RE:RE:RE:RE:RE:RE:Solid update
yes. Ridiculous price. FWIW fair value on my discount trading site was 16.00 last time I looked. Whatever fair value is the company paid off more than 3.00 per share in debt last year so all things being equal the asset value should be up by at least that amount year over year. I think the company should trade around the value in summer/fall of 2018 with current production and commodity prices. That would be 17-19 dollars per share. Slightly higher production (about 500 boe/d more) and about 160 million less debt on the balance sheet today.
I went through the update again quickly. Lots of debate earlier on the blog about return of capital. Right now they are guiding for 45-50 millino in free cash flow, an extra 40 million on drilling (to grow 10% on exit) plus starting dividends in Q4.
Starting to think I would rather see flat production, 60-80 million on an acquisition - with dividends still starting in Q4.
Nice to see op costs dropped 25% in Q4 - Q3 was an aberration so we are back to normal.