Q2 was disappointing as production averaged 780 MMcfe/d
But, recall in the cc in August, CEO stated that July already showed a significant increase...suggesting that Q3 should be comfortably above Q2 production
""LINN has experienced a challenging start to the year as lower than expected returns from our capital program coupled with historically low NGL prices have weighed on year-to-date results," said Mark E. Ellis, Chairman, President and Chief Executive Officer. "While these and other challenges have made for a disappointing first half of 2013, we are optimistic about the remainder of the year and expect to deliver annual production growth of approximately 8% - 10%, as July volumes averaged approximately 815 MMcfe/d."
CEOs are always optimistic. That's what they're paid to be, as well as mollifiers of shareholders and walking PR machines. That's why Warren Buffet doesn't talk with CEOs (or other top company officers, for that matter). It doesn't mean that CEOs are willful liars (though I have personal experience with a number who were), but they're energetic optimists and as capable of self-deception as the rest of us. In my view, nothing a CEO asserts trumps the cold reality of events or the hard-edged reality of data, which, unfortunately, can be (and too often is) manipulated. My cynicism applies to all companies, bureaucracies, and governments. That's because they're run by humans whose psychological engines are pretty much the same, although within the framework of different cultures.
Re Linn: Those who've believed that the Berry deal would actually go through as initially agreed upon have been attempting to paint on clouds with their fantasy rationales. I doubt they would have done so had self-interest not been aligned with a successful consummation. Nevertheless, I still hold to Linn, in the long term, being a productive income vehicle. But it wouldn't shock me to be wrong, though I'd be awfully disappointed. So I suppose I'd have to conclude that the word "investment" is simply a euphemism for a higher level of speculation.