Post by
MyHoneyPot on Jun 26, 2022 4:05pm
NVA (Take or Pay) Drivers
NVA has a take or pay agreement regarding the Pipestone production.
There is real incentive, for NVA for fill the Pipestone plants, which will reduce operating costs.
White Tundra presentation doesn't incorporate the future reduced operaitng costs as Nuvista fills up the Pipestone plant, and the current quick rampup of the production. It seem to me that NVA has real driver and tanagble objectives and incentives that will reap great shareholder returns.
Being a POU long term shareholder, and knowing the high condensate weighting of the production from Pipestone. This is a very high netback area, and it is already being significantly optimized. The Montney in Pipestone had 4 horizions but NVA is finding that it can exploit with 3 horizional wells.
I think NVA is just to cheap, and there is no reason for the pull back it is over stated.
The growth profile is currently not incorporated into the price is what i am trying to get at.
IMHO
Comment by
allin100 on Jun 27, 2022 12:28am
Agreed WT doesn't consider growth profile that NVA is on. Sounds like the turnaround is complete at Midstream facilty and NVA was able to keep about 40% of production online during the turnaround through other facilties. Could be they did better then they said they would, TBD. I think Q2 earnings and update will be excellent.