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Callum Turcan  

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  • Forest fires force shutdown of Cenovus, Canadian Natural projects in Alberta [View news story]
    Wonder how this will impact oil prices. I'm guessing there will be at least a slight upward movement in WTI, Brent, and WCS and the WCS-WTI differential will probably narrow.
    May 25, 2015. 01:09 AM | 4 Likes Like |Link to Comment
  • Devon Energy: More Output For Less And Strong Lower/Upper Eagle Ford Results [View article]
    It can be very disheartening when one of your investments falls while it seems everything else is going up, which causes pessimism to build. It takes far longer than four weeks for investing ideas to play out, but sometimes you feel like your money could be put to better use elsewhere. We will have to see where Devon Energy goes during these turbulent times, but I remain optimistic. Best of luck to you.

    - Callum
    May 20, 2015. 09:58 PM | 1 Like Like |Link to Comment
  • Occidental Petroleum - After Strategic Change, Happy With Current Game Plan [View article]
    Thanks, I'm glad you enjoy them!
    May 19, 2015. 05:20 AM | 1 Like Like |Link to Comment
  • Occidental Petroleum - After Strategic Change, Happy With Current Game Plan [View article]
    By strategic shift I'm referring to its divestment program over the past few years (this is my first article on Occidental Petroleum), including spinning off California Resources, selling its stake in the BridgeTex pipeline, and divesting its Hugoton Field assets so it can better focus on developing its Permian Basin position (for instance). I wouldn't say those sales are immaterial, as they are the reason why Occidental was able to raise its dividend while also having the option to keep buying back its OXY shares in the current pricing environment.
    May 17, 2015. 09:53 PM | 1 Like Like |Link to Comment
  • PDC Energy - Utica Comes Out Swinging, Wattenberg Plugs [View article]
    For a small up-and-comer like PDC Energy, missing earning estimates isn't that big of a deal as long as it's growing and in a good financial position.
    May 16, 2015. 06:47 PM | Likes Like |Link to Comment
  • PDC Energy - Utica Comes Out Swinging, Wattenberg Plugs [View article]
    Thanks! Well productivity improvements is a big reason why output from shale plays have held their ground even in the face of relatively low oil prices, and there still remains plenty of room to keep adjusting drilling and completion techniques for the better.
    May 16, 2015. 06:45 PM | Likes Like |Link to Comment
  • Electronic Arts: FY2015 Review And FY2016 Outlook [View article]
    I don't think EA botched Star Wars Battlefront, the free DLC (after paying $60 for the game) is a good show of faith that Activision would never do for a high-profile first-person shooter (other than maybe 1 free map every few editions or so). As long as there are plenty of maps and a lot of customization (which I assume there will be based on the customization in Battlefield) the game could potentially have pretty long legs. There is a lot DICE could do with this game, and I'm sure EA will offer plenty of unnecessary in-game items/boosts for a small price.
    May 16, 2015. 06:41 PM | Likes Like |Link to Comment
  • Occidental Petroleum - After Strategic Change, Happy With Current Game Plan [View article]
    One of the biggest things I like about Occidental is that its cash flow will be able to cover both its capex and its dividend payouts if oil stays around $60 a barrel going forward. This provides the financial security that generally boosts equity values.
    May 16, 2015. 06:23 PM | Likes Like |Link to Comment
  • PDC Energy - Utica Comes Out Swinging, Wattenberg Plugs [View article]
    Thanks! Definitely requires an iron stomach to invest in volatile small-mid cap shale players, but the reward is worth it if you pick the right companies.
    May 15, 2015. 07:00 PM | 1 Like Like |Link to Comment
  • M&A In The Shale Market - Noble Energy Shakes Hands With Rosetta Resources [View article]
    I'm bullish on the Delaware Basin addition of 46,000 net acres, it's not that developed and houses a long growth runway for Noble. Companies like EOG Resources and Anadarko Petroleum can 'break-even' on its wells (generate 10% ATROR) around $40 - $50 WTI, with returns at $65 WTI being in the high-double digits, in the Delaware Basin in the core part of the play (the "oil window/high confidence area as APC calls it) by tapping into the Avalon/Leonard, Second Bone Spring, or Wolfcamp horizons. Lots of potential there, and Noble Energy was able to buy the land at a relatively low valuation due do low oil prices. All-stock deal for producing assets, even after factoring in taking on $1.8 billion in net debt, in two of the best plays in America seems like a good move to me. We will have to see how things pan out and where WTI goes (plus see if Midland differential stays around $4 per barrel). Just my thoughts on the merger, good article.

    - Callum Turcan
    May 14, 2015. 03:52 AM | 1 Like Like |Link to Comment
  • Reviewing EOG Resources: Quickly Approaching 'U' Shaped Growth [View article]
    Better drilling economics is what's allowing EOG Resources to outperform WTI. Now that EOG can generate the kind returns at $65 WTI (or lower, considering well productivity boosts and lower D&C costs per well than expected) on its wells that it was generating when WTI was $100 a barrel two to three years ago on its wells in its core plays, a new correlation is setting in.

    - Callum
    May 7, 2015. 05:50 PM | 1 Like Like |Link to Comment
  • Reviewing EOG Resources: Quickly Approaching 'U' Shaped Growth [View article]
    Low oil prices have substantially reduced third-party costs which has pushed D&C costs per well by an additional double-digits. Combined with massive improvements in well productivity, EOG can generate a 10% ATROR at $40 WTI (or lower) in the Bakken/Upper Three-Forks plays, the Eagle Ford play, and the Delaware Basin. Companies like EOG Resources and ConocoPhillips have been touting that due to these improvements, they can generate the same return when WTI was at $100 back in 2012 - 2013 on their 2015 wells when WTI is at $60 - $65 a barrel. Better drilling economics (which is guided to only get more lucrative as well productivity increases and costs continue to decrease) and a strong financial position is why I see EOG being a good long-term buy-and-hold kind of play.


    - Callum
    May 7, 2015. 05:46 PM | 2 Likes Like |Link to Comment
  • Reviewing EOG Resources: Quickly Approaching 'U' Shaped Growth [View article]
    I like that quote;

    "History may not repeat itself exactly, but it often rhymes."

    Conveys that investors shouldn't expect the same thing to happen if contemporary events happen to be similar to historical events, but that history does tend to repeat itself in some way, shape or form.
    May 7, 2015. 05:38 PM | 1 Like Like |Link to Comment
  • Don't Worry About $55 WTI, EOG Has Leonard [View article]
    I've written multiple articles covering other E&P players operations in the Permian Basin and I have also written about EOG's Second Bone Spring upside potential as well.
    May 2, 2015. 03:09 AM | Likes Like |Link to Comment
  • Chevron Q1 Earnings Preview: What Will The Next Few Years Look Like? [View article]
    Chevron shouldn't increase its dividend until it starts generating free cash flow once again, which is assumed to be around 2017 - 2018 depending on where WTI, Brent, Henry Hub, and LNG prices go.
    Apr 30, 2015. 06:35 PM | 1 Like Like |Link to Comment
COMMENTS STATS
532 Comments
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