Paramount Resources Ltd T.POU

No Brainer - 2025 Break Out Year...

[MyHoneyPot]

With 27 dollars essentially in Cash and Securities on the Balance sheet Paramount assets are only valued at 750 million dollars. 

They have more than 30,000 boe of production,  but some is currently shut in. 

With all that cash they will be ramping willegreen up pretty quick, quickly they will add significant production. 

It looks like the Horn River is almost touching the development line on that chart, big gas, big wells and big opportunity with a partner named Woodside. Didn't they pick up some Horn River assets in that transaction. 

This pause before closing  the deal in 2025 i am sure POU will use the time wisely, and when people see you with a pile of cash all of a sudden you got a lot of new friends you didn't know you had. 

I think the stock should be trading north of $40 dollars but i have a bias of beeing a long term shareholder.

2025 bigger and better things for POU

No downside here because the balance sheet is flush with cash. 

IMHO

MHP

[PlutusofCrete]

I've sold out and moved over to TD Bank for now. Plan to come back in the new year. 

[Quintessential1]

 but some is currently shut in.  Shut in?   Didn't they hedge?   Is management stupid something? How do you have a breakout year with no production? GL Fellow Investor ;-)

[MyHoneyPot]

They will get shut in gas production as part of the transaction with Ovintiv.  They don't identify themselves currently as one of the top producers of Natural Gas producers and gas marketing company.  All their plays are essentially skewed toward Liquids Rich. Good observation.... IMHO MHP

[Quintessential1]

Right now they don't appear to identify as producer of anything. Again,  How are they going to have a breakout year with no production? There is nothing in the PR about shuting in production for the deal. It seams to me the smart thing to do would be produce and sell as much as you can now when you are just passing the reserves at year end. GL Fellow Investor

[MyHoneyPot]

While you might be surprized what Paramount is doing. Paramount, has a long list of projects that are going to be funded once this transaction is completed.  Willesden Green, North Duvernay, very profiltable projects where you don't need to shutin production of projects where million of dollars of capex were recently consumed.  Paramount has investment in public and private

[Quintessential1]

Best balance sheet, best assets, and best management in the Canadian market place  One would think this would translate into the best share price performance over the 2024 year but even poor mismanaged ARX managed to outperform it and they didn't have to sell all of their core producing assets to do it.  So all of these POU projects are going to be funded and producing in 2025 to

[MyHoneyPot]

Well POU pay me .15 cents every month to boot, and i am am kind of getting use to the special dividends. Quite often you get one a every year. This is how i got all my ARX shares, bet they will dividend out 400 million dollars worth of NVA shares next year as well.  Arx was 23.44 last november and 24.90 today, and it doesn't pay a monthly 15 cent dividend.  POU was 24.79 in

[Quintessential1]

The year is 2024.  How many special dividends did you get paid this year? Funny that's how many ARX paid me. ;-) Based on the PR I wouldn't get too used to that 15 cent monthly dividend. How much cap ex to bring production back to the level it was at pre sale and how long? Breakout year? We'll see.   GL Fellow Investor

[Moemoney42]

The special divi will get paid out in Q1-2025, the production will be adjusted, the share price will adjust, and we should hear some good news about production increases quite quickly as they can turn the taps on that shut in gas production + the 50% that they acquired from Ovintiv in the deal.. nearly instant production increase in the making.. Now consider, no equity issues going into proving

[WillyGreen]

Quinte - I just looked at this board. Have owned paramount (in a big way) since Covid. Sounds to me that you should sell your stock if you have any. Short the stock if you don't own any. I've made generational wealth on this stock. Not a seller and will add more on red days. If you don't think this is the golden goose then just get out of the name. 

[Quintessential1]

What if I want to just hold until I get my special div and poke my finger in the poo pots eye while I wait  because he spammed my board and stock and continues to bad mouth the management and stock that did for me what you say this stock has done for you? Also it may have been the golden goose for you but I have serious doubts about it being a :"Break Out Year" so I'm going to

[MyHoneyPot]

So admittedly your not here for investment purposes. You simply toll the boards to disrupt forums, with no investment thesis of your own. Making the forum an unhealthy place for all investory. I am a witness to the conviction of WillyGreen and the generational wealth he had made, because i have done well for myself and we are be respectful members + friends of this forum for many years. 

[Quintessential1]

I am invested poo!  Just as much as you were in ARX when you said it wasn't investable and you were just day trade swinging it. You were real respectful there huh? It sucks when it's on a board you care about and and a stock you're "invested" in right? "Fellow Investor"? I haven't done anything you haven't. I don't see how POU is going to have

[WillyGreen]

The breakout years were immediately after Covid. Anywhere from $1 to $33. Bought a ton along the way.  Won't see that again. If you had the stomach to stay in the name and add immediately after Covid ...' generational wealth. 

[WillyGreen]

Quinte - paramount is a name you want to own but the float is tight. Thesis behind the sale of 70000 bpd is that pou received close to $50000 per flowing barrel which can be replaced from own inventory for much less. Paramount doesn't  pay for pdp. They are wildcatters with a history of bringing on production cheaply. Including Zama was huge - $500m net present value of liabilities off

[PabloLafortune]

Chevron's 2025 budget announced yesterday represents a $2B cut from 2024. Sale timing seems consistent with this outlook. Paramount obviously chose to forego some $$$ today in order to unload the Zama liability.  Not many would make that choice given that it was rarely if ever brought up by the street. Nimble no nonsense long term thinkers with skin in the game. Shades of the Bezos

[Quintessential1]

All fair points boys but what I am seeing here doesn't add up to a "Breakout Year" in 2025 which was the the point of my reply to the original post and poster boy. GL Fellow Investors