If KWK is hedge at 5.06 for 70 percent what does the price mean to us? Any thoughts? Certainly long-term this is all positive and hopefully the 5.06 becomes 6.25 in 2015.
Did anyone see the article on Chesapeake and a drop in production? We have had a drop in production...do you think this could be a play by the major NG producers to get price up ... or maybe just plain economics.
Bottomline is price are not going down but are stable to up...
Triple7 what I was alluding to was a question you raised a while back. Fundamentally discounting the HRB presently how does KWK turn a profit. Two things need to happen maintain and increase production and secondly sell product hedged or non hedged at higher numbers. The trend on NG is certainly working in our benefit not sure how to do the numbers on this and what (cf$)to plug in that's the question?
Agreed, my NG furnace is running as I type. Seven inches of snow last night just 15 miles north of me. Usually my better half is selling bunches of daffodils by now, but they are not even breaking the ground yet next to my house on the south side. If history repeats itself,, we should have a very warm summer after a very cold one. NG wil be in more demand in the state that I live in because of a nuculer plant closing and a big switch to NG from coal from my utiity company within the last year.