Yangarra Resources Ltd T.YGR

YTD Peer Comparison YGR , IPO and PRQ

[margaritaman]

While the product mix is diferent for each and both IPO and PRQ pay a dividend I like to use these similarly sized E&Ps to demonstrate just how cheap YGR is currently trading. 

	YGR	IPO	PRQ
FFO	$59	$50	$38
Capital Exp	$40	$56	$24
FCF	$19	-$6	$14
Net Debt	$99	$68	$61
Ent Value	$194	$227	$240

[Helloworld]

YGR has finally learned to do more with less... they just licensed 4 new wells in Cheddar for a section (this is in an area where they have previously done 8 wells in the section).  Chambers they have done 4 wells per section with great results... reasonable production with much lower decline than rest of their profiles.  they have probably burned more than their entire EV in wasteful

[kavern23]

I would wait until oil is 60 before considering to buy anything, see what share prices look like at that price band. I think OPEC delayed their production increase from December to January as they knew trump likely wins and January is when trump can do stuff like fast track approvals of oil infrastructure in Permian. Opec needs to lower prices to lower growth. Nigeria just announced a few hours

[margaritaman]

Kav, Just did a quick calculation and based on the following YGR woud still FFO ~ $80M and with a $60M capex we are looking at FCF of ~ $20M $60 WTI Differential remains at about $5 for Edmonton Par 11,000 boe/d 40% Liquids CDN dollar remains where it is AECO recovers to it's10 year average of $2.50 At current market cap of $93M thats like a 21% FCF yield.