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Bonterra Energy Corp T.BNE

Alternate Symbol(s):  BNEFF

Bonterra Energy Corp. is a Canada-based conventional oil and gas company with operations in Alberta, Saskatchewan, and British Columbia. The Company operates through development and production of oil and natural gas in the Western Canadian Sedimentary Basin segment. Its operating areas include Pembina Cardium and other areas, which include Saskatchewan and Northeast British Columbia. The Company is focused on the development of the Pembina and Willesden Green Cardium lands within central Alberta. It has Shaunavon properties in the Chambery field, which produce medium density crude oil from the upper Shaunavon formation under waterflood. It also has assets in the Prespatou area of northeast British Columbia, which consists almost entirely of natural gas and associated natural gas liquids. It also has an undeveloped Charlie Lake asset that is prospective for light oil in Bonanza, Alberta. The Company has over 116 net sections of contiguous land in the light oil prone Charlie Lake.


TSX:BNE - Post by User

Post by TheRexmemberon Sep 20, 2023 10:54am
345 Views
Post# 35645328

Peters presentation

Peters presentation

The only things I would add to your note 

1. they addressed possibly divesting the Montney asset if it makes sense to do so. That could be very material to bne - 100 million plus with a bit of production online. At least 2 wells needed to maintain careage. One started in 2023 and one in 2024. 

2. a few tidbits on the quality of the acreage - targeted by their Birchcliff geo who wanted to parralel a liquids rich fault line. Stupidly cheap price paid, well done. 

3. Other operators are drilling toward their acreage with a lot of success. Kelt named. Ovintiv has a facility nearby. 

4. specifically mentioned 4k to 10k boe/d cardium acquisition range. Typically private companies and Ideally with shared or close to owned facilities. On the low end that perfectly matches Entrada. Some drilling locations, lots of 50/50 JV land, 4k of production last I looked. I speculated about that 4-5 months ago too. No idea if they are for sale. 

5. Comment on share price - already mentioned but I agree it was a tell that the price is making acquisitions easier. Whether to hit internal metrics, to pay more for targets and still be accretive or to make targets want stock. It helps all three.

6. my note - his concerns about liquidity would be addressed with a 50/50 share/debt takeover. Much easier to put in an ncib with the higher share count. And/or an all cash offer with a share issue to institutional investors. 

7. he mentioned several times that the 20k bpd is a hurdle he wants to cross to attract more institutional investors. Expect a higher profile going forward. 

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