RMP ENERGY INC T.RMP

Asks are being slowly taken out

[profittaker1]

At 83 cents and still going. Looks like institutional buying to me.

[Seppelt]

Trading just begun but so far it's not as vigorous, as Jan 27 rally.   Has anybody noticed the recent report by Paramount and a swift market reaction? It tells what a dozen of $10 million extended lateral wells can produce in liquids-rich Karr-Gold Creek. Or course, POU has a lot of cash from it's recent asset sale to Seven Gen.   RMP unfortunately is a beaten up stock

[pablo87]

They still have some non core production they could sell.  I was going to say Duvernay lands but apparently they threw that into the Ante Creek deal as it was gone from the Nov. presentation. Not sure but seems to me Waskahigan production drilling 1 well/quarter covers all costs. Is it still connected to Ante Creek (I imagine so), I wonder what the fees are to process for ERF (must have

[Seppelt]

pablo... They could have sold Kaybob and Pine Creek a few months ago when AECO was $3+ and gas producers were adding rigs betting on a cold winter. Corporate production would go down to a shameful 2,500 boe/d (about), but liquids weight would go up to 45%. They probably didn't care or thought of adding Gold Creek production first and then selling gas assets.  Now it may not be the

[pablo87]

A good point, thanks for clarifying.   Even though its not a good time to sell, it seems the opportunity cost bar is very low because Gold Creek's potential is so high. For example, if they sold those assets for a measly $5M (probably worth what, $15M? they do have 19,000 acres) and drilled a Gold Creek well, and it produced at the type curve, after the initial 9 months payback period

[Resilience]

Don't be nuts - there's ~ 10 mln 2P reserves involved and about 12% is liquids + it has facilities on it so everything is half cycle. Even at $ 2 per barrel that would be $ 20 mln with the facilities thrown in for free.   They'd be nuts to sell it for $ 5 mln = capital destruction. I know for a fact they would sell at the right price but are not motivated to sell at these prices

[pablo87]

I was just making a point on opportunity cost... in any event they're probably gun shy after the fleecing they took on Ante Creek (Enerplus plan to implement water injectors at Ante Creek to double production (to 7600BOE/day) within 24 months.).

[Seppelt]

We knew what you ment to say, Pablo... They'd be better off selling this stuff for $5 million than giving away Ante Creek. At first, it appeared an OK deal, it eliminated all debt. But the Market though it was ugly, shaved about 30% off share price.   Kelt recently fetched $100 million for Karr assets producing about 1300 boe/d (50% oil and liquids). Josh probably got pissed when he

[pablo87]

I'm in better shape than most having bought in after the Ante Creek firesale.  I'm still buying but I'll start looking at the players with the condensate story (if anything, should be safer) - thanks. I did some back of the napkin forecasting based on the typecurves presented in November and if they drill 2 more Gold Creek wells in 2017 (in addition to the one they drilled a year

[SigmaKappa]

Does rmp have a gas plant??

[Zoltar4kingrite]

Trading above 100 moving avg now...all aboard!!