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RMP ENERGY INC T.RMP

"Iron Bridge Resources Inc, formerly RMP Energy Inc is a crude oil and natural gas company engaged in the exploration for, development and production of natural gas, crude oil and natural gas liquids in Western Canada."


TSX:RMP - Post by User

Comment by kmilneon Dec 12, 2014 9:46pm
295 Views
Post# 23226659

RE:Drop - Reason???

RE:Drop - Reason???Meanwhile, two more oil companies have chopped their 2015 spending plans amid low oil prices. RMP Energy Inc. (RMP) lost 89 cents to $3.60 on 11.8 million shares, after setting a fully financed capital budget of $150-million. This is down from $170-million in 2014. Despite this decrease, RMP expects to produce 15,500 barrels of oil equivalent a day in 2015, up 30 per cent from 11,500 barrels a day this year. Investors frowned. Thirty per cent is a nice boost, but it is not a pleasurably surprising boost, because RMP has already stated that it will soon be able to bring several shut-in wells on stream. It is working on new infrastructure that should be done in March. The unpleasant surprise is the composition of RMP's production, which is becoming unexpectedly gassy. RMP is forecasting 55-per-cent gas production from its Ante Creek property in the Alberta Montney in 2015, compared with 46 per cent now, based on regional pool trends. Scotiabank analyst Cameron Bean cited these lower-value wells as his reason for cutting his price target on RMP to $6 from $8. Canaccord Genuity analysts Anthony Petrucci and Jeff Ebbern said the same and cut their target to $6 from $7.50.
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