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Surge Energy Inc (Alberta) T.SGY

Alternate Symbol(s):  ZPTAF | T.SGY.DB.B

Surge Energy Inc. is a Canada-based oil focused exploration and production (E&P) company. The Company's business consists of the exploration, development and production of oil and gas from properties in Western Canada. It holds focused and operated light and medium gravity crude oil properties in Alberta, Saskatchewan and Manitoba, characterized by large oil in place crude oil reservoirs with low recovery factors. It offers exposure to two of the five conventional oil growth plays in Canada: the Sparky and SE Saskatchewan. It holds a dominant land position and is drilling a mix of horizontal multi-frac and horizontal multi-lateral wells in the Sparky area. Sparky is a large, well established oil producing fairway in Western Canada. SE Saskatchewan is a focused operated asset base with light oil operating netbacks. SE Saskatchewan operates low-cost wells with short payouts and offers potential for continued area consolidation.


TSX:SGY - Post by User

Post by PreludeSHon Oct 30, 2023 11:24am
317 Views
Post# 35707279

Back-of-Envelope Takeover Price: $11.82

Back-of-Envelope Takeover Price: $11.82Here's my back-of-envelope takeover price ($11.82) based on the Crescent Point's valution of Spartan.

Crescent Point paid $1.7B for Spartan's 38,000 boe/d = $44,737 per boe/d
Surge boe/d = 25,500
Thus $44,737x 25,500 = $1,140,789,474 Valuation
With 96,500,000 shares outstanding, that means $11.82 per share..which is about 23% upside from today's share price. 


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