Prairie Provident Resources Inc T.PPR

Why is the stock being dumped at 0.10

[Artbar1]

There was a bid to buy and sell the exact amount 0.10 X 102000 and to buy the same.

it was 0.11 just a moment ago and I wonder if someone is messing with this stock when oil is supposed  increases in price. 

Spoke with the CEO.  PPR sells to the first bidder in Alberta and the oil is then no longer a concern for PPR.   They are required to hedge 70% of their oil as per their agreement with Prudential Financing. 

Is someone playing with this stock?

[SilverSam]

All Canadian stock listings follow their U.S. counterparts.  Right now, PRPRF is trading at 0.08/share.  Calculate in 36% exchange rate on the dollar and you get a price of around 0.105/share for PPR.  Don't ask me why the Canadian listings always follow their U.S. counterparts, as I do not know.  They just do.

[Buyreallow]

They do because of arbitrage.  If the price difference varies much from the exchange rate, arbitreurs show up and buy and sell to collect the variance. And in todays world, computers do so automatically.

[Artbar1]

I am also on CEO.CA PPR and there is a bit more discussion going on for anyone interested.  It was suggested that PPR lost 8.2 million in hedging.  The CEO stated that Prudential - their lenders- insist on hedging 70% of all oil prices.  I would have thought the hedges were fairly high with the three dips and vallieys of earniers over this year.  Any optimisim out there

[Artbar1]

That's frustraating.  I spoke with the CEO yesterday who stated they were working on financing.  that oil is sold to the first buyer to Alberta based refining companies.  I did not get any names. It's like this stock and company work within Alberta specificially.    He also said that the present life of the oil reservies is about 12-15 life.   Perhaps

[Buyreallow]

He does not have that many, only around 500,000. I suppose he will sell eventually.  You do know that he is no longer CEO right.  It is now Patrick MacDonald.  .  And they have no CFO as Dranchuk who they hired in April resigned in November.  Did they both see the writing on the wall?  And two members of  the BOD retired in May.  Certainly turmoil on 5th Ave

[Artbar1]

Is this necesssaarrily bad?  What key folks does PPR require.  I spoke with the new CEO and he lives in Colarado and has done this work for about 40 years.  he seems to be negotiating re financing and attempting to access the best leveraging deal he can muster.   I wonder what Aberta refineries PPR sells to.  He also stated that there is 12-15 years of reserve life

[Buyreallow]

Weather would have to be really bad to shut down drilling, and  would not save that much. Just some labor.  They would have to pay the daily  rig rate whether they use it or not.

[pennydredful]

CEO   more    than   1000  miles  away   from company  offices  and operations  HMM.---gives  new meaning  to  "working from home"  .

[Roscoe747]

I've been to this movie before - it ends in tears. Hedging eating the cash flow, Deferred interest building debt. Higher interest rates, new terms with credit review. PPR will not refinance except on worse terms than Prudential. Run, Forrest, run! Sorry but get out. Preserve what capital you have left.

[Artbar1]

What are your thoughts on PPR and their attempt to sell an asset?   Would this sale help alleviate PPRs finance woes?

[pennydredful]

They  tried   a few months  ago  and   came  up   empty  .   Perhaps  if they  sell   the family jewels  they can kick the can  down   the road   . 

[energee]

PennyD, Why are you here?  Your recent comments are all negative, so are you trying to buy cheap shares or just lecturing? If you are a shareholder, based on your own comments, you should sell and go somewhere else. If you are not a shareholder, still go somewhere else. 

[pennydredful]

Put   me   on  ignore  if  you  dislike  my comments.  Once the Quebec possibility  ended  that was time to get  out. If   you  have  a bull  case  present it  to  counter   the negative .

[SilverSam]

There is room for a diversity of opinions on this site.  Even negative comments serve a purpose, in that  it gives current shareholders, or those looking to buy in, a better perspective on their (potential) investments.  All of us who have been investing in the markets for a considerable length of time have lost money on a bad investment.  Sometimes, it was because we didn'

[Artbar1]

Yup... In Colorado.  

[pennydredful]

Remember  tax   loss   selling   is  peaking   at  this  time  and   anyone  that owns this  is  losing  money.