RE:RE:RE:RE:RE:RE:RE:RE:RE:RE:RE:RE:RE:RE:RE:RE:RE:RE:Raymond James. C$2.30 PT Yeah ignore the fact they are on welfare still with 10-15 yr old fleet that are breaking down continuously and they need two machines ( one back up around the corner and 3 mechanics) to reliably do the job. May be debt free but deferred maint and fleet replacement is a $$150 MN liability at this moment and growing. All foreign capital that has driven 95% of W. Can O&G has left and not coming back.
Nikm10 wrote:
You just found your diamond the rough my friend so heres a short summary:
-Ignore everything firstworld says, major troll
-Trican is zero debt.
-Trican is the market leader in hydraulic fracturing in canada
-Trican is the market leader in cementing in canada
- Has not cannibalized any equipment and crews ramp up almost immediately
- Frac pricing is at around $200-300/HP right now and in 2014 was about $1000/HP, tcw has total 580,000 HP so.
- Well counts in 2021 and beyond are 35% more frac intensive than 2014 wells so when you look at well counts add 35% to that number to see where we are relative to 2014 levels, the proppant demand on well stimulation has increased a crazy amount, basically inflated the cost of each well but also providing crazy returns in production.
- Cementing follows rigs, so Q1 rig count equals Q2 cementing returns and Q3 fracking returns because fracking is predominantly done in the fall.
-2017-2018 we were $5 but that was at almost 50+ million shares more oustanding than currently and with about 100 million debt.
-2023/2024 - Demand surge for LNG will undoubtedly begin as the plant itself is supposed to start in 2024/2025.
Lastly: 80% of oil and gas wells in canada are currently hydraulically fracked and require far more cementing than days of old due to super long laterals.
Hop in and enjoy the ride!