ARC Resources Ltd T.ARX

Kakwa .Slide 21 of june presentation

[hawkowl1]

Near-term objective Integrate asset into portfolio and focus on realizing immediate operations, drilling, and completions synergies

Capital efficiency and decline rate Focus on improving capital efficiencies and reducing decline rate of 40% by ~2% per year


Right-size transportation contracts Align transportation levels with physical transportation needs to increase free funds flow

[MyHoneyPot]

Likely around 66% of ARC value is in Kakwa, when you consider VII generations share holders hold more of the combines shares and VII Gen came into the deal with 1.9 billion in debt.  It sound like let study Kakwa, sell off our operational flexibility, and invest capital in ARC gas weighted pet projects while condensate is over 80 dollars.  Perhps the priority should be to produce as

[Taurkon]

I would agree with all of your assessment MHP except you are more bullish on the Kakwa asset that I am.  VII has spoken for years about the forward looking reserves that will carry them through the next 15 years.  However, the geology does not support 'high quality' liquids to the degree that it's been sold to the public.  Already, new wells coming online are producing

[hawkowl1]

You must have missed how much ARX is spending this year on Kakwa! ITs 525 MILLION DOLLARS!

[hawkowl1]

55 wells to be drilled at Kakwa along with facility upgrades. 525 million to be spent Your no longer seven generation shareholders.. Arx was always a better company thats why they were in drivers seat.    Sell your shares if you think ARX is not executing to your liking .

[Taurkon]

525MM capital invested in Kakwa will result in a production decline.

[renoman1960]

Instead of complaining how about looking at a 60 day chart from 7.50 to 10.00 that's a 33% gain. It's clear investors like the deal street likes the deal only person that doesn't is you. Once we break 10.00 12.0 will come quickly. Your getting paid to wait so be patient and wait it will happen and this management team has a few tricks up there sleeve and a few surprises ahead just be

[Westcoastenergy]

Hawkoil1, it doesn't matter what is in presentations so far as the smartest guy in the room (MHP) is concerned.  I pointed this same thing out to him months ago but the rants continue.  Huge FCF next quarter reporting still won't shut him up.  I'm starting to agree that it might be best to simply put him on ignore because he has OCD towards ARX and it apparently cannot

[Robertboblaw]

My only concern re: forward fcf is to do with their hedge position. They updated their presentation to include a chart outlining their (combined arc and legacy) hedges and indicated at least 40% of their oil/condy is hedged for 2022 but last check with VII was that they had basically no oil/condy hedges for 2022. And there's no indication (yet) what those hedges are priced at? If they were

[hawkowl1]

Westcoast good post. Some posters have an agenda and others simply bitter from getting canned from Seven G. They should stop stewing about what happened and move on with life. I never liked Seven G due to massive debt and management were nothing special. 

[MyHoneyPot]

I will agree to that...