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Kelt Exploration Ltd T.KEL

Alternate Symbol(s):  KELTF

Kelt Exploration Ltd oil and gas company. The Company is focused on the exploration, development and production of crude oil and natural gas resources in northwestern Alberta and northeastern British Columbia. The Company's assets are comprised of three operating divisions: Wembley/Pipestone in Alberta; Pouce Coupe/Progress/Spirit River in Alberta, and Oak/Flatrock in British Columbia. The Company’s British Columbia assets are operated by Kelt Exploration (LNG) Ltd., a wholly owned subsidiary of the Company.


TSX:KEL - Post by User

Comment by PabloLafortuneon Mar 25, 2022 9:11am
73 Views
Post# 34544639

RE:RE:RE:RE:6 reasons why IMO Kelt is best kept secret in small cap E&P

RE:RE:RE:RE:6 reasons why IMO Kelt is best kept secret in small cap E&PHonestly, I'm skeptical of any WTI price projections. Short term supply demand looks bad esp for diesel and Europe thus Brent. Beyond that who knows. So many variables. My own adjusted netback projection for Q1 is $34, probably even better in Q2 (less hedges, WTI potentially $20 higher than Q1's $94ish), depends on their oil mix. As a matter of fact, im quite certain they could (not saying they should) hedge all of 2022 and virtually guarantee $35 or higher netbacks. Whole industry like that I believe. The story remains one of relative value short term and intrinsic value long term. EV/CF is lower than others and basically no value assigned to Oak in general and any finds (eg Wembley D1, Oak middle montney). For 2022 they still have the advantage of less bad hedges and no debt. 2023, I expect peers to also be debt free. Beyond that, its the plays - quality and size - and use of funds (short term divis and ncib boost stocks but long term its cashflow). They also control the BoD so no cheap buyouts.......i sometimes wonder if this could have happened had they not sold Inga... Im skeptical to sell but may buy more if theres a correction.
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