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Seven Generations Energy Ltd. class A common shares T.VII

"Seven Generations Energy Ltd is an independent energy company focused on the acquisition, development, and optimization of high-quality, tight rock, natural gas resource plays. The company employs long-reach and horizontal drilling to produce resources of natural gas, condensate, and natural gas liquids. In addition to drilling operations, Seven Generations owns several gathering lines and processing facilities. The company depends on a skilled technical and business team to identify, capture,


TSX:VII - Post by User

Post by retiredengexecon Jan 15, 2021 11:37am
189 Views
Post# 32306166

HPs View on Management

HPs View on Management HP for once I agree with you on their management almost. They have in fact changed out all of their engineering and operations management with personnel from CNRL. they brought in David Holt as COO, recently Jordan Johnsen left as VP Engineering. He was a young guy with no other company experience, Barry Huscik the drilling VP left and they finally got rid of two less than stellar managers of construction and completions. The results that D and C costs are down by 4.5 million per well. Same for opex which is 4.75 bucks per boe. In this regard VII is way better than than POU. POU built a gas plant at KARR that they sold to PPL that took two years to build. As to the extra gas plant, this one was on Marty and Pat Carlson and the transition with Chris Law in charge. If you can believe the corporate model was Laws spreadsheet. It was based on a 300,000 boepd company. Remember Carlson was a promoter. The reason is not due to higher gas oil ratios. Yes the condy ratios are dropping slightly but that occurs on all wells as pressure drops even POUs wells. I can can do a technical missive if you want. As to tight oilwells they will make fewer boes than a condy well which will make less than a well in a rich gas area of the reservoir. That's why VII drills most wells in nest 2 and not in 1 and 3. As I have said before they are too timid in delineating the lower Montney which i would say is an indication of weak leadership. Now getting back our mutual agreement, I think the CEO is the weak link in the company and should be changed out. I think they have a great asset but weak focus, ie missing out on Modern. So we are mostly on the same page.
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