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Gear Energy Ltd T.GXE

Alternate Symbol(s):  GENGF

Gear Energy Ltd. is an oil-focused exploration and production company. The Company carries on the business of acquiring, developing and holding interests in petroleum and natural gas properties and assets. Its operations are located in three core areas: Lloydminster Heavy Oil, Central Alberta Light/Medium Oil and Southeast Saskatchewan. The Company is also engaged in focused on improving oil recoveries through the application of water flood technology. The key properties in the Central Alberta Light asset include Wilson Creek, Ferrier, Killam, Drayton Valley, and Chigwell.


TSX:GXE - Post by User

Comment by Roscoe747on Jun 06, 2022 1:48pm
127 Views
Post# 34734694

RE:RE:Analysis of Nuttal on VET

RE:RE:Analysis of Nuttal on VETRetail and Funds have completely different objectives and exit strategies. Fund managers have an 'end of year' horizon to book profit while retail has the luxury of time. Funds have the benefit of substantial data collection and specialised computers capacity while retail is always a day late and a dollar short.

Sites like this are for sharing info and entertainment, not market decision making. The conclusion I draw from the latest news is that the market is not pleased with GXE's plan to withhold 70% of free cash flow from shareholders. Promises of buybacks or special dividends are not the same as declaring them and accelerated growth, whether drilling or acquisitions are not shareholder returns.

Gear needs to better define their shareholder return policy because the market sees too many opportunities for management to squander the free cash on growth initiatives. While I have a certain amount of faith in Gear's ability to further define its shareholder return policy at the Q2/22 release, obviously, the market does not.

This vague release about 450 wells and infrastructure certainly lends no confidence in  GXE's disclosures.
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