RE:Strategy Rex...you mentioned how CNQ used to buy old gassy assets at the low?
But why do you think CNQ stopped doing this? This really was CNQ mantra before 2015.
CNQ stopped this model IMO because the rules around reclaimation are different. If a well is 80% depleted, isnt enough FCF cash flow from that old well to reclaim it...and government is much stricter on this than pre 2015.
CNQ strategy has changed and look at the last gassy company they bought. It was storm energy.
What does Storm Energy have? they have economic drilling locations at 75 oil and 2.50-3 gas prices.
That is what I meant by Whitecap model. Whitecap and rest of the good companies are buying properties with drilling locations that are very bulletproof to low commodity prices.
I am sure old gassy NG properties for sale at lower than 10000 per flowing barrel.
Certus went as high as they did as the drilling locations are so good that companies like Inplay or Bonterra should have been interested at minimum in Certus. PNE relationship with Aimco could be why they seem to be sucessful in doing this.