PPR folks pls welcome meI look at PPR, I see strong cash flow generation, ridiculous "cash flow" valuation 1,5-2x and decreasing, good netbacks, oil market strengthening and big and premium acreage positions i west Canada. Why is this trading this low?? We got cash flows here that can move the company forward on its own?
and finally, WHY isn't PPR's huge acreage position in the Quebec lowlands being priced in? The current NAV/share based on its current CONVENTIONAL production in West Canada-AB is CAD 1,5/share assuming current oil gas market. The company holds Forest Oil's accreage position which is right in the middle of the lowlands fairway, between Altai and Questerre, this use har 300k acres?? Questerre holds 175k acres (net) in lowlands and 1000 boe/day in unconventional Montney and commands a CAD 300m market value, but PPR with 6000 boe/day and double Quebec accreage positions commands CAD 50m??? Am I crazy or is the Canadian investment community?
if we were to include Questerres lowlands valuation to PPRs position, and that valuation is low btw, only that should be worth CAD 1,5-2/share for PPR. Difference between Questerrre and PPR is, PPR has good cashflows to fund a Lowlands Uthica programme, unlike them who needs to raise money from its shareholders! If we were to apply Questerres resroute assement NPV on our accreage, that is 5k/acre, that's CAD 1,5bn or 15/share. Not going to go overboard here but why are we trading at 1,5x cash flows on wells with 5 yr avg life, in a strengthening oil market, like the company has no other assets - not least its major Quebec Lowlands position thats neibouring Questerre's! This is crazy, WAKE UP. I acquired stock today and will keep building.