RE: Stifel Nicolaus Presentation So to summarize: Ed said they've ended a period of deliberate high deficit spending, high production growth, targetted to raise and prove up the company value (which it did even if the share price no longer reflects this). In contrast, 2012 will be managed prudently, with only nominal growth in production and some anticipated debt reduction. Global oil prices will affect results (obvious). Their assets remain desirable, but due to market conditions in general, no one is in line to buy them out at price they'd be willing to accept right now. Not sexy I guess but hardly a reason to jump ship at the current price. They're still ridiculously undervalued, with great assets and more upside to come. It's a great long-term play. But they are subject to the whims of the market, as is everyone else. As with every investment, use caution. Personally, I remain upbeat.
The only thing that wasn't explained well was their production decline on that new VH well - it's not clear if it's a natural decline or a receiver limit. Seems like a steep curve. Anyway, they obviously aren't banking on it or on the VH area. At 10-11 sections, it's not a huge or "core" piece of land for them I guess, so whatever.