Athabasca Oil Corp T.ATH

Alternate Symbol(s): ATHOF

Energy Oil & Gas E&P

Athabasca Oil Corporation (AOC) is a Canadian energy company with a focused strategy on the development of thermal and light oil assets. AOC’s segments include Light Oil and Thermal Oil. The Thermal Oil segment includes the Company’s assets, liabilities and operating results for the exploration, development and production of bitumen from sand and carbonate rock formations located in the Athabasca region of Northern Alberta. It also consists of two operating oil sands steam assisted gravity drainage projects and a resource base of exploration areas in the Athabasca region of northeastern Alberta. The Light Oil segment includes its assets, liabilities and operating results for the exploration, development and production of light crude oil and medium crude oil, tight oil and conventional natural gas. Its Light Oil segment consists exclusively of the Duvernay in the Greater Kaybob area with about 155,000 gross acres across Kaybob West, Kaybob North, Kaybob East and Two Creeks.

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Athabasca Oil Corp > Weak Management

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Comment by MarkG1963on Oct 07, 2021 5:36pm

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Post# 33985703

RE:RE:Weak Management

I was expecting 8%. Regardless the difference between 9.75% and a "good rate" is minor considering the outlook for oil in the coming years. This debt could be paid off in a few years if they want. Ath should do as well if not better than any other Jr Canadian oil stock.

maramos98 wrote:

I'm assuming the lenders structured the deal with the expectation of a quick payout on the loan.

The total interest on a 5 year, 350 million loan at 9.75%/per year paid monthly is ± $89,000,000

Lender looking to recoup the potential lost interest through the warrants.

Company can reduce dilution by forcing a cashless excersie of the warrants (not sure if this is a lender option or an ATH option)