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Surge Energy Inc (Alberta) T.SGY

Alternate Symbol(s):  ZPTAF | T.SGY.DB.B

Surge Energy Inc. is a Canada-based oil focused exploration and production (E&P) company. The Company's business consists of the exploration, development and production of oil and gas from properties in Western Canada. It holds focused and operated light and medium gravity crude oil properties in Alberta, Saskatchewan and Manitoba, characterized by large oil in place crude oil reservoirs with low recovery factors. It offers exposure to two of the five conventional oil growth plays in Canada: the Sparky and SE Saskatchewan. It holds a dominant land position and is drilling a mix of horizontal multi-frac and horizontal multi-lateral wells in the Sparky area. Sparky is a large, well established oil producing fairway in Western Canada. SE Saskatchewan is a focused operated asset base with light oil operating netbacks. SE Saskatchewan operates low-cost wells with short payouts and offers potential for continued area consolidation.


TSX:SGY - Post by User

Comment by zack50on Jan 27, 2022 9:41pm
209 Views
Post# 34369561

RE:RE:RE:SURGE = $350,000,000 CASHFLOWS 2022, $12.75 PT

RE:RE:RE:SURGE = $350,000,000 CASHFLOWS 2022, $12.75 PTMorrisminiman... here's what PC said in his presentation...

It is Surge's intention to institute a dividend using ~$30M to $40M of the $130M FCF that has been generated thur far. If we use today's closing price of $6.35 p/s, then his reference of an 8% yield would translate into ~$0.52 p/s annual dividend or $0.13 p/s quarterly.

Of course it might be a one-time "special" dividend of $0.52 in May, but I'm thinking the prior scenario is what they are suggesting. I would imagine as long as oil stays in its present price range, the dividend is easily sustainable.

I certainly do like his reference of the NAV of $18 p/s... bring it on!
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