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Athabasca Oil Corp T.ATH

Alternate Symbol(s):  ATHOF

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.


TSX:ATH - Post by User

Comment by cahclickon Oct 29, 2021 9:33am
187 Views
Post# 34062592

RE:On a more positive note

RE:On a more positive note

 

Ya but what about them hedges




Maxmoe wrote: This stock has very very long reserve life. For the sake of analysis, using rounding, the Enterpise value is 500 million from Ltd and 500 in mkt cap = 1billion. With the same stroke of a pen that wiped out $500 million in assets in 2020, that asset write down can be reversed and POOF! Asset value goes from $1 B to $1.5 and that all is attributable to equity, not debt, so share price goes up by $1. Ho hum another double. AND if they pay down the $500 million in debt, the asset value is also still $1 Billion, but with no debt, the equity value goes up $1 to get to, ho hum, a double behind door number 2. OR if they pat down the debt AND reverse the write off the equity value goes to $1.5Billion with no debt, is $3 a share. YAWN! A triple. Now don’t get me going on cash flow yield or dividend potential.GLTA and do your own DD.

 

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