RE:RE:RE:Vermillion Energy is a Screaming Buy!Not quite - VET is 44% gas/ 56% oil/condensate/NGLs. The split is ~50-50 though when it comes to FCF.
TTF going up would be great, but the company seems to be more sensitive to AECO gas prices relative to euro (function of volume). It already looks like VET has at least an extra $100m of ffo to play with given WTI,Brent and AECO pricing (if they can lock it in... which they won't)... but might be some opportunityies for them to increased their Brent/WTI hedging which are at 3% and 13% respectively.
TTF being 75% hedged will do them good for 2020... and with late 2020/early 2021 gas prices trading around $7-$7.20 cad/mmbtu, I expect they will lock those up to make sure they don't get hit by any euro gas uncertainity and guarentee those healthy margins... let oil be the juice that drives returns over the next 12-24 months.