From VET President on BNN From Stockwatch Energy courtesy of loonietunes:
"Mr. Tonken was not the only one making use of BNN's promotional reach. President Dion Hatcher of Vermilion Energy Inc. (VET), up 12 cents to $21.03 on 1.73 million shares, gave his own interview to the network this morning. Rather than discussing a windfall for investors in the form of a 900-per-cent dividend increase, however, Mr. Hatcher was there to soothe investors' ruffled feathers over a 33-per-cent windfall profit tax in Europe, where Vermilion is a sizable gas producer. Its stock has lost about one-third of its value since the tax was announced last fall.
Mr. Hatcher also made his case in numbers. He noted that the tax does not apply to gas prices below the Canadian-dollar equivalent of $15. Prices are currently around $30, so the tax applies to the extra $15 and works out to around $5. Ultimately, Vermilion is still realizing prices of around $25, which is more than eight times what it would be getting in North America, pointed out Mr. Hatcher. His conclusion was that the business remains "robust." He acknowledged, however, that the abrupt implementation of the tax shook investors' confidence in Europe as a stable place to do business. "The market obviously doesn't like uncertainty," he sighed. Based on today's lukewarm trading, the market's mood has not thawed."
I don't expect the markets mood to thaw until VET can demonstrate its FCF in cold hard numbers with hopefully some debt reduction. A Corrib closing would be nice too!
GLTA Longs