Surge Energy Inc (Alberta) T.SGY

Surge Energy!

[TickerStock101]

Get ready for the rerate. Hugely undervalued at these prices in comparison to any company out there. I challenge you to find a oil company on the TSX that has more FCF/Share currently ???

[downtozero]

Since SGY current has negative FCF, I think most oil companies have more FCF than surge. Next year could be a different story if you believe Paul. That's a big if.

[geezer21]

Shareholder equity as of 30 September rose to $1,595,569,000 from $1,492,249,000 at 31 Dec. 2020. Shareholder income per share rose to $7.63 fully diluted for 9 months ending 30 September 2021

[downtozero]

Adjusted funds flow last quarter $27,804,000. Total exploration and development expenditures $33,932,000. Which makes total Free Cash Flow (-6,128,000). Which means, outside of all the numbers games and buying companies with stock dilutions, Surge lost over $6M last quarter when oil averaged above $80 USD. Equity will change as the oil changes, cash made verus cash spent is what's keeping SGY

[geezer21]

They did not lose money.  They gained assets.

[sclarda]

downtozero wrote Adjusted funds flow last quarter $27,804,000. Total exploration and development expenditures $33,932,000. Which makes total Free Cash Flow (-6,128,000). Which means, outside of all the numbers games and buying companies with stock dilutions, Surge lost over $6M last quarter when oil averaged above $80 USD. Equity will change as the oil changes, cash made verus cash spent is what&

[sclarda]

sclarda wrote downtozero wrote Adjusted funds flow last quarter $27,804,000. Total exploration and development expenditures $33,932,000. Which makes total Free Cash Flow (-6,128,000). Which means, outside of all the numbers games and buying companies with stock dilutions, Surge lost over $6M last quarter when oil averaged above $80 USD. Equity will change as the oil changes, cash made verus cash

[downtozero]

A lot of those new BOPD that Paul just bought are hedged until end of 2022, something he didn't highlight in the press release. I woiuld like to see Paul's calculations how he's going to manage so much FCF next year with so many hedges still in place. He's a master of promising a great future while underperforming today.

[ppp]

I checked that out. Pg 17 of the presentation gives a clear picture.  He has more unhedged production plus the price increases from 57.51 Q4 to 68.21 Q1 77.10 Q2 In Q3 and 4 hedging drops to 4000 bbls. So I say their numbers are close.