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egmjpb

egmjpb
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  • Report: McClendon trying to force Chesapeake to drill wells it doesn't want [View news story]
    He is simply doing what the has a right to do as a WI owner. Remember, as a WI owner he also must pay 2.5% of the dry hole or completed we'll cost. It's not an ORRI. We certainly haven't seen CHK stock rally since Lawler has taken over even with improving commodity prices across the board.
    Feb 27 01:50 PM | Likes Like |Link to Comment
  • Natural gas tops $5 for first time since 2010, demand should remain high [View news story]
    Plenty of behind pipe supply waiting on infrastructure in Marcellus. Associated & dry
    NG meeting demand for now. Permian, Eagleford, Bakken, Miss Lime, Cana Woodford all still drilling full speed ahead.
    Jan 25 10:55 PM | 1 Like Like |Link to Comment
  • Devon Energy: Why You Should Be Bullish On This Company [View article]
    Good comments and I agree on Devon's upside but I would caution using $95 p/bbl on WTI economics and using HHub. The Cal-14-18 NYMEX WTI strip settled today close to $85 and the NYMEX HHub strip settled close to $4.20. This is BEFORE any basis or handling cost.
    Dec 13 03:26 PM | 1 Like Like |Link to Comment
  • Energy investor Darren Schuringa has been quietly racking up stellar returns by investing in MLPs with growing payouts. On Linn Energy (LINE), questions around some accounting practices are "not material to the underlying business or the quality of their assets," and fundamentals "will overshadow the short-term noise about their hedging programs." Other favorites: ATLS, CVRR, SEMG, ACMP[View news story]
    Short term noise about their hedging program? The noise is smart and they know how to manage price risk. Buy.
    May 28 08:56 PM | 1 Like Like |Link to Comment
  • Top shareholder Southeastern Asset Management wields its influence at Chesapeake (CHK), placing Thomas Ryan, CEO of Service Corp. International (SCI), on the energy company's board. Director Louis Simpson is resigning after serving since 2011. Ryan will stand for election at the June 14 board meeting. [View news story]
    So true. The old Aubrey board certainly did not manage him properly but knew more about the business. Vitally important that board members understand O&G economics, fundsmentals, midstream, risk management, etc. I don't think this new board does. I am certainly concerned about that as a shareholder.
    May 4 01:31 PM | 1 Like Like |Link to Comment
  • Why You Should Cover Natural Gas [View article]
    The main future driver of NG demand over the next decade will be power demand. Yes, economy & industrial demand certainly will be important to stabilize prices but projected power growth coupled with coal plant retirements will be a very important ingredient to the future demand picture.
    Apr 18 10:38 PM | 2 Likes Like |Link to Comment
  • Legendary Investor Jeremy Grantham Believes Natural Gas Prices Will Triple [View article]
    All true but triple when? Yes, rig count very low but has been. Storage deficit now over 800 Bcf y-o-y and possibly another withdraw last week and this week, which will be unprecedented. Does he take into account the amount of production waiting To come online in the Marcellus, Utica, Cana Woodford, Eagleford & the Miss. Lime? Much of this horizontal drilling, multi-stage frac and associated NG. So, yes prices could increase and have due to late winter demand but will it last? I say HHub stays between $4 and $5.50 p/mmbtu max over the next 3 to 4 years.
    Apr 17 12:11 AM | 2 Likes Like |Link to Comment
  • SandRidge Energy (SD) protests but approves candidates for a new group of directors proposed by TPG-Axon, following last week's court order barring it from resisting nominations forwarded by the hedge fund trying to reshape the company. Shareholders are set to vote Friday on whether to go with TPG's candidates and oust CEO Tom Ward or stick with the current board. [View news story]
    TPG proposed BOD has little clue about O&G, midstream, etc. Concerns me a great deal. Ward needs to step down as McClendon did at CHK but keep people on BOD that truly know the business.
    Mar 12 10:15 PM | 1 Like Like |Link to Comment
  • SandRidge Energy (SD -1.7%) is downgraded to Underweight with a $5 price target (down from $9.50) at J.P. Morgan, citing too much risk relative to any potential upside. The firm says if TPG-Axon wins its consent solicitation, the stock probably moves up, but the stock likely gets hit hard if it loses. Regardless, SD seems to need extraordinary measures to avoid a financial crunch. [View news story]
    SD doesn't need board members who do not understand the O&G business ans energy big picture. Way too many E&P companies have these type of boards member who don't have a clue.
    Feb 5 10:35 PM | Likes Like |Link to Comment
  • Chesapeake (CHK) will no longer be run by Aubrey McClendon, but the company he founded is far from rid of him. He is entitled to ~$47M in total compensation, but the most enduring entanglement is his interests in up to 2.5% of ~45K producing wells, which could make it harder to structure a takeover deal. "It's hard for me to imagine anyone wanting to take it all on," Argus' Phil Weiss says. [View news story]
    People, it's not an ORRI but a WI, so that means he pays for his 2.5% WI or should. Please remember, he co-founded the company and took the initial start-up risk. Yes, he made mistakes but he has been GREAT to OKC, the state of Okla. & many other states in his philanthropic efforts. So, before you rip him, please research what he has done. You might be surprised.
    Feb 1 10:54 PM | Likes Like |Link to Comment
  • Shares of natural gas producers Chesapeake (CHK +5.3%) and Southwestern Energy (SWN +2.9%) rally as a dangerous cold snap hits the eastern and midwestern U.S., boosting demand and prices for the fuel. The east coast is seeing "some of the coldest weather in two years," Kilduff Report analysts say. The cold is expected to continue, according to extended forecasts. [View news story]
    It will take MUCH more than the current cold in NE & Mid-West to move NG above $4. Just too much surplus over the 5-yr. avg., NWS forecast bearish and associate NG keeping pace with demand. Certainly helps but need to end the Winter around 1.8 Tcf in the ground and just don't think it will happen.
    Jan 23 12:06 PM | Likes Like |Link to Comment
  • Why Natural Gas Could Be 50% Higher In The Next Few Years [View article]
    Just look at the contango in the forward curve. Easy to be bullish NG. Keep a close eye on 1) storage 2) production, in particular associate NG, 3) NG rig count and 4) demand (power & industrial).
    Jan 22 10:21 PM | Likes Like |Link to Comment
  • Don't Look To Chesapeake Energy For Your Predictions On Natural Gas Prices [View article]
    While I concur with you that CHK and Aubrey may not be the best at predicting NG prices but having been in the business for many years, I’m not sure if anyone is. BUT fundamentals ultimately rule and even though we have a very low NG rig count the fact remains we have now a record amount NG in storage 3.908 Tcf, with 2-3 more injections to go. Current dry production and associated NG IS meeting demand for now and drilling continues at a rapid pace in the Mississippi Lime, Marcellus, Bakken & Eagle Ford shale plays. Higher prices also mean even more NG supply added to the already “full” tank as well. Keep in mind that what is driving the drilling frenzy now are the processing frac spreads along with the price of WTI. As NG goes up, this also shrinks.

    Not sure what period you were thinking that prices would creep back to the $4-6 range but I for one just don’t see prices over $5 much less $6 for Cal ’13 & even into 2014. Not to say we wouldn’t see spikes if sustained BN temps this winter in the consuming regions & producing regions.

    Here are tonight’s closing CME/NYMEX HHub strips.
    Cal 2013 $3.772
    Cal 2014 $4.110
    Cal 2015 $4.290
    Avg 13-15 $4.058
    Nov 5 04:56 PM | Likes Like |Link to Comment
  • Don't Look To Chesapeake Energy For Your Predictions On Natural Gas Prices [View article]
    Yes, we do have a very low NG rig count presently but the fact remains we have now a record amount NG in storage 3.908 Tcf with 2-3 more injections to go. I’m not sure when you think prices will “gradually creep up to the $4 to $6 range” but I for one, do not see this happening in 2013 or 2014 for any sustained period of time. Sure we could see spikes if sustained period(s) of BN temps this winter in the key consuming regions & in the producing regions (causing production freeze offs) but associated NG is meeting the demand for now and drilling continues at a rapid pace in the Mississippi Lime, Marcellus, Bakken and Eagle Ford shale plays. Keep in mind too that what is driving the drilling frenzy now are the processing frac spreads along with the price of WTI. As NG goes up, this shrinks. Here are tonight’s closing HHub strips.
    Cal 2013 $3.772
    Cal 2014 $4.110
    Cal 2015 $4.290
    Avg 13-15 $4.058
    Nov 5 04:31 PM | 1 Like Like |Link to Comment
  • Chesapeake Energy: Dividend Yield, Debt Reduction, Asset Sales Make It Best Natural Gas Stock [View article]
    $8 BOE??
    Sep 10 09:54 PM | Likes Like |Link to Comment
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