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Yangarra Resources Ltd T.YGR

Alternate Symbol(s):  YGRAF

Yangarra Resources Ltd. is a Canadian junior oil and gas company engaged in the exploration, development and production of clean natural gas and conventional oil. The Company has its main focus in the Western Canadian Sedimentary Basin. The Company has developed its land base to target the halo Cardium at Ferrier, Chedderville, Cow Lake, Chambers, O’Chiese, and Willesden Green with a focus on exploiting the prolific bioturbated zone as part of the entire Cardium package.


TSX:YGR - Post by User

Comment by SecondhandGnuson Dec 26, 2022 6:14pm
123 Views
Post# 35192046

RE:RE:RE:RE:RE:RE:RE:RE:RE:RE:Encouraging Well

RE:RE:RE:RE:RE:RE:RE:RE:RE:RE:Encouraging Well

Kavern and Rex, your interesting debate has got me thinking in terms of a forestry analogy, where woodlots are valued differently (assuming no development potential) depending on the value of the species and maturity thereof.  Studwood/lumber is more valuable than pulpwood, which is worth more than firewood. High growth/value (think Montney) is worth more than lower growth (Deep Basin or untouched Cardium) vs lower flow areas with lots of existing vertical wells (older Cardium).  

I'd put Yangarra in the 2nd category, while Bonterra is more in the 2nd/3rd hybrid. I own YGR since they are both priced the same, and while both can handle their debt, Bonterra's is a bit higher (and ARO is significantly so).  YGR has more growth, but it has disappointed multiple times on production. BNE is on my radar because it's hated (almost a cigar-butt stock), has a corporate history of dividends (possible future re-rating when restored) and its P/CF is comically low. If YGR didn't exist I'd happily invest in it.

I think both are judged as high-risk companies, yet they are actually relatively low-risk due to their relative misprising--my guess is that YGR is a mid-2023 story, while BNE is more early 2024. Best wishes to you both, and special thanks to Kavern for your invaluable Cardium company analyses.

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