Surge Energy Inc (Alberta) T.SGY

Dividend is no longer sustainable

[Kherson]

I have been saying for awhile now that Surge has too much debt and it is now clear to all that I was right! Surge now has no choice but to eliminate the dividend at sub $75 WTI oil prices.
Kherson

P.S. I voted to withhold my support for Paul Collburne. I would suggest that all shareholders do the same.

[brewster123]

What nonsense! Debt reduction continues and only 18% of FCF is being utilized for their $0.48/year dividend. Buybacks continue, likely a special dividend later in the year, $1.4 billion in tax pools. Paul Colborne has my support.

[Baystboy07]

There have been no buybacks...not sure what you are looking at..problem is when you look at the fact they issued $19 million in flow through shares (I would assume all to Nuttal) to juice his returns that is the only reason they paid down debt. this company needs oil above $70 plus to keep funding that dividend.

[uwebb429]

I think Surge being forced to eliminate their dividend is about the most uninformed FUD I have ever read on Stockhouse. That says a lot. SGY could double their dividend tomorrow and still have plenty of cash flow left over to cover the dividend and to pay down debt. Some companies like GXE are always living on the edge and have to use debt to cover their dividends when the price of oil drops. SGY

[Baystboy07]

You should read the Q1 FS...cash flow from operations $54 mil. Spent on drilling/ land sales...$44 mil...spent on dividend $11mil....only way he paid down debt is diluting us more by issuing flow through shares of $19 mil. The results are the results and are based on poor oil price....my problem with Paul is stop with the bull$hit promotion and tell it like it is... if all his plays are "

[Red_Deer]

Hey KHERSON__You ARE Sounding Like VINTAGE ChemTrade eh !!!!!!!