Twin Butte Energy Ltd TBTEF

RE:RE:RE:Sector Outperform from Peters & Co.

[bshort92]

I think the market is barbequing this issue because after two Primate production announcements last year this "third strike" of: reserves being re stated, production shortfall for year end at 22,500, the sacking of the COO and op's VP, the website being taken down, a $15 million Q1 loss on the heels of a $160 million loss for 2013, questions surrounding the sustainability of the dividend, the credit facility being reduced $35 million to $365 million, puny $28 netbacks, constant shifting of where the areas of drilling concentration will center, a $370 million debt load, rail/pipeline transport bottlenecks, etc. The market got this dose all in one quarterly earnings update. it was too much to digest. Now ask yourself: Are the two guys from Penn West any good? Are they an upgrade over Hall and Bowman? Can they maintain fiscal discipline? Overcome the decline rates and the downward revision to reserves? Can they get this landman to get more acreage at say a Wildmere and Maidstone where the market applauded GXE or somewhere else? So far he has not done anything. Can the equity or lending markets give them capital to do another deal to acquire more medium oil assets that throw off lower decline rates and higher netbacks? Does TBE have credibility?