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Peyto Exploration & Development Corp T.PEY

Alternate Symbol(s):  PEYUF

Peyto Exploration & Development Corp. is a Canadian energy company involved in the development and production of natural gas, oil and natural gas liquids in Alberta's deep basin. The Alberta Deep Basin is a geologic setting situated on the northeastern front of the Rocky Mountain belt in the deepest part of the Alberta sedimentary basin. It acquired Repsol Canada Energy Partnership (Repsol Assets), which included around 23,000 barrels of oil equivalent per day of low-decline production and 455,000 net acres of mineral land. The acquisition includes five operated natural gas plants with combined net natural gas processing capacity of around 400 million cubic feet per day, 2,200 kilometers (km) of operated pipelines, and a 12 MW cogeneration power plant. These assets include Edson Gas Plant and the Central Foothills Gas Gathering System. The Company has a total proved plus probable reserves of approximately 7.8 trillion cubic feet equivalent (1.3 billion barrels of oil equivalent).


TSX:PEY - Post by User

Comment by MikeySwooshon Jul 05, 2022 2:02am
189 Views
Post# 34800942

RE:RE:Predictions for Thoughts on Next Dividend Increase

RE:RE:Predictions for Thoughts on Next Dividend IncreaseI'd much rather see Peyto pay down the remainder of the revolver, given where interest rates are heading, before entertaining another dividend hike. Their fixed debt sits at ~$415M, so there would be a ways to go, but I think prudence is the name of the game given inflation and the nature of commodity prices and sentiment right now. I sold some Birchcliff puts to hedge against the royalty exposure and bad hedging that Peyto entered into. I'm comforted by the fact that their dividend policy is to pay off debt before paying meaningful dividends. Hopefully Jeff and the BOD follow through with that commitment.
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