Bullboard - Stock Discussion Forum Granite Oil Corp GXOCF

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Granite Oil Corp is a Canada-based oil producer based in Calgary, Alberta with lands and operations located in southern Alberta. The company is engaged in the exploration for and exploitation, development, and production of oil and natural gas. Its Alberta Bakken Properties are located in southern Alberta at the south of Lethbridge.

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Granite Oil Corp > Leveraged play on oil....plus get the monthly dividend

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Post by agoldbloom on Sep 24, 2018 11:07am

Leveraged play on oil....plus get the monthly dividend

I was looking over the last presentation....I didn't see a sensitivity analysis. Regardless, they're using $65USD WTIC and it's now over $72USD. That will change most of the metrics, especially the concern about the divvy and capital costs for adding wells. I bet at $75USD oil we start to see some takeovers in the patch because most companies are so beaten up and the outlook is so poor with all the negative pipeline talk. GXO keeps paying out, prob not the best use of money at this point, perhaps cut the divvy to be 5%, and balance the rest between share buybacks and well additions but I'm not a pro. Regardless, the sector will turn at some point, maybe it's $72USD oil that changes quarterly results and draws some attention?

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