RE:RE:RE:RE:RE:RE:BC Low Carbon Fuel Market PricingMephistopheles3 wrote: When evaluating the buy opportunity - do you think TWM at this point is better than LCFS? TWM received a lot of the assets at a good pricing as well as the credits at $350/each I believe at the expense of LCFS (which itself went down close to zero).
TWM is in good shape since the price of credits went up. AECO is now $1.81 . Anything over $1 is probably enough to restart the shut-in gas plant at Ram river.
Brazeau is light oil from wet gas which is needed to ship oil on TMX. $$.
They did take on LCFS debt . Makes me think that if LCFS is debt free then they won't need covenants from the bank and maybe no hedges either. Also saving $10 million in interest payments. AIMCo bought 1.5 million LCFS at $2.50 so TWM owns a little less than before.
The (normal) refinery is pumping 12000 barrels of fuel a day at circa $80+ crack spread.
I don't like the funny trading pattern and shorts. I prefer LCFS