RE:RE:Well PayoutThey are in a pretty good spot if they manage to hit their liquids targets. Going forward for the 44 million dollar program through to Q2 next year they have:
9 million cash
22 million cashflow
31 million Total
So it appears that they would have to use 13 million in debt. This is fairly conservative as it does not account for increased cashflow with increased total production and more specifically liquids production. It also discounts the possibility of them divesting their shallow gas assets.
The debentures are annoying but if they didn't exist this wouldn't be a speculative turnaround story, so it is what it is. When they come due hopefully the shares will be trading higher and they will cause less dilution. Or if things are really good we would be able to use an increased line of credit to pay them off. If things are really, really good someone will buy AXL and we won't have to worry about them. Haha.