On BNN
Dennid da Silva:
Generally speaking, he would put this in the “high risk” category. Predominantly heavy oil, both from conventional and SAGD methods. 18,000 BOE’s a day. Very illiquid because private equity firms own about two thirds. The high dividend is really a factor of the private equity holders like receiving their dividends in the form of stock. This creates about 8% dilution every year. They need to probably adjust the payout, because you can’t keep going through 8% dilution every year.
He has a small toe-hold position, because he likes the leverage to improving oil. They are near the bubble in terms of breaking even and starting to generate real cash flow, so anything above $50-$51 is good for this company. Not a low volatility kind of holding. Prefers others.
https://www.stockchase.com/company/view/5101/0/Northern-Blizzard-Resources-INC/NBZ-T