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Frontera Energy Corp T.FEC

Alternate Symbol(s):  FECCF

Frontera Energy Corporation is a Canada-based oil and gas company. The Company is involved in the exploration, development, production, transportation, storage, and sale of oil and natural gas in South America, including related investments in both upstream and midstream facilities. The Company has a diversified portfolio of assets with interests in 27 exploration and production blocks in Colombia, Ecuador, and Guyana, and pipeline and port facilities in Colombia. The Company’s segments include Colombia, Ecuador, Guyana, Midstream Colombia, and Canada & Others. Colombia includes all upstream business activities of exploration and production in Colombia. Ecuador includes all upstream business activities of exploration and production in Ecuador. Guyana includes exploration and infrastructure. Midstream Colombia includes the Company’s investments in pipelines, storage, port, and other facilities relating to the distribution and exportation of crude oil products in Colombia.


TSX:FEC - Post by User

Post by liquorwolfon Jan 01, 2022 10:07am
337 Views
Post# 34275882

Is there a disconnect between FEC and OYL

Is there a disconnect between FEC and OYLFEC owns approximately 80% of OYL, or $672mm, reflecting 67% of their market cap. If you crunch the numbers $840mm value of OYL or 20% equates to $4,2 billion.  FEC has a market cap of $1billion. So just subtracting the $672mm from $1 billion you get $328mm for a company with a cash flow of $300mm producing 40,000 bpoe a day. FEC is loaded with cash as reflected in their two bolt on acquisions.. Total debt of only $400mm.  

Please give your take on this analysis which will be gladly accepted. Not trying to diss anyone here nor advise anyone to buy or sell. 
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