Wrong Bets. The knife cuts both ways. Hedges to protect crude falling kill any upside.
“..,Prime is continuing its hedging program to 2021 and as of Feb. 22, 2021, has sold forward or hedged 100 per cent of its first half 2021 cargoes at an average price of approximately $57 per barrel and 56 per cent of its second half 2021 cargoes at an average price of approximately $55 per barrel. These contracts are with counterparties, including oil supermajors and commodity trading houses with investment-grade credit ratings”
Brent crude where Nigerian oil is sold is pushing $70 (US). They are hedged & had sold forward crude at $55.0. Really dumb with the world economy firing up after Covid.09
No wonder AOI stock is dead. No upside. They should toss out the management on their butt. They are still trying to work out of the massive debts they got themselves into last year. What they got is just debts.