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ARC Resources Ltd T.ARX

Alternate Symbol(s):  AETUF

ARC Resources Ltd. is a Canadian energy company. It is focused on the exploration, development, and production of unconventional natural gas, condensate, natural gas liquids (NGLs), and crude oil in western Canada. Its operations are focused in the Montney region in Alberta and northeast British Columbia. Its operations in Alberta are located near Grande Prairie and the region includes Kakwa and Ante Creek. Kakwa is a condensate-rich and high-deliverability natural gas play with top-tier development opportunities. Its operations in northeast British Columbia are located near Dawson Creek and the region includes Greater Dawson, Sunrise, Attachie, and Septimus and Sundown. The Greater Dawson operating area includes Dawson Phases I, II, III and IV and Parkland. The Attachie is a condensate-rich, natural gas play primed for large-scale development. Sunrise is a dry natural gas play with a low-cost structure, well deliverability and direct connectivity to liquefied natural gas Canada.


TSX:ARX - Post by User

Comment by northmanon Aug 03, 2023 7:06pm
167 Views
Post# 35572298

RE:RE:Debt

RE:RE:DebtSo here it is:

1. Interestingly I believe there is some kind of calculation error on their financial statements currently. Their long term debt should be $992 million, not $1.122 billion.Look at note 7 on their financial statements and compare it to how the Dec. 2022 calculation was made. Wonder what the heck is going on there.
2. Net Debt = short term + long term debt - cash and cash equivalents, so it is kind of in flux on a day to day basis
3. Cash - notice how they have almost no cash on the balance sheet? Treasuries at companies like this will often maintain as close to a zero balance as possible in their account. When a big payment comes through they might draw from the LOC to pay it and then wind that down through cash flows or something. If the cash starts to build up they might make a bunch of buybacks.

Overall I don't think that their debt is any concern and the quarterly fluctuations in net debt shouldn't be something to fret about =)

Now I am about to email their investor relations team and see about this Note 7!
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