RE:RE:Scotia calls for a FCF Beat in Q4 - Graphs and detailThanks FT,
Yes... scotia has suggested that their Capex would run above 300M... which I think is fine given the production success and the prices of marginal unhedged production. That said, I was in SDE when it was punished for purchasing Velvet and they moved from a net cash position to debt... and the Market seems to be very anxious about taking on too much growth. That said, interest appears to be picking up in the sector... and that should help.
Congratulations on the 15% trim... I should likely do the same with some of our position... it's just that I has lagged most of the other names...
I just looked back on an extensive sensitivity analysis that Scotia did on SDE... that illustrates how much potential this thing has in the future. For example at $85 WTI and Strip Gas (Circa November 2021) the implied price is $25.01 at 5x EV/DACF.
I cannot post it due to formatting issues, but I will send it to you... or anyone who wants it if they send their email to me.
GLTA... especially those long SDE.