Kelt Exploration Ltd T.KEL

Kelt a fun ride - Ramping up production in Q4

[MyHoneyPot]

Charlie Lake - One of North America best oil Opportunities

Charlie lake wells pay back quickly, they come on strong, and you looking at 70% oil.

The Charlie Lake could be the best prospective oil play in Alberta, it trumps the clearwater interms of production, it is very low cost at spirit river 3.5 million for a well, and return on Capital is quick.

Wembley/Montney Oil 

Kelt will likely have a few challenges switch to pad drilling from individual well drilling but Kelt knows the resouce is there. Where else is that a prolific oil rich Montney play like Wembly/Pipestone? This play is worth a multiple of Kelts current market cap. 

Really OAK is a longer term project, and somewhere less than 5% - 10% understood/deliniated, Kelt work a oak is more of a long term prospect, based on the knowledge they gained developing Inga and selling it. 

Balance Sheet

Kelt has the best balance sheet in their play areas, once the CVS Albright plant start processing Kelt will have a lot more fiscal muscle and i expect they will be filling in some of those Charlie Lake land blocks. 

Kelt is to cheap at these levels and it will be a fun ride for the rest of 2024.

MHP
IMHO

[PabloLafortune]

Kelt relies on cashflow to pay for reserves development. Charlie Lake doesn't have the best reserves but it has the best cashflow. Ergo, drill Charlie Lake wells first. Interestingly enough, I believe that when natgas prices are good ($4+), Pouce Coupe West has very strong cashflow as well. Cashflow assets enable development assets. Without cashflow assets and/or hedges, you're at the

[MyHoneyPot]

Good Points, I also think there might be a bit of rerating in the economics associated with Wembley/Pipestone.  To this point they really have been focused on resource deliniation.  Now going forward they will be focused on well economics and pad drilling.  People in the know are all over this Kelt play, because it is not Condensate as good as condensate is. It is a oil play and

[PabloLafortune]

Vast majority of the market has superficial knowledge of companies. Big part of the reason? Too many companies, too many investment opportunities. Cdn oil and gas is like 0.1% of world market cap, Kelt is 0.01% of that. Its classic Black Swan behaviour - companies they consider very risky aren't and companies they consider safe, aren't. Its also why majority of market is momentum