Kelt Exploration Ltd T.KEL

Kelt AECO update

[PabloLafortune]

They basically shut in some gas wells and reduced annual forecast by 1,500 boepd or ~5% - which is not much overall but quite a bit for the affected period (2-3 months).  Cashflow forecast remains the same - $350M vs $300M capex.  They removed 2 Oak wells from drilling (from 4 to 2) but completions remains the same (3). They added a drill and completion at Pouce Coupe/Progress but did not specify where. And of course, not a good look for TRP., Canada's natural gas pipeline monopoly.

[Oldnagger]

TRP has been pulling this same kahooey for as long as I can remember. I use to deal with them back in the 80 s. Their offices are plastered with mahogany desks and original group of seven paintings. A Liberal party protege they were at one time owned by Bell, if I recall rightly. Their favourite trick was to deliberately cause outages to force transporters to purchase much higher priced firm

[PabloLafortune]

Einstein invented the expression about doing the same thing over and over again expecting different results being the definition of insanity. I wonder what he would call somone who actually did something different got much better results and yet still decided to go back to the old method that didn't work? In one case, you know what doesn't work yet you keep doing it. In another case, you

[PabloLafortune]

By the way old, you think its random that TOU had a press release the same day as Kelt partly to talk about AECO? i dont. Message sent. Like you said, if not for these entrepreneurs, the country would be up the creek.

[Seppelt]

The completion of 2021 NGTL expansion project would be a great improvement in pipeline capacity and hopefully minimize the embarrassing near zero AECO prices due to regular scheduled summer maintenance. Prices would normally recover in the second half of September unless there is unplanned equipment failure like this year. The 2021 project was delayed by a year in 2020 due to late approval by the

[Seppelt]

The fact sheet is still outdated showing Q2 2021 in-service date. And it's not even a new route requiring endless negotiations with local communities. These are just parallel pipes (loops) and new compressor stations. In Texas it only takes about 2-3 years for a brand new 2 bcf/d pipeline from the proposal date to finish. Here is the Fact Sheet still showing 2021: https://www.tcenergy.com

[Oldnagger]

Many thanks for the link, I really need to quit being so lazy and do it myself !!

[Seppelt]

Explainer-Why western Canada has some of the cheapest natural gas in the world https://www.marketscreener.com/quote/stock/KELT-EXPLORATION-LTD-12710163/news/Explainer-Why-western-Canada-has-some-of-the-cheapest-natural-gas-in-the-world-41774338/