RE:RE:Charlie Lake Optionality - Means better EconomicsYou don't have to be suspicious, because in terms of Kelt i think i have said why a number of times, but i will gladly repeat the facts again with you.
Kelt has a management team that has been together for a long time with a provent track record of success, it fact the CEO himself is an industry legend, and takes no salary. No rookie CEO here, he knows what he is doing, that is why the company is set up in divisions for the purpose of efficient monetization.
Kelt has all the elements of a stong management team, they have a strong exploration methodology, they demonstrate their ability to do grass roots development, efficiently with a small team, and treats every dollars as if it were their own. In fact management when you include two of the board members that just retired, own 25% of the company. The management has invested their own money in buying shares, they were not all given to them. Over 145 million dollars at an average share price of $4.70 share.
Management is confident enough and experience enough that they don't listent to the likes of Eric Nuttall, they don't evaporate capital (share buybacks/dividends), and are establishing a resouce base that is always for sale, they don't need to pretend like they have the best resouce, they simply have a resource that makes money. (They understand the risk of working in NE BC and limit their exposure with one play)
Kelt management don't take 10 years to get a play into production, and the don't over engineer it and it doesn't cost a fortune to to makes thinks happen, they don't have a bloated staff some of the other companies have. They have a small team of industry professionals that have skin in the game.
Kelts primary resouce it a huge contigious montney play in Alberta, with a charlie lake resouce about it, they are experts in this play area and the current NAV associated with each share is $22.75 each. The don't have expensive gas plants under utilized. They limit their exposure to dry gas, and they have extensive infastructure in place.
However I have bought a boat load of stock and trust the management, because their experienced, their recognized in the industry, and they have a track record of success.
I know i am going to make money here at Kelt, some other companies it is just one disappointment after another.
Wembly/Pipestone with Charlie Lake icing on the cake is likely the best undeveloped Montney asset around, with Charlie Lake 78% Liquids rich oil to boot.
Thats why i like it.....
IMHO