RE:RE:Corporate Presentation - January 13, 2023PreludeSH wrote: Thanks for the link...for me the key takeaway is that they ended Dec 31,2022 with $330M in net debt. For the full year, they reduced net debt by $50M, which means to get to their Phase 2 of the Capital Return Framework, it will take another year and a half, based on the run rate of the prior year. Hope this prior year run rate is not indicative of what they are paying down now.
2023 Exit net debt to exit cash flow from operating activities = 0.7X
$335M cash flow X 0.7 = $235M net debt
They could be under $250M debt and into Phase 2 by Q4 of 2023.
The Presentation Net Debt numbers changed by $50M dollars but that is for Dec 2021 vs Dec 2020. The updated Dec 2022 debt numbers have not been released yet.
The Key Growth Driver page for SE Saskatchewan for Winter 2023 vs Summer 2022 shows:
OOIP increase from >250 M barrels to >400 M barrels
Production increase from >5000 boe/d to >7500 boe/d
Cash Flow increase from >$115 M to >$150 M
Sparky has also increased from >9,000 boe/d to >11,000 boe/d since their last presentation. NAV should increase when their year end 2022 numbers are released.
If they keep drilling highly profitable, low cost, low risk wells that payout in 2 months; someday their share price will reflect this.