RE:RE:RE:RE:RE:RE:RE:RE:RE:RE:RE:RE:RE:RE:Share price after SDUh huh.
ARX got lucky and has the balance sheet that ultimately finance the 7generation deal, and did and does not understand the resource and value they stole. It seems to me that POU are the ones that do and did not understand the resource or they would have bought it back when VII shopped themselves back to them in 2021. There are understood and unwritten right of first refusals that go with these deals and I am sure that the great JR or at the very least, the venerable Mike Rose of TOU, were given first dibs. Trust me when I say that ARX knew the value or they never would have been able to steal VII from right under the noses of POU and TOU. What's even more ironic is it was ARX's "postage stamp" plays that you have so cavalierly dismissed that enabled ARX's balance sheet to be in the enviable good position to steal all of that value that POU and TOU passed on.
I hope POU does pass on picking up CJ as I feel it is a better fit for ARX as they need a low cost, low decline thermal oil play to go with their impressive portfolio of assets as they move to become one of the premier O&G producers in all of Canada. Especially when trump greenlights the "drill baby drill" program, again.
But in the interests of diversification, I'll hang out and maybe pick up another position and see what the management you say I can trust will do with a billion dollars in seed money. I'm not sure if I'll wait until after the Jan29 SD vote because the big bad orange wolf huffs and puffs...tomorrow.
GL Fellow Investor ;-)
MyHoneyPot wrote: It is a different time, and place.
POU did not want to sell Kakwa, but it was early days and they sold Kakwa to 7generations, because they saw the capital requirement to develop the resource. They build a gas plant and were carry a ton of debt.
Kakwa has billion of dollars of associated infastructure invested to develop the best resouce play in Canada, that ultimately took down 7generation. No other play has the investment in all of Canada that kakwa does.
POU saw the path they were on and considered it too high risk. Kakwa resulted in 7GEN carrying to much debt.
ARX got lucky and has the balance sheet that ultimately finance the 7generation deal, and did and does not understand the resource and value they stole.
In any case POU made the right decision for them, and you can trust management to make the right decision from the business perspective, and isn't that what this is all about.
IMHO
MHP