Spartan Delta Corp T.SDE

Very Impressive SP Performance today given Market....

[TouchDown12]

With Oil and NG down  - SDE still managed to buck the trend (UP) of most E&P price moves today (Down)... really seting us up for a cruise into the 6.00's shortly. TD12

[stockfy]

Agreed. I believe SDE will easily pass $6 soon.

[stockfy]

Based on today's prices for oil and nat gas, SDE will deleverage much quicker than originally planned.

[Fyordian]

At the current strip pricing, SDE could be below $200M net debt by end of 2022 in comparison to the $350M net debt in management guidance, so let's hope the momentum continues.

[stockfy]

Absolutely agree with you, Fyordian. 

[stockfy]

Agreed. This translates into leverage well below 1 times.

[ppp]

Now all we need is some drilling results.

[TouchDown12]

Very good point PPP - what is our performence like? That is the next proof of value test. it could push us either back to 5 or to 7 before Dec. 31. Hopefully Q3 will show some good wins on the drilling side. TD12

[Fyordian]

Interesting enough - there were a few additional unannounced wells that came with the Velvet acquisition (around 6-8), so that might provide some production upside. Previous Velvet management was in the process of drilling the wells during the acquisition and SDE management will discuss/announce the status of those wells on the Q3 report. Another very interesting fact is that SDE MGMT is baking

[stockfy]

Note also the insider ownership remains high despite the recent placements, so insiders interests are aligned with shareholders.

[stockfy]

yes some good drilling results will help a lot. We need an operational update.