develop reserves over time .
is 75000 bbd over five years (average built in decline) more valuable then 10000+ bbd over 30 years , lots of assumptions to build in over price and abilty to add to reserves or add to production given price.
Comment by
savyinvestor333 on Nov 13, 2023 10:20am
I am hedging my bets as I own both. Currently a bit higher weighting in VLE but it's been on a Tear.