RE:Baytex answer me about my question on selling assets If the assets you would like to sell are generating more cash than the debt is costing BTE, it would make no sense to sell those assets. Why sell assets that are profitable into a soft market if those assets are not going to be fairly valued? Consumer debt is almost always a bad thing, especially when it is used to buy depreciating assets like cars and trucks. There is nothing wrong with the amount of debt BTE is carrying if it is generating revenue. BTE recently refinanced a big chunk of their debt at a lower interest rate of 7.50%. That is a good sign that the bankers are comfortable with the current debt level.
BTE is not the only oil and gas company whose share price has struggled during Q2. Even so, BTE is up 13% during the last six months. That is not so bad. The downdraft since early April is not going to last forever. If you only think short term and dump assets today, you might have some seller's remorse three or six months from now.
The market was disappoiinted with the Q1 results. No one seemed to realize that cash flow should be used for drilling during Q1 in Canada when the roads are accessible. The Q2 and Q3 results will look a lot better. Share buybacks have been accelerating since March 21st when spring break up began. If you believe that the share price does not adequately reflect what BTE is accomplishing, buying back shares is the smartest thing to do.