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ARC Resources Ltd T.ARX

Alternate Symbol(s):  AETUF

ARC Resources Ltd. is a Canadian energy company. It is focused on the exploration, development, and production of unconventional natural gas, condensate, natural gas liquids (NGLs), and crude oil in western Canada. Its operations are focused in the Montney region in Alberta and northeast British Columbia. Its operations in Alberta are located near Grande Prairie and the region includes Kakwa and Ante Creek. Kakwa is a condensate-rich and high-deliverability natural gas play with top-tier development opportunities. Its operations in northeast British Columbia are located near Dawson Creek and the region includes Greater Dawson, Sunrise, Attachie, and Septimus and Sundown. The Greater Dawson operating area includes Dawson Phases I, II, III and IV and Parkland. The Attachie is a condensate-rich, natural gas play primed for large-scale development. Sunrise is a dry natural gas play with a low-cost structure, well deliverability and direct connectivity to liquefied natural gas Canada.


TSX:ARX - Post by User

Comment by Quintessential1on Aug 04, 2024 9:01pm
144 Views
Post# 36164121

RE:Steady as she goes Q2

RE:Steady as she goes Q2"This will drive a re-rate, just not for a few quarters. I'm good with the dividend and modest buybacks in the meantime."

You're not alone here Trapped.  Here is what CIBC Capital Markets had to say:

"
We view the commissioning of Attachie as a catalyst for the stock, driving a step-change in free cash flow for 2025. We expect ARC will increase its shareholder returns once Attachie is online, through dividend growth and/or share buybacks."

Personally, I , like you, was disappointed with the lack of a dividend increase with the last ER.  It is pretty obvious now to see that that was a necessary action in order to keep the balance sheet healthy given lower production and higher cap-ex guidence.  I, like you, know that this management knows what it is doing and it has proven it again in the way the share price has weathered this low commodity pricing, lower productivity storm.  When we come out of the other side of this tempest better than we ever were we will be happy to have had them as the steady hands on the tiller of the HMS ARX.

Now if you want to see an example of disatisfied passengers on a cruise ship, swim over to the KEL boat where their cruise director poo pot posted this:

"  I think Kelt has been a bit of a value trap, however the value will soon be realized. "


Well I don't think ARX has been ever been anywhere near a value trap and the value just keeps on getting realised year after year after year.  This year should be no different.

GLTA ARX BULLS

 
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