RE:Don't know how hedge work They only hedged roughly 50% of production to protect themselves, like pretty well every other small cap oil company, no human can fortell the future and if they were not to hedge anything they would be very unwise after dealing with low oil prices, it keeps them floating well above water. With rising oil prices it brings them even more profit. I don't see it as a negative at all but a smart management decision. The companies that fail take the unnecessary risks and don't stay in the game. Surge has been in the game for a long time through all the downturns cause they are smart.