Surge Energy Inc (Alberta) T.SGY

Hedges

[Countrin2tive]

I for one have always on this site, tried to see the upside of the imminent arrival of higher oil prices.  That said now that higher prices have arrived, I'm a little P#ssed Off with the hedging forecast to the middle of 2022    (see company presentation    https://www.surgeenergy.ca/wp-content/uploads/2021/11/SGY-Corp-Pres-Nov-2021-vF2.pdf) and wonder how they can possibly meet their income projections when as an example, half of their production is hedged for Q1 22 at less that current oil price.  Im wondering if this is what is driving SP down, would like to see some other opinions.

[Baystboy07]

This is exactly it...I have a feeling the banks have in essence pulled the lines without saying so...do people not find it strange that on the variable line they basically have no excess capacity...the banks are forcing the hedges to ensure the debt gets paid...banks have pretty much lost faith...you also see other companies say how they are going to used FCF going forward...wonder why SGY has not