GREY:CNKEF - Post by User
Post by
stockfyon Jan 03, 2018 5:34am
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Post# 27268290
Station 2 nat gas price spikes above C$2
Station 2 nat gas price spikes above C$2 Great news for CKE's Canadian nat gas production today. Per NGI Data, Station 2 price spiked today, doubling to more than C$2, see:
https://www.naturalgasintel.com/data/data_products/daily?region_id=canada&location_id=CDNWST2
Back to normal because Westcoast Energy completed the High Pine pipeline project a couple of days ago.
Thanks also to the recent cold snap, CKE has the opportunity to hedge a big portion of its Canadian nat gas production for 2018 at prices above C$2.50.
As a result, CKE will receive an average price well above C$2 for its Canadian nat gas production in 2018. CKE has no reason to shut in production at these prices.
CKE also exports about 30% of its nat gas production to Chicago Citygate receiving premium prices equal to Henry Hub in USD.
CKE's Condesate from its Condensate-rich Montney wells is currently sold at approximately C$80/bbl (Edmonton Condensate), a big price difference compared with the C$60/bbl of Q3 2017.