% | $
Quotes you view appear here for quick access.

КОрпорация Кодиак Ойл & Газ Message Board

  • uwin2day4gd uwin2day4gd May 12, 2013 3:07 PM Flag

    Wall street understands big debt

    Which is why Kog is still snailing along..No matter the oil inventories ,still a big debt to pay off.And when this market corrects a lower oil sale price.Kog is priced exactly for what they think it is worth.Kind of makes you wonder what the hedgies see in Kogs future that the pumpers here dont?

    SortNewest  |  Oldest  |  Most Replied Expand all replies
    • It doesn't matter, as the pps will be above 12 by year end.

      Sentiment: Strong Buy

    • I don't wonder at all.

      As I've said before, I doubt that KOG will ever pay off that debt.

      Why should they?

      The majority of it is securitized and unlike bank credit cannot be called in if anything material changes in KOG's operations for 6-years with the exception of a default on the interest payments.

      Meanwhile KOG is using that $850M in unsecured bond debt, to add 50% (50K acres) to their original 100K acres.

      With KOG increasing their proven reserves and cash flow last year by 180%, it appears that they were right about that!