RE:RE:Most of the Liquids are removed in the Field BatteriesI would say, of those points they do not give credit or recognize the ongoing value creation that is taking place at Kelt. Buying shares is the evaporation of capital off the balance sheet, and banks don't value share buybacks as the buybacks remove assets from the balance sheet. Then when the intrinsic value of the company is depress, like low oil or low gas prices, you have to do desperate things to stay afloat.
North Pouce Coupe/Charlie lake was put together in the last few years while everythink else was ongoing and i think it will ultimately be of huge value to Kelt Shareholders.
Kelt a small company is evaluating resource at Wembley, Oak, North Pouce Coupe, and Charlie Lake plays, very agressive.
We are talking about a company that produced 28,000 boe in Q3, and needs to move Wembley, from a stage focused on resouce evaluation to a phase of resource development. Not all companies evaluate and developed the field infastructure like kelt does, which potentially leads to operational issues.
I think the future with a dramatic change in Cash Flow in 2025 Kelt will have a lot more flexibility then they do today, and with the capacity and track record of creating value, things will move a lot faster then they do today. However most of the delays and cash flow impacts have been because of plant.
Companies are now drilling comerical wells in the duvernay that have 5400 meter laterial legs, that is 3.3 miles. You can't drill those on postage stamp plays area's, so technology is driven economical improvement with larger land bases.
Kelt grew it reserves significantly over the last year, and will do so again in 2024, and i feel this is the quickest and safest was to grow the company from the drill bit, and not get preoccupied with share buybacks, and evaporation of capital, i think their returns are better investing every cent in drilling and plant.
IMHO