Bonavista Energy Corp BNPUF

RE:RE:Somebody mind explaining this...up 30 cents?

[konzelmann]

On that note, I won't claim to know the future, but some basic observations.. Oil prices have gone up, BNP has torque to oil prices, even if it produces more nat gas than oil. It was beat up so badly as oil crashed, it's only logical that it recovers as oil recovers. The market has baked in so much doom and gloom into anything related to energy that as soon as the mood stops being so exceptionally negative, prices recover quickly to more reasonable levels. There will be ups and downs, but oil cannot stay below $60 forever, because the long term outlook for the oil and gas industry with $60 oil and $2 nat gas is likely that most producers end up lowering production each year - which can't happen without creating a huge supply shortage. So if we're looking out 'forever' BNP likely will go up a lot because with $60+ oil and $3+ nat gas, they're a great company that likely increases dividends and returns to sustained production or increasing production. It's the high cost producers that have more trouble. But BNP is a pretty low cost producer.