Craft's new website is UP and first Presentation is ready.The new website is ready and the new presentation is out today.
Craft has a very strong balance sheet now with 2,400 boepd (31% oil and liquids), low production decline (15%), Operatorship, LMR above 2 and annual cash flow for 2017 at C$5.30 million with flat WTI at US$52/bbl.
With such a healthy balance sheet, Craft's Enterprise Value now can't be less than C$70 million and CKE owns 70% of it.
Craft's characteristics, proforma today's deal with Manitok:
- 120,000 net acres with 50% net undeveloped.
- September 2016 field estimated production from the retained assets was approximately 2,400 boe/d (31% oil and NGL).
- Low Production decline (just 15%).
- Operatorship for its core asset in Grand Prairie.
- Craft's core formations are Dunvegan and Doe Creek oil (73 identified net drilling locations). The Dunvegan wells are oily with good IRRs at current strip. Each Dunvegan horizontal well generates an IP30 of about 300 boepd (50-80% liquids) based on Craft's existing Dunvegan wells at Karr and Wapiti.
-Craft's LMR rating with the AER above >2.0
-A very strong balance sheet with Net Debt being less than C$1.5 million, including the tradeable debentures proceeds (C$4.5 million) from Manitok and ample liquidity.
-Estimated annual Cash Flow for 2017 at C$5.30 million, based on flat WTI oil price of US$52.10 per bbl and flat AECO gas price of C$2.56 per GJ.
-Very well hedged until June 2020. Craft has hedged about 50% of its current production from November 2016 until June 2020 at US$52 per bbl (WTI) and C$2.56 per GJ (AECO). See the last slide of the presentation.
Craft's New Presentation pro-forma today's deal with Manitok:
Craft's New website: