RE:RE:RE:...YGR seems awfully cheap...
perhaps.
but one company earned a billion dollars last year and has land that sells for a multiple of the land value that the other one has. With multiple core areas and an enormous land position and incredible success in the Clearwater/Peavine. YGR shows good reserve numbers and hasn't made much progress after so many years of drilling in the same area code.
More likely is that it shows YGR is drilling acreage that is moving reserves from probable to proved. Whereas the other company you cited just drills based on the business case of the underlying assets. They would receive near zero reserve credit for the majority of their Peavine acreage depite having wells that pay out in weeks. Their reserves are so strong they can raise money via debentures rather than going to their bank. For about 2% less.
The market is telling you what they think of the reserve report with the valuation.
The banks are telling you what they think of the reserve report by stepping down limits or leaving the syndicate altogether.
The lack of institutional investors has clearly told you what they think of the reserve report.
And Yangarra told you their opinion of the reserve report by restating reserves and lowering their type curves.
Rumored to be why NBC left the banking syndicate....