MEG Energy Corp T.MEG

Alternate Symbol(s): MEGEF

Energy Oil & Gas Refining & Marketing

MEG Energy Corp. is a Canada-based energy company focused on in-situ thermal oil production in the southern Athabasca oil region of Alberta, Canada. The Company is engaged in the development of enhanced oil recovery projects that utilize steam-assisted gravity drainage extraction methods to improve the economic recovery of oil. It transports and sells thermal oil (AWB) to customers throughout North America and internationally. The Company owns a 100% interest in over 410 square miles of mineral leases in the southern Athabasca oil region of Alberta, Canada and is primarily engaged in sustainable in situ thermal oil production at its Christina Lake Project. Christina Lake Project is a multi-phased project, located 150 kilometers south of Fort McMurray in northeast Alberta. It comprised of approximately 200 square kilometers of leases.

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MEG Energy Corp > Really? $96M in FCF.

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Comment by Cheadle12on Jul 22, 2021 7:37pm

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Post# 33594256

RE:RE:RE:Really? $96M in FCF.

fair point Eigen, the hedges brought them down. Once the debt is truly addressed, they'll no longer need to keep hedging. The lenders do demand it.. have to protect the downside.

have you run your future models on $4+AECO? MEG slurp up a lot of dry gas for steam gen. Can see costs rising there.

Eigen337 wrote:
FCF 'would of been' ~ $ 183 million in Q2/2021 if they were COMPLETELY UNHEDGED IN FIXED WTI and WTI/WCS Price Differentials !!!

I say APPROXIMATELY because there are a LOT of MOVING PARTS in the HEDGING LOSSES calculation (condensates, natural gas, power etc.) !!!

This is my opinion only.

Eigen337