RE:Patience will be rewarded,'' Blue collar writes''ramman1 wrote: '' If you don't like the way SGY is being run ,go else ware''. Quite a silly statement my friend. I'm here because of the underlying assets , just ''in hope'' management can operate them to an effective manner. He also mentions LRE, TBE, and LTS in the same contex . That's quite embarrising on your part ,that you would even have those companies within your radar. Maybe clear your eyes and have a look at ''LOW COST PRODUCERS'' BIR, CR, AAV ,ECA and soon BXE .. Give me one reason why being an ultra low cost producer, with production increasing is not positive in the oil/gas industry. Just look at the numbers.
“HOPE” is NOT A PLAN!
Surge’s near-mid-term “PLAN” has been laid out in the June Presentation that can be found here;
https://www.surgeenergy.ca/en/surge_corp_pres_-_june_2016_v3.pdf If you don’t agree with it or are not happy with what you see as I said you should move on. They are not going to change their “PLAN” for you.
The reason that I mentioned the other companies was to demonstrate what is happening to those that were overleveraged in this low commodity price environment and have done nothing to help themselves.
They are “On My Radar” as the kind of Companies to AVOID unless you are a HIGH RISK GAMBLER!
The “Value” of the underlying assets seems to be irrelevant. In the current market “overleverage” is fatal.
As I mentioned if Surge hadn’t done their Asset sale and substantially reduced their Debt when they did they could have found themselves in a similar situation.
Was that “Good Luck” or “Good Management”? I suspect a bit of both. That said “Good Management” often results in “Good Luck”!
The “Name of the Game” is “Survival”!
Surge is in “Survival Mode”!
“Good Luck” can only happen to those that “Survive”!
The “Value” of the underlying assets can only be realised by “Good Management” and “Survival”. Now is not the time to take “Unnecessary Risks”!
Anything is possible but at this point anything resembling a “Robust” recovery in the commodity prices in the near future looks unlikely.
If Surge “stays the course” which is what I expect them to do when the commodity prices actually improve they will be in a good position to take advantage and “Reap the Rewards”.
As Always; Do Your Own Due Diligence; It’s Your Money !!