GREY:DPGYF - Post by User
Post by
raggetyjackon Jul 30, 2011 10:49am
627 Views
Post# 18890153
Q2 highlights
Q2 highlights
CFPS of
.15 & volumes of 8,906 boe/d
Liquid volumes are up nicely increasing 22% to 2,700 boe/d.
Second half 9.2 wells (currently planned) and will accelerate in 2012 as DEE begins facility upgrades to increase stripping to .20-25 bbl/mmcf from 5 bbl/mmcf. I'm expecting more wells after non-core asset disposition on
Brassey lands to act as a catalyst this fall.
Montney well at Bigstone in Q3 targeting liquids rich natural gas. They have 27 sections
and success will be a catalyst heading into the fall. Maybe 60-22 location next to Celtic's
successful Monteny well location.
Brassey, B.C Second Montney location with disposition is likely in Q3 to further drive share appreciation.
Shell is drilling wells around their lands currently with success. Encana is also drilling adjacent to
their B.C. Montney lands. Drillers are targeting the lower, middle and uppper Montneys now so
the prospect there is very good for high rate/quick payback wells.
Share price is breaking out from where I see it now.
Valuations remain compressed given past single digit growth rates. The continual move to higher
liquid volumes is well underway.
Delp[hi is on the cusp of delivering more robust growth in the 15-20% range, with Montney successes
this fall. This is not reflected in share price right now.
With their large land base a takeover is also a possibility going forward to deliver quick value
to investors.
Either way via a takeover or growth, the share price will begin to rise from these levels.
As stated earlier it's "irresistibly inexpensive" to me at this price.
GLA....