Valeura Energy Inc T.VLE

Why dividend

[AucontraireII]

Assuming all goes as planned, why would a dividend be better for shareholders then plowing the capital into new acquisitions similar to the recent one?  Instead of having somewhere around 25,000 bbl/d production, why not shoot for 50, 75, even 100,000 bbl/d?

[traderlong2]

expecting potential for both a small divy will be healthy for the stock/investors balance of FCF to growth

[SMlachake]

I think this is key in order to attract all sorts of investors including those who hold stocks long for divided. Most analyst will even have divided paying stocks as a category since they know some potential investors are watching. Management here has proven that they don't need loads of cash to make great acquisitions and with around than 95M share (everything exercised), VLE does not need to

[DocPat]

I like dividends too and I agree, this will bring a more stable investor and support the share price. That said, it seems to me, from Sean's comments that they have more acquisitions to do and with the +- $100M in the bank at close, they will have the cash to execute. And so, let 2023 be the year to grow, take this company up to 40-50,000 boe/d and then start dividending out a monthly

[BERationale]

A dividend is a clear indicator to the maket that there is free cash flow and they aren't just recycling capital to maintain production. As they will have very minimal debt (if any) they could always continue to grow by way of acqusition by using leverage whilst paying a dividend. Even at 1x cash flow they should be able to take on $350mm+ of debt which should give them plenty fo run way to go

[cyber37]

Not sure what started this silly talk about dividend; VLE needs to build up reserves, stabilize & possibly increase production and use the little cash they have left over for more acquisitions. It is way too soon to even talk about paying out dividend. While building up on this small acquisition share price should follow up & at this stage of company growth this would be the best for

[Hannamuk]

Not to forget, 50K production on a decline shelf now @ 140K is quite impressive!!  

[Overertune]

I prefer getting paid while waiting, because nobody knows how long it takes.  Waiting will damage SP.

[bfw]

The 'silly' talk started with the CEO. This was directly referenced in the December 6th conference call. If you invest in VLE, I suggest listening to the call. bfw  

[SMlachake]

Bfw, I guess 37 has quite a short memory. I made this clarification to him when we had this exchange just about a week ago. Either that, or he has other motives. Not that I care, but if nobody can see the connection between sp and an oil company paying divided, then 'silly' may be a praise to them. Glad SG knows something about building shareholders value. As I said earlier, there is a

[cyber37]

It is spelled D I V I D E N D.....

[BERationale]

Come on you can do better than that C37. Bottom line is if VLE is sitting on $200m+ of cash at year end as the analysts have projected, if they have not found another highly accretive acquisition, we would expect them to buy back shares or pay a dividend. No one on this board should want them to keep $2.00+ in cash on their balance sheet. Look at what POU did recently with their special dividend

[Buyreallow]

damned spell checkers

[SMlachake]

Wow! And just like that, you make your most sensible contribution to date 37, you make me proud, but why spaced capitals?

[cyber37]

Perhaps if I write slower….you can learn how to spell D I V I D E N D. With $200 million in cash at the end of the year VLE sure looks good but any active pressure maintenance (water flood) in aging field can be very expensive to maintain too. I also think that big part of that pile of cash has to be set aside for abandoning costs (currently ~ $ 200 million & growing). Company needs to sort

[SMlachake]

37, why do you keep saying the same irrelevant thing over and over again, dementia? Don't you think that you had a better chance of building some pride as a spell checker? I bet you know better about the company's obligations than the CEO? SG is the one who mentioned the likelihood of the VLE introducing a 'divided' with the new cashflow, so you have issues with that? You must be a

[Doubleneed]

I do not know where that 200M on hand end of the year come from, but it is non sense. 85% of 24200bd at a $4 discount to brent or $83.50, less $22 in opex, 19% in royalties and SRB, leaves $45.5 in operating netbacks or US $345M per year. Capex for Nong Yao is US70M gross for 2023 and 2024, at 76.5% interest VLE capex would be ard US27M per year. Wassana campain is US30M, 75% interest so US22M

[Suppe11]

I think, your calculation is pretty close (I made one on January 14. I used 80 oil and 25k bpd. My opex is 12m higher and I calculated an Ebitda of around $300m (US). We differ about the capex, I had 150m (incl. Rossukon) and admitted, that some of this may slip to 2024. Cost of wells, I took the high side side with 6m, you the low side with 4m. Under my assumptions, I came to cash cash

[Hannamuk]

Cyber, good you keep the echo chamber pushers active! For SadoMcake this is important: WATER INJECTION IN ALL FIELDS ACQUIRED!:-))))