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Peyto Exploration & Development Corp T.PEY

Alternate Symbol(s):  PEYUF

Peyto Exploration & Development Corp. is a Canadian energy company involved in the development and production of natural gas, oil and natural gas liquids in Alberta's deep basin. The Alberta Deep Basin is a geologic setting situated on the northeastern front of the Rocky Mountain belt in the deepest part of the Alberta sedimentary basin. It acquired Repsol Canada Energy Partnership (Repsol Assets), which included around 23,000 barrels of oil equivalent per day of low-decline production and 455,000 net acres of mineral land. The acquisition includes five operated natural gas plants with combined net natural gas processing capacity of around 400 million cubic feet per day, 2,200 kilometers (km) of operated pipelines, and a 12 MW cogeneration power plant. These assets include Edson Gas Plant and the Central Foothills Gas Gathering System. The Company has a total proved plus probable reserves of approximately 7.8 trillion cubic feet equivalent (1.3 billion barrels of oil equivalent).


TSX:PEY - Post by User

Comment by ceremonyon Mar 14, 2018 3:57pm
30 Views
Post# 27715785

RE:Fungible gas: From Empress to Dawn

RE:Fungible gas: From Empress to Dawn Thank you. Yes. except I believe tou and pey do their own gathering and have pipes connected to trp. tou has over 3k kilometers of pipe.

I am wondering. Have you backed off your original thesis? Or still a believer? As I recall you said the source of the problems in Alberta lies with what TCPL is doing in Eastern Canada, with more important USA customers.

let's drill down on your idea some. What informs your view that the marcellus customers are more important than WCSB customers? do you have a revenue and profit breakdown by customer? There must be some evidence.

Second, why would servicing one customer effect the servicing of another customer? and how do you quantify that and prove that argument. how do you support that thesis? remember WCSB producers are massive customers on the NGTL as well as the mainline. what incentive does TCPL have to ignore these customers at the expense of Marcellus producers? TCPL is under a microscope in Canada. If they were doing this it could damage their repuation beyind repair. 

I understand your theory. I just feel like it's not supported. willing to hear you out and add to my understanding...thanks.. 
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