RE:Charlie Lake Optionality - Means better EconomicsJust wondering... If this is such a great company, why do you feel the need to constantly pump it so hard? It almost seems a little suspicious.
MyHoneyPot wrote: Really there just is not many Montney players in Alberta wiith Play areas that are 110,139 acres in the heart of the oil rich part of the Montney.
In terms of Kelts reserves 49% of their oil reserves are attributed to the Wembley/Pipestone play area.
Charlie lakes wells are great, and Kelts ranks 5th in terms of the number of Charlie Lake wells drilled in Alberta, but when Charlie Lakes makes better sense is when you have existing infastructure to produce that Oil in a oil rich play area. Taking advantage of 1/2 cycle economics.
Kelt is a winner, and it will be based on economic reality, not share buybacks, not dividends they can't afford, and certainly not when the company is leverage to the point that in good conscience you should not margin the stock.
Kelt is producing roughly 34-36 thousand boe/day right now, once this CVS Albright plant comes on it will be north of 50 thousand boe/day with essentially zero debt.
The CF is not going to evaporate in debt expenses, it will not evaporate in taxes to Trudeau and dividends, and it certainly will not be evaporated on share buybacks and more taxes to Trudeau.
It will be represented in a higher share price and more assets on the balance sheet and ultimately more production. You don't buy energy companies so they can amaze you with the fiscal wizardy,by the bean counters.
You buy a play like kelt because these are true explorationists and they will find profitable energy plays and sell them.
leaving the financial mechanics to the companies you don't want to invest in.
Kelt is a strong buy and a double from here, in a very short time frame.
IMHO