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Peyto Exploration & Development Corp T.PEY

Alternate Symbol(s):  PEYUF

Peyto Exploration & Development Corp. is a Canadian energy company involved in the development and production of natural gas, oil and natural gas liquids in Alberta's deep basin. The Alberta Deep Basin is a geologic setting situated on the northeastern front of the Rocky Mountain belt in the deepest part of the Alberta sedimentary basin. It acquired Repsol Canada Energy Partnership (Repsol Assets), which included around 23,000 barrels of oil equivalent per day of low-decline production and 455,000 net acres of mineral land. The acquisition includes five operated natural gas plants with combined net natural gas processing capacity of around 400 million cubic feet per day, 2,200 kilometers (km) of operated pipelines, and a 12 MW cogeneration power plant. These assets include Edson Gas Plant and the Central Foothills Gas Gathering System. The Company has a total proved plus probable reserves of approximately 7.8 trillion cubic feet equivalent (1.3 billion barrels of oil equivalent).


TSX:PEY - Post by User

Comment by houbahopon Apr 06, 2020 7:43am
86 Views
Post# 30882037

RE:RE:RE:RE:RE:Last Conference Call Transcript

RE:RE:RE:RE:RE:Last Conference Call Transcript
Yasch, Yasch, Yasch, aren't you taking my words out of their context:

..."You're saying basically that PEY has raised that debt mainly as an unsustainable means of paying the hungry dividend-seekers."

What I said is:

The argument of dry powder is a smoke screen simply because it does not make any sense and it is absolutely in opposition with their logic applied to their dividends policy.

In other words using your words:

***..."You're saying basically that PEY has raised that debt because they were unconcerned about keeping dry powder when paying the hungry dividend-seekers."

Do you see the distinction here? The argument from the beginning is focused on keeping dry powder. Sure part of the borrowing went for capex and create value for shareholders, but this is not the point. The point here is they kept paying dividends $10m over what the operation could afford quarter after quarter for most of 15 years without using the "dry powder argument".

They are using it today as a reason to stay on the sideline with the NCIB.

This is what I call lack if consistency.

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