Kakwa 200 million, Lets Dream for a SecondWhat would it realy cost ARX if they invested 200 million in Kakwa.
- Well they invested 75 million in Attache, and they do not have a sanctioned project.
- They invested 115 million in sunrise, for DRY gas, and we don't have a date for for that project coming on stream either.
Well if they spent 200 million on esentially what they have spend on project that will not add to the bottom line for a long time.
They could add 15% to ARX revenue numbers and what is that $2 dollars a share?
Then then could continue with all their other antics of wasting shareholder capital that they want to pursue.
Management sold off all the Take Away capacity at Kakwa My guess is this, ARX sold all that premium take away capacity VII Generations had at Kakwa, and are telling investors and board how smart they are, and how much money they saved by selling off the spare take away capacity.
Now they have to keep production flat, because if they increased production at Kakwa they would have to go back into the markets and buy that takeaway at much higher prices if it is at all available. They just wouldn't look as smart, or maybe the deal rational would not be the same. Likely seven generations plan was to ramp Kakwa back up and ARX management just wanted to squash that thinking and put and end to that opportunity for the company.
Its politics not good business the is holding Kakwa back at ARX resouces.
IMHO