Buying Opportunities
The current prices of stocks like Kelt, is below the replacement costs of these companies.
Kelt has wells at Pipestone that will pay out in less than a year.
World meltdown, create by finicial wizards.
This banking fallout/crisis should of been predictable with the rapid rise in interest rates and next I expect you will see a failure in comerical realestate.
Kelt is 9 months away from a rerating of the company, and sitting with kelt shares at these low levels with all this crazyness in banks, Money printing, Fiscal Stimulas and Fiscal manupilation, it is crazy especially in Canada.
I listen to Stephen Harper who said they if he would of tabled a budget that collected zero tax revenues, he still would of been unable to match the deficiet spending of Trudeau with Covid. No wonder inflation is out of control.
Even if the Canadian dollar failed companies like Kelt with essentially zero debt will survive. A debt free balance sheet is a necessity these days.
Once NVA started ramping up their pipestone production, the FCF outstripped a very agressive development plan, and they paid off alot of their debt and then started buying back shares.
Kelt has really no debt to pay off, and their share float is moderate and you do not want to loose Liquidity.
Kelt is a very simple investment that in six month frrom now, will really start performing.
IMHO