Wed, May 27, 6:57 PM
- Analysts appear to appreciate Crescent Point Energy's (NYSE:CPG) C$1.53B takeover of Legacy Oil + Gas (OTCPK:LEGPF) more than investors; analysts say the deal makes a lot of sense, but investors nevertheless sent CPG shares 5% lower in today's trade.
- Roughly two-thirds of Legacy’s production folding into CPG's core areas, the land being acquired provides an attractive entry into an area of Saskatchewan where Legacy has been posting strong results, and the deal may have a positive impact on the prospects for CPG’s dividend.
- Raymond James analyst Chris Cox thinks the deal provides investors with greater visibility around the sustainability of CPG’s dividend beyond 2015; he believes CPG will be able to fully fund its capital program and current dividend at $70-$75 oil prices in 2016.
- Brian Kristjansen at Dundee Capital upgrades CPG to Buy from Hold, noting that Legacy’s overlevered position and resulting share price weakness allowed it to be bought at an attractive level.
- Analysts say debt-burdened Canadian companies including Lightstream Resources (OTCPK:LSTMF), Penn West Petroleum (NYSE:PWE) and Connacher Oil and Gas (OTCPK:CLLZF) could become targets as larger buyers become active.
Dec. 16, 2014, 6:23 AM
Dec. 8, 2014, 4:55 PM
- Canada's S&P/TSX Composite Index suffered its biggest one-day loss in more than three years, plummeting as much as 462 points before settling for a 350-point beat-down, as resource stocks took a deep dive amid weakening crude oil prices.
- Purpose Investments' Som Seif says the selloff suggests investors are growing even more worried about how the resource heavy-Canadian economy will fare in light of the collapse in oil prices: "We still have lower to go for oil, and so there is the potential for energy stocks to see an even further decline from these levels.”
- Among today's worst performers: Lightstream Resources (OTCPK:LSTMF) -19%, Surge Energy (OTCPK:ZPTAF) -14.2%, MEG Energy (OTCPK:MEGEF) -14.1%, Crew Energy (OTCPK:CWEGF) -12.3%, Pacific Rubiales Energy (OTCPK:PEGFF) -11.2%.
- ETFs: EWC, FCAN, QCAN
May 27, 2014, 9:59 AM
- Lightstream Resources (LSTMF +0.7%) says it has agreed to sell a package of 700 wells and other assets in Saskatchewan, which represents 20% of the production associated with its conventional business, to Spartan Energy (PTORF) for C$98M.
- Lightstream now expects 2014 production to average 43K-45K boe/day, while cash flow guidance is unchanged at C$3.19-C$3.34/share.
- Also says its seven-well battery in the Swan Hills region of Alberta and B.C. is operational.
May 15, 2014, 1:31 PM
Apr. 15, 2014, 4:16 PM
Mar. 18, 2014, 6:24 AM
Feb. 18, 2014, 5:28 PM
Nov. 15, 2013, 2:03 PM
Jan. 11, 2013, 9:56 AMPetroBakken Energy (PBKEF.PK -2.7%) sets its 2013 capital budget at C$675M, which is expected to result in average annual production growth of 8%-12%. The plan is expected to deliver an average daily production rate of 46K-48K boe/day and exit 2013 production of 49K-52K boe/day, with an 85% liquids weighting. | 3 Comments
Feb. 1, 2012, 11:39 AMPetrobank Energy (PBEGF.PK +5.3%) shares pop following the company's sale of its May River oil sands assets for $225M. This leaves Petrobank with a large net cash position, perhaps making investors wonder if a spin-out of subsidiary Petrobakken (PBKEF.PK) won't soon follow. (submitted by Devon Shire) | Comment!
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