RE:RE:CSV Albright Midstream plant: impact on KeltThey haven't said when that additional 15 MMcf will come on line - I suspect this will be from the Altagas (formerly Tidewater) plant expansion. I thought the plant expansion was 100 and they had 25% so not sure.
On my napkin I stress test Kelt post CSV Albright and $0 AECO.
@ 50,000 boepd 36% oil and condensate (just took 30% existing and added the 12,000 new plant at 46% or so), cashflow is still $400MM....
So once this CSV Albright plant is up ane running, Kelt will leave behind its classification as a natural gas producer and join the list of oil centric E&Ps.
Whereas the likes of AAV, BIR, SDE, etc... will remain natural gas producers as unlike Kelt, they cannot survive without half decent natural gas revenue.
The beauty of it is, they'll have no need at all to hedge natural gas mechanically, they can be purely opportunistic (they should probably hedge some oil however).