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ARC Resources Ltd T.ARX

Alternate Symbol(s):  AETUF

ARC Resources Ltd. is a Canadian energy company. It is focused on the exploration, development, and production of unconventional natural gas, condensate, natural gas liquids (NGLs), and crude oil in western Canada. Its operations are focused in the Montney region in Alberta and northeast British Columbia. Its operations in Alberta are located near Grande Prairie and the region includes Kakwa and Ante Creek. Kakwa is a condensate-rich and high-deliverability natural gas play with top-tier development opportunities. Its operations in northeast British Columbia are located near Dawson Creek and the region includes Greater Dawson, Sunrise, Attachie, and Septimus and Sundown. The Greater Dawson operating area includes Dawson Phases I, II, III and IV and Parkland. The Attachie is a condensate-rich, natural gas play primed for large-scale development. Sunrise is a dry natural gas play with a low-cost structure, well deliverability and direct connectivity to liquefied natural gas Canada.


TSX:ARX - Post by User

Comment by MyHoneyPoton Jun 16, 2021 4:06pm
95 Views
Post# 33396684

RE:Food for thought

RE:Food for thoughtI would not be that quick and bold to say your speak for most investors, in fact i would argue the case your entirely WRONG, and if most investors like the management and their plan this stock would be trading significantly higher. 

78.3 Percent of ARC's liquids reserves are held in Kakwa and significantly more than 50% of the share holders are not original ARC shareholder, they are here because they liked the Kakwa investment,  They are not a fan of dry gas, the majority of old ARC's production. 

To watch Kakwa initial budget of 1.1 billion in 2020 fall to 525 million in 2021 in the best liquids play in the entire montney, i guess all of those share holders are immediately in love with management. Especially while they watch all the liquids rich surrounding players double and triple and even quadruple in share value. 

So the share price lingers becasue management is so far off side with the majority of the share holder base, and investing their money in the wrong places. Move over  a message to the original ARC shareholders, new investors think your management story stinks, and they are selling off their shares. . 

2% debt, the benifit of paying off 2% debt is almost zero. 

Cash Flow, if the get Kakwa up 40,000 boe they will increase the entire company fundflow by 15%, that has a lot more value than paying down 2% debt. 

In fact at 70 dollar wti, i expect the company has already met their debt reduction objectives.

My guess is overall the people who might think ARC management is doing a great thing, domt know how to read a balance sheet, but do know how to spell swaear words on the internet using special characters. That is what i have witnessed. 

IMHO
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