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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

Post by Farmer12on Oct 22, 2021 7:01am
164 Views
Post# 34036106

2020 oil vs 2021

2020 oil vs 2021Amazing how prices have changed in one small year. In April 2020 the Cushing average WTI price was ~16.50 U.S. and September and October around $39. Now the WTI price translated into Canadian dollars is around $102. Natural gas prices have also more or less doubled at most delivery points. This is a bonanza for most oil and gassers, but the market is still very hesitant and institutional inverstors are largely bailing. One lesson from the bust to boom story is that hedging and dealing with nervous bankers from a position of balance sheet weakness is foolish. In a cyclical commodity business your balance sheet must be pristine. Very low debt gives a company many more options at the bottom of the cycle, whether acquisitions, hedging, financing, etc. Having said that, it wouldn't hurt my feelings to get a dividend increase.
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