GREY:DPGYF - Post by User
Post by
exprohibition18on Oct 31, 2019 6:12pm
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Post# 30294651
Luminus stepped up to snatch equity in ultra indebted DEE
Luminus stepped up to snatch equity in ultra indebted DEEwhat does that tell us? they were successfully recapped at what may be the darkest hour for Canadian juniors with BXE in CCAA and all reporting data today reflecting the aeco lows still .
To me- of course ill take the bullish take- and suggest that funds are seeing the value proposition and are willing to engage even messier situations at the right price. Otherwise DEE would have folded/been dissolved.
Now CQE looks a S-T prettier on many metrics than DEE imho. Reserves are still considerable , debt at DEE for similar production was about DOUBLE (way over 100 mll) etc etc. They got strong pricing at Chicago for NG however with Aeco improvements CQE leverage can certainly emerge. We still have a very robust infrastructure asset that may be monetized at some point if market returns -to deliver a needle moving impact -particularly with 40MM shares.
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