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Surge Energy Inc (Alberta) T.SGY

Alternate Symbol(s):  ZPTAF | T.SGY.DB.B

Surge Energy Inc. is a Canada-based oil focused exploration and production (E&P) company. The Company's business consists of the exploration, development and production of oil and gas from properties in Western Canada. It holds focused and operated light and medium gravity crude oil properties in Alberta, Saskatchewan and Manitoba, characterized by large oil in place crude oil reservoirs with low recovery factors. It offers exposure to two of the five conventional oil growth plays in Canada: the Sparky and SE Saskatchewan. It holds a dominant land position and is drilling a mix of horizontal multi-frac and horizontal multi-lateral wells in the Sparky area. Sparky is a large, well established oil producing fairway in Western Canada. SE Saskatchewan is a focused operated asset base with light oil operating netbacks. SE Saskatchewan operates low-cost wells with short payouts and offers potential for continued area consolidation.


TSX:SGY - Post by User

Post by uwebb429on Jul 31, 2024 11:14am
532 Views
Post# 36156247

Outperform

Outperform

BMO’s Jeremy McCrea moved his Surge Energy Inc. target to $11 from $10 with an “outperform” rating. The average is $11.75.

“When we look back at the best performing companies, they typically have common attributes: 1) a change in asset performance; 2) an inexpensive valuation; and 3) are ‘off-the-radar’, setting up favorable entry points. For Surge, we see potential for outsized gains as the company approaches its final debt target in 2Q25. Q2 reinforced prior themes: strong Sparky well results, highest cashflow margin since 2014, new 3D seismic/designs in expanded Sparky inventory (Hope Valley) to aid in well performance and reiteration of higher growth to come,” he said.

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