RE:RE:RE:RE:RE:RE:RE:SomedayThe lenders are openly hostile to oil and gas companies, especially the small producers. This is why it is so important to rid ourselves of the lenders. What was an acceptable debt level 10 years ago is not relevent going forward in the era of ESG lending covenants.
The playbook for Bonterra is the most simple in the entire sector, pay down the debt, and pump cash out of the ground. No buybacks needed. Nearly 20 years of inventory. With our small float, we generate $2.30 of free cash flow per share at $60/$3.50. Depending on the investor's age, I could see Bonterra supplementing an investor's retirement income.
For optionality, they even appear to have Montney assets in northern B.C. So I say, once the debt is taken care of, half of free cash flow to dividends, and the remaining to developing these natural gas assets.