Be Patient on a Takeover BidIn my humble opinion Mike would likely wait to accept a bid until the following:
There are potentially two or three LNG facility announcements coming. Chevron is high likelihood. Please note Chevron's continued licensing of Duvernay wells.
I had a great conversation with some representatives of Shell a month ago. They were highly confident that their project would move forward.
Investors please understand the gas demand that would occur if three facilities were to proceed. The value move on a company would come well before the facilities were constructed.
The next major infrastructure benefit is that Trans Canada Pipeline is expanding by 3.1 bcfpd in the greater Grande Prairie area. Why? The need to get the gas out. Expansions do not happen until there is demand. There is serious demand.
The destruction in the commodity pricing is great when it happens as the over leveraged smaller companies like Delphi, Kicking Horse and few others will not be able to likely sustain production and the result supply of gas will be reduced. Who benefits? Tourmaline. Simple supply side economics. Little companies cannot sustain production due to high operating costs and negative NPV's.
Mike will Thrive in this environment.
More to come. This is just my humble opinion, do your own due diligence.