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Athabasca Oil Corp T.ATH

Alternate Symbol(s):  ATHOF

Athabasca Oil Corporation (AOC) is a Canadian energy company with a focused strategy on the development of thermal and light oil assets. AOC’s segments include Thermal Oil and Duvernay Energy. The Thermal Oil segment consists of two operating oil sands SAGD projects and a large resource base of exploration areas in the Athabasca region of northeastern Alberta. These projects provide Athabasca with a material low-decline production base that generates significant free cash flow for the business. The thermal assets use steam-assisted gravity drainage (SAGD), which is an enhanced oil recovery technology for producing bitumen. The Duvernay Energy operating segment includes the Company's assets, liabilities, and operations located primarily in the Greater Kaybob area near the town of Fox Creek, Alberta. Its light oil assets are held in a private subsidiary (Duvernay Energy Corporation) in which it owns a 70% equity interest.


TSX:ATH - Post by User

Bullboard Posts
Post by matt2018on Nov 20, 2019 4:06pm
131 Views
Post# 30375525

Light vs Heavy

Light vs Heavy
The Light Oil is less than 5,000 bbls/day of Oil. The rest of the production is Gas which takes it to 10,000 bbs/day equivalent.  
The sales for the light division last qtr was less than $35M (ATH share).
That would really take you down to Jr. miniscule Oil company.
And once the carry money runs out and you have to kick in your half share of the drilling?

Netbacks on the heavy are improving. Diluent pricing coming down.
Revenue on the heavy last qtr was over $180M.
Too bad we had to sell the pipelines and storage assets.
That really added to the transport cost per bbl.
But there was pressure to beef up the balance sheet and they had to do it.
I hope ATH can keep all the assets and get up to $1Billion year revenue.
Then the stock would have to be re-rated.






Bullboard Posts