Post by
sportstermathew on Dec 26, 2021 4:09pm
Cold, Brrrrrr
How many companies will be impacted by shut down production on equipment
due to the extreme cold?
I don't know how this can be mitigated, expense of a few days a year over cost to
implement some system to keep things warmer so as to not be forced to shut down.
This happened to Peyto and many others last year.
That said, it also has to impact the inventory as being drawndown even more with
the cold on top of not getting as much into the system to use when needed and at
higher prices too.
Fourth Quarter just about done.
Numbers have to be fairly good for Peyto, five rigs, more production, and unhedged, drilling efficiencies, 11 plants and growing reasonably.
Each and every new quarter of great numbers has to have a very positive impact on Peyto, and we all know they are hedging same as before but now at maybe even higher prices than at present for some production. They have to do this to maintain a steady dividend, and also lock in quick paying newer wells so the payback can be as short as possible.
Just hope at some point all this gets recognized by the markets.
California at some point is going to get into trouble and I hope they get their heads handed to them. It is ok when you have sunshine, and most warm temps all the time to dictate to the rest of the country. When shooting from the hip all the time, you tend to shoot into the hip.