I don't think anyone has even considered the potential interest in those assets of WLL, in the West Texas region by CVX. Concho has deep pockets and a huge interest there currently. Tim and the boys there in Midland are watching this thing closely. Exxon is not the only suitors along with COP looking at this deal..
It never seems to amaze me that GS will cover a stock for a new target, attempt to drive it low and have its
top clients pick it up and make 20%. CRZO is down in earnings for the first quarter because crude and gas
dropped like a rock last year... Is it not a surprise that earnings for the first quarter would be below all of last year. It is still exploring for new properties and has billions of dollars in proven reserves yet to be tapped. I can not see less than a $60.00 target for this company by the summer.
Oil up today along with CRZO. Rumors run that CRZO is a buyout target. Farm-out here a few and it is expected that they will be in a farm-out with COP. I would not be surprised that COP is looking at this company to acquire for the acreage. I am long here and and know the value of CRZO and it is way above the current price. CRUDE is on its way up with the summer season.
I went out to West Texas last week, Midland to be exact. I can tell you for sure that I saw with my own eyes dozens of drilling rigs between Midland and Odessa stacked in a row. I asked around town what was happening in the oil field. They all say it is slowing down a bit. One driller told me it is just a bump in the road and he will be back on a rig in about two months. It is simply that drilling will not be profitable until oil is back in the $65 dollar range. But the amount of oil in the supply will fall quickly and the price of crude will be back in the high $60's by July. It takes time but for sure, crude is going up in the very near future. I would not dump my equity here. Besides CRZO is rumored to be in a drilling venture with COP and may be a takeover target.