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AKITA Drilling Ltd T.AKT.B


Primary Symbol: T.AKT.A Alternate Symbol(s):  AKTAF

AKITA Drilling Ltd. provides contract drilling services, primarily to the oil and gas industry, in Canada and the United States. The Company is an oil and gas drilling contractor with a fleet of about 32 drilling rigs. Its United States fleet is supported out of its operations base in Midland, Texas and consists of 13 high specification AC triple rigs, one high specification AC double rig and one DC triple rig, all serving the Permian Basin. With a fleet of 17 rigs, its Canadian division operates in Alberta, British Columbia, Saskatchewan, and as market conditions dictate, the Yukon and the Northwest Territories. The Canadian division operates both wholly owned rigs and rigs. Its Canadian division primarily operates in the oil sands, heavy oil regions and in the Montney deep gas basin. In addition, the Canadian division plays a role in drilling potash and other energy transition targets, including carbon capture wells, hydrogen storage wells and geothermal wells.


TSX:AKT.A - Post by User

Post by lifeisgood1010on May 08, 2024 9:02am
217 Views
Post# 36028549

running at least 11 rigs in Canada by August."

running at least 11 rigs in Canada by August."If this were to happen, i would be very pleased.

Darcy Reynolds also told me that wee were confident for them to have more
drilling rigs working in the second half of 2024.

The value is there, it's a matter of time.

How long, 3 months, 6 months, 12 months...

Your guess is as good as mine but i firmly believe that one day, the stock will be better valued.

The Globe and Mail reports in its Wednesday, May 8, edition that ATB Capital analyst Tim Monachello has reaffirmed his "outperform" recommendation for Akita Drilling. The Globe's David Leeder writes that Mr. Monachello boosted his share target by $1.05 to $3.75. Analysts on average target the shares at $2.70. On Monday the company reported first quarter revenue of $54-million, down 19 per cent year-over-year from Mr. Monachello's $53-million estimate. Mr. Monachello says Akita generated adjusted earnings before interest, taxes, depreciation and amortization of $12-million, falling 18 per cent but also narrowly higher than his forecast of $11-million. Mr. Monachello says in a note: "The beat vs. ATB was the result of modestly higher than forecasted activity and margins in both Akita's Canadian and U.S. businesses. We note that Akita received $1.5-million in contract cancellation revenue in its Canadian operations in the quarter, which was included in our forecasts. More importantly, we believe Akita's outlook and visibility in Canada and the U.S. suggests that H2/24 should be stronger year-over-year and gaining momentum into 2025. We understand that Akita has line of sight to running at least 11 rigs in Canada by August."
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