RE:oil goes up and weStockhudson wrote: go down I think we make money on every dollar over $55 oil so we are profitable to a certain extent now but as oil goes to $80 we go to $3 it is hilarious but it is always in top ten of volume so something is not right the debt is there as everyone loves to push but is improving as we speak Just my opinion good luck to all
keep in mind Q3 that just ended will likely show a loss on the quarter due to hedging and only half a quarter of RRX and acquistion costs - Revenue will be higher and free cash flow higher, but I expect a small loss - similar to last quarter or a little less loss.
Q4, will also be tempered with hedges - they'll have an entire quarter of RRX so I think we'll see a profit, a jump in revenues and increased free cash flow, but still around 30-35% hedges with RRX - should be profitable, but hedges will iimit this
Q1 is where the profits kick in with big jumps in free cash flow - hedges fall to around 10% and $10 higher on those hedges - this is where we see good numbers and we also see debt getting paid down in Q3 and Q4 and a lot in Q1 with some rising production
if oil stays in the $70's they'll start making a decent dent in debt