Mart Resources Inc MAUXF

AGM questions

[aazzcux]

Why did Mart not hedge future oil sales when the price was over $120+ in Q1,2012  ???  Does it not make sense to try to lock in 1/3 of your production when the price was at historical highs? Did they ever consider a hedging program ?

With a hedge in place, the secured cash flows would have allowed for well thought out dividend payment plan for 2012 and 2013.

With current oil prices at $97, does anyone really expect a special or regular dividend, or will Mart hoard the cash for new marginal fields, new drill rig, buying existing production from companies in financial hardship ???

Hopefully,we will know more, soon enough.

[mat_hog]

I don't think they can hedge oil with the agreement on the pipeline as they are contracted to purchase umusedge oil even if not delivered as we found out last year, my opinion only.

[CalifDreaming]

Why did Mart not hedge future oil sales when the price was over $120+ in Q1,2012  ???  Does it not make sense to try to lock in 1/3 of your production when the price was at historical highs? Did they ever consider a hedging program ? First off, oil wasn't at "historical highs" in Q1.  That happened in Q2 2008. Secondly, you'd be insane to hedge in a place where you

[bobvee15]

I think the portion of what is covered by the regular quarterly dividend ideally should be hedged to better stabilize the payout.  A company can claim Force Majeure should any installation  become sabotaged. Finding a counterparty to accept the risk that is another story. With regard to the dividend  paid in regular intervalsI think it will start out on the low end  but it