With NG at $4.13, CHKR should recover much of its stock loss in the past few months. With world NG prices 2-300% higher than here, NG has a bright future with the LNG terminals for export coming on line in 2-3 years.
Well, the last quarter they were selling their NG at about 60% of the market price and have never explained why there was such a discrepancy between their selling price and every other company selling NG. If this happens again the lawsuits are going to start flying. They still need to properly explain why they were getting sixty cents on the dollar.
You should read the prospectus where they very clearly state that their selling price of NG will be at a (growing) discount to the NYMEX Henry Hub price. Most people don't recognize that NG sells at many different prices throughout the country, just like many other different products. Another factor in the distribution is the amount of production. althought the subordination levels guarantee a minimum distribution. Even with the subordination levels, the stock could react to negative production numbers.
Time will tell, but my theory is that these royalty trusts are turning out to be not so great investments and that there is risk of further stock price declines as the production levels don't live up to projections.