Baytex Energy Corp T.BTE

BTE assets sales

[1234bmth]

This sale of $42M asset is not material, but the market reaction was positive due to the fact that this indicates that management will continue to sell non core assets and reduce debt and focus on more narrower operations, I find it a good start. Let's see what happens in the future.

[AvInvestor]

Amazing, I'm overjoyed! 

[Bloomer]

Yes! I agree! Now move business head quarters to US and call yourselves an American Energy company and pick one solid direction and focus on it for the future. Share prices up up and away!  

[Nothingmatters]

Lol sp would be down and down..  they are digging a hole. Selling an assest which they paid a high price for pennies

[1234bmth]

The decrease in value of these assets are already completely baked in SP, that's why SP is $3.28 not $5.50+ which is way lower than the fair value of the company, this means BTE SP has already been penalised for it, so in this situation BTE has 3 options to utilise these assets and creates value. 1- Puts effort to reduce costs and continue to operate these assets. 2- to reduce production from

[raven16]

The Share Price Isn't Baked In At $3.28,We've Had The Shorters Come In And Take Advantage Of The Tax Loss Selling And Yes We Should Have Dumped Some Non Core Assets When Oil Was Higher, Just Goes To Show What Kind Of Management We Have. TVE Dumped Some Non Core Assets A Few Months Ago And Put The Money Towards Debt And The Share Price Has Been Rewarded. 

[1234bmth]

I said the decrease in value of these assets are baked in SP, didn't mean the SP is baked in $3.28, of course a part of SP plunge is due to tax loss selling, but again why BTE every year should be the most impacted company by tax loss season while management could have done better job to reduce debt by not buying back shares and sell some non core assets earlier, BTE management was really

[Marty47]

That show the ceo and management just there to collect their paycheque , no need to be opportunistic , no vision , no strategic thinking ....should  pro-acting rather than reacting .... with this debt size you need to manage efficiently and effectively , no room for mistakes and mostly you always make decisions based on a downturn never assume it will be always a perfect scenario ..... when

[HeavyBanana]

I guess one consideration would be ........ was there an active and willing buyer there when oil was higher? You're suggesting there was but maybe the buyer of this small thermal asset was being prudent and only made the offer when oil price was down to todays level ........ hmmmm ? Near $50 million going to debt repayment above and beyond what was expected for Q4 ....... net positive in my

[AlwaysLong683]

The order in which I prefer O&G E&P companies to manage their finances and tend to their shareholders is as follows:   First, always keep debt at reasonable levels. Too much debt can be a big drag on the share price (or worse) and may force a company to make moves at inopportune times. IMO, this is especially important for companies in sectors that typically require high capex

[AvInvestor]

Agreed, but it's now water under the bridge. The company is now becoming more EF focused and therefore should slowly liquidate non core assets with the goal of extingusihing debt. Would have been better 6 months ago, but I think management finally gets it and they can't always hope for $75-90WTI. This will help getting debt down below $2B by end of next year, unless more non core asset

[AlwaysLong683]

Selling additional Canadian Light or Heavy assets to further reduce debt would be prudent IMO, but may not be able to get full / fair value for the assets curently / in the near future (?) given where oil is trading at....? Wondering why some of these assets weren't sold shortly after the Ranger acquisition closed in June 2023....?

[1234bmth]

IMO the reason is the management evaluated the FCF generation of combined BTE and Ranger Oil way higher than is actually now, the May had thought $1B FCF at $75 WTI is really beneficial and can reduce debt faster and also being able to buyback, but as the time went by, they realized that they were wrong and now debt could be problematic, anyhow I find it positive for the future intention, just

[Marty47]

I remember sending an email about why not selling some assets to Eric .... I posted the answer here and he said he wasn't planning to sell anything but in futur anything is possible .... personnaly we all have old stuff we don't use in our shed , some do nothing but me I always post some ads on stuff I don't use as it will be more useful to use the proceed than leaving it there , like