RE:RE:Transcript from Seeking AlphaYes, patience is required for Peyto and many others too.
I have done well with GXE and VET and CR which is still a large position.
But once these other ones do their thing they may only be one trick ponies. A small company like GXE only has a certain amount of land and production. Soon to be debt free then where do they go? The price of oil is certain to weaken at some point similar to the $130 to $108 recent drop.
VET is a different animal, not sure I like management much for information is sparse. They are riding this wave for now.
Maybe the downside for PEY is a lot less going forward for most and this can have its advantages also. Even if it drops a bit it can rebound fairly fast going forward. Their base of assets is constantly growing and is what creates their efficiency.
You have to applaud them for the trust and contacts they have with their drillers and service companies. Being able to increase to five rigs at good prices for both is key to a long term relationship. As long as both are making good money it works well.
Hula you are right about how they may be perceived by the institutionals but I wonder how much of that is working out for anyone out there. The index funds have to invest in all oil and gas that are in the various indexes and these percentages for oil and gas are growing as tech stocks drop and oil and gas prices rise. Always nice to be on the right side of the curve.
It is hard to hold cash right now instead of having oil and gas positions.