Whitecap acquisition of XTO Canada
After reading the news release I have a bunch of highlights I'd like to share with you all. First, this is all cash, financial deal, no shares to be added to dilute the float. Second, it's a 4 year loan , at 1.7 Billion debt added, to be paid in that time frame. Third, 672.000 additional acres of prime land in the Monteney, kakwa, Dunverny plays with over 2 000 tier 1 drilling locations. Fourth, over 20 years of added inventory with proven production. Fifth, the acquired lands to be developed to increase production from 32,000 to 50 - 60 000 bpd. Think about this, recently some of the smaller Canadian producers eg, Crew, Cardinal, Athabasca and some others were had their market caps running 1 billion - 3 billion. Some of those companies produce from 20,30,40, 000 bpd with some producing more nat gas than oil. You want to buy a producer like Crew for example, they produce roughly 30,000 bpd, mostly gas, are they going to sell their company for a Billion or are they going to ask much more? After you read the news release the more you will understand how the made a great deal. This will definitely turn Whitecap into a major player within the next 3 years and with the dividend being increased next month for August payment with a just under 7 cents next year that's more than 100% increase. within 12 months. I'm not going to get wrapped up with the day to day noise or price swings with this stock anymore. If this stock doesn't reach $20 by this time next year I'll be shocked, we shall see. .