Yangarra Resources Ltd T.YGR

Valuations

[TheRexmember]

Hearing a few more properties are being marketed in Cardium. We will see who the winners are.

Too bad equity prices are low on YGR and BNE. Hard to make accretive acquisitions when trading at 60% of PDP like BNE is. 

YGR now down 10% and PNE up 10% since the dividend cut at Pinecliff.

[kavern23]

Be a bad time to have to be selling cardium property..from sellers perspective. One of these public companies will expand in all likelyhood. Rex...do you think PNE would be worth 400m in an asset sale? Advantage Energy bought some charlie lake and montney right for 450M. And right in sweet spot of charlie lake.  I think it is longshore resoruces stuff. Hitting 1000 barrel oil wells. Bad

[TheRexmember]

It was longshore. Very expensive deal but the acreage fits like a glove. Too bad BNE didn't get it - it surrounds both new properties. But the price was ridiculous. Very poor negotiating. Must be desperate for liquids.  they paid 150 million more than BNE's current market cap plus debt. With a decline rate almost twice as high, 2,500 boe less production and far fewer facilities.

[kavern23]

Rex...this is similar to grain farming in this context of high quality versus low quality assets. Good black soil land in a good climate  is worth so much cause it can produce CF better in droughts or if it rains. Maybe get 6 bumper crops in 10 years, 2 good, and 2 just okay. Real bad soil land is same acres 160..but every 10 years you get few bumper crops. Would you want 160 acres of good

[kavern23]

Rex just have time to catch up on the advantage and longshore deal and it is more than acreage fitting like a glove or advantage being desperate for liquids. The reality is longshore was forced to do this. Advantage got a smokin deal because longshore had no choice no matter the fact longshore land is probably lots of sweet spot. All those plays vary in thickness and pressure. Longshore didn'