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Kelt Exploration Ltd T.KEL

Alternate Symbol(s):  KELTF

Kelt Exploration Ltd oil and gas company. The Company is focused on the exploration, development and production of crude oil and natural gas resources in northwestern Alberta and northeastern British Columbia. The Company's assets are comprised of three operating divisions: Wembley/Pipestone in Alberta; Pouce Coupe/Progress/Spirit River in Alberta, and Oak/Flatrock in British Columbia. The Company’s British Columbia assets are operated by Kelt Exploration (LNG) Ltd., a wholly owned subsidiary of the Company.


TSX:KEL - Post by User

Comment by teashadeon Oct 07, 2024 12:46pm
67 Views
Post# 36256306

RE:Run Up is Commodity Price Driven -Oil

RE:Run Up is Commodity Price Driven -OilThe Petrinex data is always interesting, it's available here: https://www.petrinex.ca/PD/Pages/APD.aspx With some basic spreadsheet skills you can navigate pretty easily from well to gathering system to processing plant. I don't think you can use it to predict actual volumes but using it as a gauge on month to month volumes can help give an idea of the direction volumes and (ideally) magnitude of production growth in the coming months.

September data should be out in the next couple of weeks and it will be interesting to see if any volumes are flowing to CSV Albright, so far it hasn't shown up in the report. The improved production numbers appear to all be coming from Wembley though where the infrastructure is again approaching contracted capacity allowing more liquids production.

The speculation is fun but also instructive on what to expect and plan for. I believe a sale of the whole company is less likely than an attempt to monetize Pipestone/Wembley and ideally issue a large payout consisting of return of capital. Sort of like the SDE spin off of its Montney acreage? At that point I'll likely bail.

I think a case can be made for that acreage having a value over (or equal to, I haven't done the math in a while) the current EV of the company as more production comes on to the new infrastructure and new zones are delineated. I don't know what to expect from here, I'm not looking for a home run but every time I do the math I come to the conlcusion 'this could be worth a lot more'. Don't see holding past $8 but will be thrilled if we get there and happy for everyone else if it continues going up from there.
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