RE:RE:RE:RE:RE:RE:RE:RE:Yay! about F’n time, next stop $1.50 ?The issue I found is the non production related expenses are sky high, at least $160M per year. SG&A, interest, abandonment, etc etc etc At 65K boepd, that $6.75 per boe. If they let production slide further say to 55K, it becomes $8 per boe. Can't make money at less than $53-55 WTI with #s like that. It's the problem of having too many assets and so much debt. Also they have very significant processing and transportation commitments, could be as much as $10/boe for 2021 and 2022 depending on volume (similar to NVA, mind you they just re-negotiated). So they can't afford to let volume slide further. Why a KEY mezz loan would make so much sense.
jspaceman wrote: they still plan to burn cash drilling wells in 2020 2h. buying back shares has been a a collasal waste of money.
if they can ever reduce their massive debt AND start producing more cash than they spend, then a buyback would be ok.
they have two big things they need to do first. until then they are a $2 stock.
Raymondjames wrote: Ultimate play here is to shrink the outstanding shares by the time this is free cash flowing and pay a dividend. If the company doesn't want to buy back its' shares, why should we.