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Surge Energy Inc (Alberta) T.SGY

Alternate Symbol(s):  ZPTAF | T.SGY.DB.B

Surge Energy Inc. is a Canada-based oil focused exploration and production (E&P) company. The Company's business consists of the exploration, development and production of oil and gas from properties in Western Canada. It holds focused and operated light and medium gravity crude oil properties in Alberta, Saskatchewan and Manitoba, characterized by large oil in place crude oil reservoirs with low recovery factors. It offers exposure to two of the five conventional oil growth plays in Canada: the Sparky and SE Saskatchewan. It holds a dominant land position and is drilling a mix of horizontal multi-frac and horizontal multi-lateral wells in the Sparky area. Sparky is a large, well established oil producing fairway in Western Canada. SE Saskatchewan is a focused operated asset base with light oil operating netbacks. SE Saskatchewan operates low-cost wells with short payouts and offers potential for continued area consolidation.


TSX:SGY - Post by User

Bullboard Posts
Comment by terroiron Jan 29, 2014 2:50pm
229 Views
Post# 22149143

RE:RE:RE:I think the stock is real attractive hear at this price

RE:RE:RE:I think the stock is real attractive hear at this priceI agree with your thoughts. I was trying to be risk specific as it relates to Surge, because it does seem to have suffered a little more than the macro winds have affected other producers of late.

I trust you are right about the quality of the Renegade assets. I was not certain they were specifically those that Renegade had purchased from Penn West.

We will see concerning the latest Penn West divestiture, they have said that the deal will be done in March, so it kinda makes sense that Surge would want the latest deal settled before any new announcements. There us also the fact that the buyer wanted specific assets but settled for a package that included a lot of deadweight low production wells and shutins  and land with a large gas weighting. Perhaps Paul has plans for the deadweight, or just wants to pad Boed. The cost was very low on a flowing barrel basis.

Tome will tell.
Bullboard Posts