Veren Inc T.VRN

Alternate Symbol(s): VRN

Energy Oil & Gas E&P

Veren Inc. is a Canada-based oil producer with assets in central Alberta and southeast and southwest Saskatchewan. The principal activities of the Company are acquiring, developing and holding interests in petroleum and natural gas properties and assets related thereto through a general partnership and wholly owned subsidiaries. Its core operational areas include Kaybob Duvernay and Alberta Montney, Shaunavon and Viewfield Bakken. Its Kaybob Duvernay is situated in the heart of the condensate rich fairway, Central Alberta, which provides low risk drilling inventory. Its Alberta Montney assets sit adjacent to its Kaybob Duvernay lands, possessing similar resource characteristics including pay thickness and permeability in the volatile oil fairway of the reservoir. Its Shaunavon resource play is located in southwest Saskatchewan. The Viewfield Bakken light oil pool is located in Saskatchewan.

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Veren Inc

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Comment by bdepardeon Sep 30, 2018 12:44pm

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Post# 28717291

RE:Schachter Energy Conference

Tcw will be fine. Price is already backed into stock price. I bought last week.

ProdigySon wrote:

My take on Schachter Energy Conference. Today I attended the entire conference and I thought it turned out absolutely great. There was a huge turnout and was very easy to interact with companies and management. It was very well organized and there was a lot of good take aways, my only knock was that you were only able to see 5 complete presentations but if you wanted you could visit any of the companies at there allotted tables. Overall the feel of the conference was quite positive with LNG Canada FID being quite the topic.

The 5 companies presentations I choice to visit in order of there presenting time in conference rooms; Bonavista, Trican Well, Bellatrix, Questerre, and Pengrowth. I am didn’t get to see Step, Crew, Birchcliff or Painted Pony all of which I am a shareholder in. Times just collided with the others but I did visit management at there tables throughout the networking time. All these companies at this conference I believe are survivors and no zombie companies.

My Ranking of best future prospects from seeing there presentations.

1. Bellatrix, I was really surprised how well the future looks for it. With them finishing there Alder Flats plant there will be no more capital used for anything but drilling in 2019 so they will just be investing in cash flow no more infrastructure or anything else. Alder Flats can handle up to 70 000 BOE (double current production) when gas prices have a chance to rise there is a lot of run way, but also bring there cost per BOE down very low right now because they own part of the plant. The biggest concern of Debt is no longer going to be an issue, they are on the verge to take there 150 million in 2020 debt to 2023 with there lenders at the exact same interest rate. They are well hedged at good prices and diversified all through the USA until 2020 when AECO issues will be resolved. This stock is a winner, this will be a multiple bagger very soon, especially if AECO stays in the 2s or 3s this winter never mind if it goes higher this winter and add LNG FID sentiment could FLY!

Bonavista, this company is so cheap for how things in the market are changing. They are making very good cash in there liquids and are taking there free cash flow and further developing liquid plays. Well diversified from AECO and looking to lock in prices to USA hubs once winter starts. Management said will not remove dividend and it’s easily maintained. LNG sentiment alone this thing is going to rise quite a bit you can tell but it’s a great stock and management seems to have this figured out now. The prospect of low NG storage and any cold storm this winter, this stock is going to rise really quickly.

Pengrowth, while the CEO didn’t seem very sharp and polished the company it self has some decent prospects. The biggest being they have 0 hedged for 2019, so if prices stay at current levels or rise there cash flow is going to increase dramatically. Currently all there 2018 production is hedged at $50 WTI, so you can see why stock has just been stagnant all year. And while they have 0 hedged for 2019 they do have 40% of there production hedged at $20 difference in WTI vs WCS (compared to today’s differences of 35-40 in the market.) Pengrowth still has a debt issue and it seems like that’s the focus now and not just growing at any costs because the market doesn’t want that anymore. It is going to take a full year in 2019 at these oil prices to see the companies balance sheet strengthen where they can actually grow and have lots of free cash flow and options going forward, 2018 complete year was a wash because of being completely hedged.

Questerre, is a speculative play but ran by a great CEO. The CEO is an industry pioneer and has some great ideas but the company needs a lot of dominos to line up. Without there Quebec play coming to fruition there just not investable. Didn’t like how all the daily trading volume is in ONSLO exchange and almost none in the TSX. They do have no debt and there Monteney play is positive cash flow so it’s not like company is in trouble by any stretch, but without Quebec it’s just a dead horse.

Trican Well, what an absolute disaster. I was most looking forward to this company and almost bought on Thursday and Friday but instead started to build bigger positions in gas producers because of LNG FID this week. You can see why the stock has sold off, with an institutional conference a few weeks ago in Toronto I can only imagine after there presentation everyone sold and that’s why the stock has dropped 20% plus this month. First off there Q3 results are going to be sooo bad and the CEO doesn’t even try to hide that. Debt is going to increase 40 million and they have sooo much idle equipment this year. They were hoping for a Q4 pick up and hired 70 workers for it but they have locked in so few contracts that there won’t be enough work for it and while the oil price has increased a lot this year they haven’t been able to increase there charges at all. There Q1 2019 prospects are bleak and there is no indication to them from there customers there going to increase much at all. The only positive is a stock buy back which they can start after next week. I am sooo glad I came to this conference, I will buy TCW in the mid $1 range by December, there next few quarter results are going to be terrible and the CEO was not optimistic at all.

Last thing this conference made me realize(I have a huge amount invested in Oil & Gas companies). That is if your not an insider your an outsider plain and simple. Going to these as a retail investor you get a small edge in this(Obv can’t control outside forces like commodity prices) but you can easily tell with body language and pointed questions which companies are making head way and which are spinning non sense. Overall great experience and unless Nat Gas prices take a hit in the market this week or storage build etc, gas producers should rise for a great quick trade at the minimum, LNG is a game changer and you can tell from these CEOs they know sentiment has become 90% the battle now.