A Big Upside - NVA was a shrewd investmentParamount investment in NVA, is reaping huge rewards. (37.3 million shares, $10.57 March 31)
Assets on the Balance Sheet At the time i am writting this post NVA is trading for $13.28, or rougly add another $100 million dollars to POU balance sheet since march 31 for NVA.
NVA had a fantastic Q2, and produced 66,900 boe a day, but will likely exit 2022 producing close to 90,000 boe a day as they drill to fill Pipestone, one smoking hot play area. Every well drilled here has a good chance of returning a ROI of 3X in its first 12 months.
37.3 million X $13.28 = 495 million dollars of NVA stock on POU's balance sheet.
NVA will be implementating a buyback for 10% of their shares by year end, they will have their debt paid down, and will exist 2022 at 90,000 boe/day.
So these NVA share could represent 1 billion dollars on POU's balance sheet by year end. Almost $7 dollars a share, some pretty significant upside here.
IMHO