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Prairie Provident Resources Inc T.PPR

Alternate Symbol(s):  PRPRF

Prairie Provident Resources Inc. is a Canada-based company engaged in the exploration and development of oil and natural gas properties in Alberta, including a position in the emerging Basal Quartz trend in the Michichi area of Central Alberta. The Company has 167,869 net acres in its Michichi core area with approximately 40 Basal Quartz potential drilling opportunities targeting light/medium oil. Its core areas also include Princess. The Company's subsidiaries include Prairie Provident Resources Canada Ltd., Lone Pine Resources Inc., Lone Pine Resources (Holdings) Inc., Arsenal Energy USA Inc. and Arsenal Energy Holding Ltd.


TSX:PPR - Post by User

Comment by auburn2on Feb 26, 2019 2:33pm
67 Views
Post# 29415576

RE:RE:What Did They Say?

RE:RE:What Did They Say?We know what they expect to cash flow based on the budget. You need to look at how much capex is required to realize the NPV of the reserves. They don't have the capital. For example, the report calls for in 2019 $46.9 million for proven reserves and $47.8 million for probable. In 2020 it's even higher: $81.6 million for proven and $111.5 million for probable. Meanwhile at these oil-gas prices they can't make any dent against their debt load, so they're at the mercy of the lender. That's why they have to hedge aggressively. Not being able to pay off even a fraction of the debt is worrying, isn't it?

Pacman101 wrote:

This market is Crazy
6,650 BOE/d say approx 350.000 USD $ pr day sales

Lets say a year is only 350 days =  is roughly 122.500.000 USD $ sales a year
(Just pretend it's all oil)
And the company is valued at approx. 35 Mill CAD $ Thats 26,3 Mill USD $
...... ?
I know theres some debt.... but there is also $$$$ in the ground tooo !


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