RE:Petrofrac
soooooo petrfackup needs to add more manpoer to it's laggan project on top of stella (and who knows what others). total owns 80% of laggan sooooooooooooo who do ya think petrofackup is gonna cater to total or ithaca??????? obviously they don't have the manpower or these projects wouldn't be so far behind!!!!! jeez maybe they can hire a bunch of refugees from africa to help!!!!
sooooo, total has been trying to sell their 80% stake in laggan for 1.5 billion since march with no takers so far!!!! laggan"s full production will be over 3 times what stella will be (93,000 boed high quality assetts) plus it will be online sooner. soooooooo what does that make stella worth at this point?????????? less than 1/2 of ithaca's debt!!!!!!!!!!
sooooooooo this recent rebound in oil was more to do with chinese stepping in to buy cheap oil for storage and shorts covering, not fundamentals. the saudis and opec are out to gain market share, not just maintain it, and they are serious. only way they can do it is drive highcost producers out of biz, which they are in the prodcess of doing. barring all out war in the middle east ( definitely possible) oil will be cheap for at least the next few years. ithaca is a high cost producer no matter how you slice it. i have no idea how any of you can belioeve anything iae's management says after their track record.
sooooo i wonder why we didn't see any insider buying recently on the drop to .50, at this point, imho I see iae's stock as virtually worthless even with the present hedge. good time to sell and move on imho. they had trouble making money at 100 buck oil. the smaller fields will continue to decline and cost them big time. waaay too much risk in oil pricing and execution. I say the debt will be over 1 bil. before stella happens, if it happens, lol, plus it will take forever to pay it back even with stella if prices stay low.
cheers and better luck next time ferret