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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 13, 2021 7:47am
143 Views
Post# 32983510

RE:Buybacks v debt payoff v higher divvies v more production

RE:Buybacks v debt payoff v higher divvies v more productionIf they did not buy a single share under $2, why would they buy at $5?
Buying 9 or 10 million shares under $2 at a cost of $15m instead of ditching it in capex was the greatest opportunity in years for Peyto, much better than drilling projects with 60%+ IRR like they claim.
They remained silent and did nothing....zzzzzzzzzzzzz.

So now, less than a year later, it would make more sense to buy back shares at $5?
Certainly not for me.

Unfortunately, once again, Peyto management are missing the opportunity of stronger Natgas prices during Q1 to reduce debt, and getting out of this nasty leveraged position. Hopefully, Natgas prices won't collapse during summer.

Yasch, "...Just by escaping the covenant penalties imposed last year, Peyto should be able to knock off about $4m per year."

You probably meant $4m per Q?

Not many participants in the survey, not meaningful anyway.
I guess many posters/shareholders gave up...







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