Kelt Exploration Ltd T.KEL

Charlie Lake - Made a lot of sense

[MyHoneyPot]

Kelt did a tremondous job in terms of putting together a very prospective portfolio of Liquids rich land, and protecting the balance sheet while at the same time establishing meaningful reserves. 

Lets be honest about things, it has been the Charlie Lake play that has funded everything at Kelt, to this point in time.

Now with Wembley/Pipestone coming on, a new economic opportunity is in front of Kelt in the development of these properties, they could be better funded by a Major Player. 

So with the objective of Creating Value, i think Kelt is checking all the boxes, low share count, low debt, high netbacks, and good reserves, and one of my check boxes is in the Montney. 

Wembley is going to be making major cash contributions going forward. 

Kelt will have the cash to exploit this large resource base however they want. 

Think about Crew selling, should crew of drilled any wells in 2024? likely not....
However if they sat on their hands they would never of sold the company. 

MHP
IMHO

[PabloLafortune]

Kelt has such a tremendous opportunity with Wembley, Charlie Lake etc ie their Alberta assets. Very oily, Good regulatory environment, lots of infrastructure partners, ability to trade assets, etc. Even gassy PC West works because if you interconnect you can turn offon drill not drill depending on prices and hedges. whereas BC is gassy, lacks infra for small companies it's like mfg in xx

[MyHoneyPot]

Plus the first nation issues Hedging is always the right answer when you look back, in my opinion it is an art that requires dicipline, and many companies have made a mess of hedging with poor execution... IMHO

[PabloLafortune]

Here's a sample of 15 producers and what they realized on natural gas in Q2: 1 $3.03 2 $2.87 3 $2.25 4 $1.86 5 $1.82 6 $1.82 7 $1.67 8 $1.65 9 $1.64 10 $1.59 11 $1.51 12 $1.35 13 $1.31 14 $1.31 15 $1.30