Post by
zack50 on Mar 11, 2023 11:48am
Interesting to note...
The CF went from ~$100M to ~$274M and this was after a hedge loss of $98M... thus the CF might have been closer to $400M without the drop in WTI.
Additionally, the Enerplus deal, which closed a 4K b/d core accretion on Dec. 19th, was not included in the 2022 CF #s and production #s. Thus the 15% accretion for that deal will show up in 2023.
Comment by
PreludeSH on Mar 11, 2023 3:45pm
That hedge loss is painfull...I know Paul likes his costless collars, but given that the probability of oil going below $60 is extremely low, while $100 oil is a lot more feasible in the coming months, then Surge should go completly unhedged. Paul seems like a gambling man with his M&A, he should transfer some of that mojo into abandoning these collars.
Comment by
Dibah420 on Mar 14, 2023 12:05pm
PC learned some valuable, if painful, lessons during the commodity downturn of 2014-2020. A conservative approach might be prudent vs the pom-pom-rah-rah cheerleading of "$100 WTI for a decade" by some others. Besides we are now at the end of of the unwinding of all the punitive hedges forced on SGY by covenant holders. Slow but sure, to stay in the race. Cheers
Comment by
steve957 on Mar 14, 2023 8:10pm
yeah paul is doing a good job, SGY is probally in the best postion it has been in a long time i think oil will rise in the spring summer and SGY should be 12- 14 bucks, I sold my CJ today and bought more SGY, I was surprised CJ got such a nice pop