Pine Cliff Energy Ltd T.PNE

Transition to a dividend paying company!

[zack50]

Back on March 24/21, I was fortunate enough to pick up 25K shares of PNE at $0.29 each. To say I'm a happy camper would be an understatement for sure! It's been a great ride with this little play over the past year! While the annualized dividend of $0.10 has a 5.3% yield on today's closing price of $1.87, the initial declared dividend will reap me a payout of $2500/year for an annualized yield of ~34%. As long as PNE gives me this type of yield, I'll be a shareholder for a long time. As we know, and hope, the sustainibility of the dividend is key!

A couple of things are worthy of mention...

* Very little, if any new supply... a lack of services and companies not growing, but rather they are wanting to pay down debt... big demand vs low supply will serve to drive the NG price higher... we are now at $8.83.

* This in turn will allow for excessive cash flow and hopefully PNE will continue to pay down debt... not much left now... and continue to pay a dividend to its shareholders with moderate increases or a "special" dividend as FCF permits. Some prudent acquisitions along the way would be welcome as well. Share buybacks are not an issue as PNE is heavily owned by insiders and it's important that PNE maintain its liquidity.

I mentioned before that the model that Mr. Hodge has presented for PNE is one of a "knight in shining armour". In my opinion, PNE has all the goods and barrels of $$$. Btw, in a market shrowded in RED today PNE was GREEN as it added another 4.47%... the market liked the Q1 results and PNE garnered some investor interest.

All looks good for a Q2 that will be superior to Q1... I'm excited for what lies ahead. As PH said... "2022 is a pivotal year for Pine Cliff".