Vermilion Energy Inc. T.VET

Alternate Symbol(s): VET

Energy Oil & Gas E&P

Vermilion Energy Inc. is a Canada-based international energy producer. The Company seeks to create value through the acquisition, exploration, development, and optimization of producing assets in North America, Europe, and Australia. Its business model emphasizes free cash flow generation and returning capital to investors when economically warranted, augmented by value-adding acquisitions. The Company’s operations are focused on the exploitation of light oil and liquids-rich natural gas conventional and unconventional resource plays in North America and the exploration and development of conventional natural gas and oil opportunities in Europe and Australia. The Company operates through seven geographical segments: Canada, the United States, France, Netherlands, Germany, Ireland, and Australia. In Canada, the Company is a key player in the highly productive Mannville condensate-rich gas play. It holds a 100% working interest in the Wandoo field, offshore Australia.

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Vermilion Energy Inc. > VET, Spartan & Debt-Free Spartan Delta (SDE) with 36K boepd

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Comment by stockfyon Mar 05, 2021 5:54am

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Post# 32725675

RE:VET, Spartan & Debt-Free Spartan Delta (SDE) with 36K boepd

It seems that some prudent investors start to worry about the rising interest rates and focus on debt-free companies...

stockfy wrote:

VET acquired Spartan Energy a few years ago. And the same management team recently created debt-free Spartan Delta (SDE).

So SDE is new, unknown and debt-free with surplus.

SDE is natural-gas weighted with about 30,000 boepd.

SDE announced another deal yesterday and new guidance for 2021 bringing its production to about 36,000 boepd for 2021.

SDE currently is debt-free with surplus of C$35 million, see link below.

https://www.globenewswire.com/news-release/2021/02/16/2176560/0/en/Spartan-Delta-Corp-Announces-Three-Strategic-Acquisitions-and-80-0-Million-Financing.html

Proforma yesterday's deals, SDE will remain debt-free by the end of 2021 with a surplus of CAD$54 million, based on the latest guidance below:

https://www.globenewswire.com/news-release/2021/02/16/2176560/0/en/Spartan-Delta-Corp-Announces-Three-Strategic-Acquisitions-and-80-0-Million-Financing.html

So debt-free SDE must have the strongest balance sheet while being the most undervalued Canadian nat gas weighted producer trading less than C$10,000 per boepd and just 2.5 times its annual cash flow.

Insiders own about 26%.

SDE's management team has an impeccable pedigree with very high returns from their previous 3 companies, Spartan Exploration, Spartan Oil, Spartan Energy sold to VET.

AECO will also remain very strong in the next weeks and months.

My two cents.