Discretionary Funds Flow = Increase Divvy Whitecap using 65 dollar pricing according to the presentation has 485 M Discretionary FFF . This means that can do what they like , it's discretionary!
At 75 dollars they have 62 M more so if we cut that in half or in the middle at 70 dollars we would have 31 Million more ( I am just doing ball park numbers here for example only )
So if they wanted to follow Tourmaline possibly they
could look at spitting out everything after 65 dollars. This I believe is just over 20 cents a share using there fully diluted share count of 640 M. !! Finally if we take 6 dollars for easy share price numbers and divide it into Tourmaline at 44. You basically have 7 plus shares dividing into that. So 7 times 20 cents is equivalent to 1.40 in relation to percentage of divvy to share price. Seems whitecap couid blow there's out of the water.
I will say if we could get a 1 penny increase , and a once a year divvy for all Discretionary money's after 65 dollars. I think I could be happy with that for this year.
Looking at there numbers , they could double the dividend at these levels and still pay down debt in a amazing amount of time.
This Q what has me concerned about there numbers is the capital allocation for there drilling program in this past Quarter , and how it will affect there profit per share. It might shade the news a bit. We will see.
If I am wrong about anything here. I am used to that. I don't mind being corrected. Here to learn !
Thanks
Craig