RE:RE:RE:RE:Other factor...on q3 productionValuations and mergers agreements are tricky but any type of merger would bring plenty of benefits.
A combination would have size to attact a different type of investor and more instituations.
But the biggest benefit of any type of merger is ability to run a less combined capex program in 2024.
Yesterday Strathcona Resources press release shows kinda direction of these take overs.
Pipestone was planning a capex of like 220m in 2024 that would have included growing as well.
Yesterday Strathcona said they instead are doing 120m capex on pipestone legacy assets in 2024.
100m difference,
A potential YGR and Petrus merger could allow for a lower 2024 capex and more FCF than each of thee companies trying to make a go out of it being smaller.
I am sure lower AECO prices is making these type of potential thoguhts take place.
But deals are tricky.