CKE: Debt-Free, Operatorship & High Insider Ownership (47%) From the latest NR: "Chinook is uniquely positioned with a strong positive cash position (unconsolidated June 30, 2016 net surplus forecasted to be approximately C$21 million)."
"calypsocrime" new alias, you confuse the working capital surplus with the cash. Working capital and cash are two completely DIFFERENT items.
The amount of C$21 million refers to the WORKING CAPITAL surplus, it does NOT refer to the CASH.
As of June 2016, CKE's cash exceeds C$25 million and the working capital surplus is C$21 million.
As of March 2016, CKE's cash was C$24 million and the working capital surplus was C$20 million. See sedar.
So, how did you really miss that:
- CKE is DEBT-FREE
- CKE is OPERATOR of its properties, so it's not dependent on any other company and can determine the pace of development for its Montney properties.
- CKE is 45% owned by insiders, directors, employees (including Alberta's Queen stake) and therefore their interests are fully aligned with shareholders.
- CKE's Montney wells cost less than C$5 million each while the Montney wells for many other Montney players like Cequence (CQE), Delphi (DEE), NuVista (NVA), Blackbird (BBI) cost more than C$5 million each.
All these are unique fundamental advantages for CKE, while numerous other energy firms do NOT have Operatorship while also being loaded with debt and their future is highly uncertain. Did you notice that NuVista (NVA) recently borrowed with almost 10% interest rate ?!! CKE doesn't have any such fundamental problems.