RE:RE:RE:Divvy in dangerNo, I'm well aware of GXE's looming reserves conundrum. The issue today is that time is ruuning out on a creative solution and the FCF narrative to support a long term dividend on maintenance capital has, as yet, failed to materialise.
To me, the SP failing to hold at a loonie is directly caused by the threat of dividend suspension. I do not believe the SP will drop to $.60 rather the SP has already discounted the dividenf and the market considers a dollar fair value. Returning cash to shareholders has proven premature and, failing the fulfillment of the FCF narrative in the immediate future, GXE needs to ensure reserves replacement for 6kbbl/d long term.
Using CF to drill DUC deliniation wells or advancing waterfloods makes more sense at this present time than returning cash to shareholders and will do more to advance the share price than squandering it in pursuit of a dividend policy constantly in the shadow of the guillotine.