I am talking about a 10-12 dollar buyout. If anyone bought at 13, you've got a long term capital loss to put against your winners. Not bad from 3.75, in my opinion.
I am with you. No need to worry in my opinion. Floyd added a pile at 4, and most of the old Petrohawk folks are looking to cash out again with a double, maybe a triple. I would settle for a ground rule double.
Yea, I own a small pile of UPL, and follow Watford. He is a smart dude. My fear is that some of these Marcellus guys are being pushed by their banker/investors to open the chokes regardless of Px, and fill that East to the brim. Hopefully they will hold the line, and not gut their reservoirs just to satisfy the stakeholders.
Yep. I appreciate your input on the heated hot water systems. That sounds good. But I do believe theat the infrastructure of the myriad Ng lines throughout Boston, NYC, Philly, Chicago, Cincy, Balt, and Detroit, underneath around 30MM people will pose a more serious threat in the near future. I think cheap Coal is good to power the Utlilities to electrify many of these Urban areas for heat. In other words, dismantle the existing gas lines, or at least run a good inspection more often. Can you see an apartment with around 1000 residents getting torched by a gas explosion? Not like a truck with 2 passengers involved.
The East storage is heading to alltime lows, and they should be heating those old houses and apartments with Heating Oil. I still believe coal and Oil are the answer to home heating in the big cities, but current greenies don't get it. Maybe that explosion will make them realize that the infrastructure for nat gas delivery is old in most places, and the people igniting their burners aren't rocket scientists anyway. Wait until they get behind the wheel of a NG automobile. VLO may have popped on the NG hazard, which I think is just the tip of the shrunken icebergs
Then what, Intel? Even if there is 4-5 years of pent up increased production capabilities, we are in a precarious state. I see the powers that be increasing storage capacity in the East (and elsewhere), and find out they can't fill it. Unless New York allows fracking, which I don't see happening,,"freezing in the dark" is a possibility in the Northeast at some point.
I give you a thumbs up rainbow for the accurate info, but what exactly will this allow SD to achieve. I mean the cat is out of the bag that NG is on a mid-major uptrend, Oil is good to go to 120, the market is kicking the tires of 2000S&P, and we are at magnetic 6. Maybe my ECA or DVN or HK or APC or XOM will benefit. But SD? Maybe a bailout at 8.5 will come out of this EIA/Powerburn news. Hopefully there won't be a Q2 report on SD
I'm just glad the market is up 200 points and it is freezing in the intelligently populated world right now, or else we might really be down today.
Alot of folks will sell this news. Might be good for the long haul, but nothing that's going to run this to 7 bucks. Only a buyout, induced by cleaninjg up the finances will make that happen quickly.
That;s what I was thinking when I added this morning. Maybe we do see 3.25 again, but I am not quibbling about a quarter.
What we need is for the East storage zone to be drawn so low that the reservoir pore space collapses (permeability wrecking, rock crushing), thereby rendering their storage formation capacity to half volume. Another Polar Vortex into mid March ought to do the trick. About 200 BCF in the East will get the job done.
Growing company. Hopefully they will hedge some oil at 100 and get through the summer with 2 good quarters. I will add tomorrow if thing goes sub 3.50 prior to floyd speaking.