Today, 2:21 PM
- Magnum Hunter (MHR -1.3%) is downgraded to Hold from Buy with a $2 price target, cut from $3, at Canaccord, which believes the current capital structure - "highly levered with onerous terms" - will deliver little value as natural gas prices likely will continue to be challenged at main southwest Appalachia pricing points through 2016.
- Canaccord likes MHR's core Marcellus and Utica assets and its stake in the Eureka Hunter pipeline, but says the balance sheet appears stretched with total debt of $966M; although the company has several options to increase liquidity, the firm thinks exercising these options would dilute core assets.
Tue, May 26, 3:35 PM
- Magnum Hunter Resources (MHR -2.6%) agrees to sell more than 5K acres of non-core undeveloped and unproven leasehold acreage in West Virginia's Utica Shale for ~$41M.
- MHR says the land was not in its long-term drilling plans, and many of the leases in the acreage are set to expire soon; MHR has 210K acres of land under lease in eastern Ohio and West Virginia.
- MHR has said it wants to sell $450M worth of acreage as part of efforts to improve liquidity.
Mon, May 11, 7:06 AM| Comment!
Sun, May 10, 5:30 PM
Wed, Apr. 29, 2:56 PM
- Magnum Hunter Resources (MHR +10.8%) surges more than 10% thanks to an 8-K filing where it cleared up a misunderstanding in the marketplace regarding capital it needs to raise as part of its credit facility redetermination.
- MHR clarifies that in accordance with the recent amendment and waiver to the first lien credit facility, it is required to raise by May 29 - and not by any earlier date - $65M in total net cash proceeds.
- MHR also reiterates that it is actively pursuing several "potential liquidity enhancing transactions" to raise cash for its bank needs and well as working capital.
Wed, Apr. 15, 9:11 AM
- Magnum Hunter Resources (NYSE:MHR) +2.5% premarket after saying its Q1 oil and gas production increased 66% Y/Y to 14.7B cfe (~2.5M boe) or an average of 163.6MM cfe/day (27,261 boe/day).
- Production was comprised of 74% natural gas, 13% oil and 13% natural gas liquids, vs. 56% natural gas, 29% oil and 15% NGLs in the year-ago quarter.
- MHR says the production increase was attributable primarily to its expanded 2014 drilling program in its core areas of operations and production results from the Marcellus and Utica Shale plays.
Mon, Apr. 6, 5:46 PM
- Magnum Hunter Resources (NYSE:MHR) slipped 3.5% in today's trade but recovered from early losses approaching 12%, after saying Friday it received a Wells Notice from the SEC and the shares are downgraded to Hold from Buy at Wunderlich.
- While MHR has not yet been charged with any wrongdoing, the firm writes that the SEC's move will distract the company from its operations even in a best-case scenario, while the worst case would mean fines; without any real information about how long the situation could last, the firm says it cannot recommend buying the stock even as MHR is “entering 2015 with huge momentum."
- The SEC may seek a range of remedies that could include a cease-and-desist order, injunctions, disgorgement with pre-judgment interest, and civil money penalties - all of which adds more uncertainty to the MHR story, Wunderlich says.
Mon, Apr. 6, 12:44 PM
Mon, Apr. 6, 9:18 AM
Fri, Apr. 3, 6:22 PM
- Magnum Hunter Resources (NYSE:MHR) discloses it had received a Wells Notice from the SEC stating that regulators had made a preliminary decision to recommend an enforcement case, along with notices received by CEO Gary Evans, a board member and two former executives.
- MHR says it believes the pending enforcement case relates to internal controls during periods before it filed its annual report for 2012, which identified material weaknesses; MHR says it had remediated all of the weaknesses by the end of 2014.
Thu, Mar. 12, 9:14 AM
Tue, Mar. 10, 5:38 PM
Mon, Mar. 2, 7:04 AM| 8 Comments
Sun, Mar. 1, 5:30 PM
Mon, Feb. 23, 2:58 PM
- Magnum Hunter Resources (MHR +4.2%) trades higher after reporting production from four new WVDNR pad wells in West Virginia after several weeks of testing; together with three previously shut-in wells, the 100%-owned WVDNR pad is averaging 35M cf/day of natural gas.
- CNBC's Jim Cramer said Friday after the close that he expects MHR CEO Gary Evans will lay out a plan of the assets he plans to sell, and foresees a $2 jump in the stock.
Mon, Feb. 23, 1:00 PM
- Shale oil producers are cutting output so quickly that U.S. crude production could fall sooner than expected, according to several CEOs who told Reuters they were taken aback by the scale and speed of the cutbacks and that the current oil price downturn is different from previous episodes in their careers.
- Just a few weeks ago, the prevailing view among industry insiders and analysts was that U.S. oil production would keep rising for several months despite falling rig numbers because of rising productivity of active wells and drilling inertia.
- Many companies have announced 25%-70% reductions in drilling and a total of at least $25B in spending cuts; Magnum Hunter (NYSE:MHR) is one that went even further, halting all drilling and telling services firms it will not resume work unless its costs fall 40%, and CEO Gary Evans predicts such cuts foreshadow falling U.S. production within the next two months.
- After years of breakneck growth, top shale companies Apache (NYSE:APA) and EOG Resources (NYSE:EOG) have said their oil and gas output this year will be flat.
- Continental Resources' (NYSE:CLR) President Jack Stark calls the precipitous decline in the number of active U.S. land rigs to roughly the level EIA had forecast would be reached in October as "probably faster than I've ever seen."
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MHR vs. ETF Alternatives
Magnum Hunter Resources Corporation is an oil and exploration and production company. The Company is engaged in exploration, acquisition, development and production of crude oil, natural gas and NGLs resources in the United States and Canada.
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