ARC Management Lacks the Support of Economic ReasoningDawson, before the merger was around 60,000 boe a day, then are decided they woudl group in Parkland, and Tower into what they now call Dawson, These seperate plays put into one bucket for reporting purposes but each having it own infastructure and own different play variables and independently are small potatoes, small footprint play areas.
Dawson is really a ( Dawson Play + Parkland Play + Towner Play) they are not integrated, the infastructure in not integrated, they are all small scale, and their economics combined do not compare with Kakwa.
This is what Kakwa looks like, ARC management has never managed a resouce of this quality and scale ever before.
So the economics of the three plays Dawson + Parkland + Tower, have three set of operational enviroments.
ARC needs to grow up, and man up for the opportunity at Kakwa rather then squander capital in inferior projects like DAWSON complex, with inferiror returns.
Kakwa clearly has better economics by a country mile, their pursuit is declines, and they don't have a economic rational to support their endeavors.
IMHO