GREY:TBTEF - Post by User
Post by
blondeBondon Mar 21, 2014 9:31am
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Post# 22350355
from Scotia Daily Edge
from Scotia Daily Edge TBE released Q4/13 results ($0.12 CFPS and 20 mboe/d production
were in line) and 2013 reserves.
■ Reserves. TBE's 2013 2P reserves came in at 68.2 mmboe, -2% YoY (debt-adj./sh) due to negative revisions on gas assets and Primate, as well as lowering of the vt well type curve. TBE noted that drilling moved to 42% hz in 2013 and will be 75%-80% hz this year. 2P FD&A costs came in at $27.76/boe and TBE pegs its NAV (10% BT) at $2.84.
■ Provost Medium Balancing Heavy Volatility. TBE expects Q1 volumes to be slightly behind at 22.5 mboe/d due to extreme weather in Jan/Feb.
Clip the Yield and Watch. TBE shares present good value (5.2x 2014E EV/DACF) and attractive yield (8%), in our view. While we are biased to the positive, we believe the market is watching for more hz data points and asset integration before assigning a higher multiple.
■ We maintain our SP rating and our target price at $3.00/sh.