OTCPK:VREYD - Post by User
Post by
MustangMatton Nov 07, 2019 10:51am
191 Views
Post# 30321240
Q3
Q3As expected Qtr. It was a heavier quarter for drilling, debt ticked up 6 million. Q4 will see that debt come down. Like you FileFish I was looking to see debt stay at least flat or be reduced. I agree they should be Hedging more barrels for 2020. When WTI prices are at near $60 that puts Cromier at +-$70 great free cash flow numbers when Torq's net backs are around $35/barrel.
The DRIP is a double edged sword, it keeps the payout ratio down but dilutes the company. I would still eliminate it.
I applaud the company for being patient thus far. I wonder if they are starting to get that "aquisition" itch?
Some companies are starting to go for the price of the debt, PGF comes to mind. When2Buy? right.
They have been rewarded for sticking to light oil, mostly in the South East Sask. I don't mind if they stick to that.
What about taking a run at Cardinal? $250 million market cap+Debt. I know they are heavier oil but is more like medium gravity. They have great low decline assets and reserves. Could be transformational. Cheers Matthew