Good morning from the Wet - wet snow - freezing rain - and soon to be a rare WHITE(CAP) CHRISTMAS!! Winter is had been here a while already but with December 21 bring winter solstice it's here and it's here with a vegance !
I just want to take a second here to remind everyone what just happened here over the last 3 months or 4th Quarter . What we had was a re-set a mental reset . I think we can all agree that going into November we all thought this was almost to good to be true with Oil already above 80 and natural gas above 5 . Heck ! We even had 3 huge trading institutions calling for 100 dollar plus oil and some predicting 90 in December alone with no catalysts . Then covid - Omnicron hit and a big bucket of cold Biden water was thrown from China - India - amd the USA in talk of a unilateral SPR release . The US as out good friend my Gamble will tell you was hiding in there 50 M - 18 million of slowly releases SPR simce
the beginning of the year . In the end I would say it was covid and still is covid raining on the parade , the SPR release , whispers of Iran simultaneously coming back all did nothing to to help
All if this being said , I just want to point out in simple numbers that if we break the 4th Q into simple numbers or monthly averages and I am being bet loose here , this is just to draw a picture .
October - 80 WTI
Noveember 78WTI
December 68 WTI
So add these together and you get 226 and decide this by three ? Your 4th Quarter is average..................
$ 75.33
I just wanted to point this out because we had a large reality check here recently with oil dropping , news being terrible , and aside from Oil stocks still depleting there is not much positive going on . What seems to be happening now is analysts are waiting for the worst to pass , then buying will take place .
Here is my point and it might brighten your day a bit more if your a long whitecap holder and that just reality !
Whiteap just announced they did 3 smaller tuck in acquisitions and they did there sell job based on 65 dollar oil. I just say another company come out with a small announcement and they used 70 WTI . I had to double check there announcement because there numbers were better than whitecaps When it came to metrics and the reason was us they used $70 dollar oil.
We moved 1st quarter drilling back to 4th quarter so this might reflect in the bottom line but take away this and this should be the best quarter in Whitecaps History.
Check out this weather ......
Temperatures this weekend on Sunday particularly are to be -17. That is the temperature not windchill. Crazy Artic Front blowing down combined with percipitation will give the greater Vancouver - Fraser Valley record cold and some serious Champaign powder over the Christmas holiday this weekend.
Merry Christmas!!!