Equal Energy Ltd EQU

No one?

[bakken13]

So no one has the numbers to back up their claims that EQU can pay a big dividend?

Boy, that says it all.

[bakken13]

So no one has the numbers to back up their claims that EQU can pay a big dividend? Boy, that says it all.  

[Nawaralsaadi]

I am not sure why you keep stating that, I have emailed you a full spreadsheet showing clearly how Equal can pay 40c dividend today with today's energy prices. Yes, this would include a 25% DRIP, but the average Canadian E&P pays 25% of their dividends in DRIP (some names like Crescent point, Eagle .. etc pay as much as 60% in DRIP) Using a modest buyback of $20m, the share count can

[bakken13]

"should NGL prices revert back to 45% of WTI (vs the historic average of 55%), the dividend will rise to 61c" --------------------------------------------------------------------------- But you are already using NGL prices at 45% of WTI, and they are nowhere near that. And you are using nat gas prices of $4.25, and EQU has stated that they get about NYMEX minus 40 cents, so you are

[Nawaralsaadi]

bakken, 40c is derived by using $36 for NGLs and $4.00 Mcf, those prices are pretty much what the strip is for 2013 is for both commodities.  The production expenses are not cut in half, they are just adjusted prorata to the company current production base. I assure you a lot of hard work has been invested in producing those numbers, through studying the financial statements, talking to the

[bakken13]

My apologies, I was getting per/boe numbers and total $ amounts a bit mixed up. My bad. And I keep forgetting that you are using a 25% DRIP, as I have a hard time using it. But again you are correct, that everyone else does, whether rightly or wrongly. And I do recognise the considerable amount of work put into your analysis, and it is appreciated greatly. One last question, if it isn't

[Nawaralsaadi]

Bakken, No worries, this is what this forum is for, to exchange opinions and enhance our knowledge of a given investment (at least this is the use of the forums if used properly). As for the content of their NGL production this is the breakdown: Ethane 35% Propane 35% Butane 15% Pentane 15% You are right ethane prices will likely remain weak over the medium term, this is why even in a rebound