Keep in mind the future of heating and power generation in the Asian countries is NG. All Nuclear power plants in Japan have been shut down forever. They and the government are in the process of aquiring future NG volume long term and we want the right partners. I'd love to see two JV partners, both at 20-25% interest. Glen has said it will be an integrated JV deal several times. And, "I'll do this in the best interest of our shareholders". He's holding a straight flush in a high stakes poker match.
David reagan said in the CC that he wasn't gonna let a 12/31 deadline interfere with getting another $100MM from the JV. So, they are dealing in the 100"s of Millions on this deal, as 14TCF is a 30-40 year reserve. Time is on KWK's side now with NG at $4.30 vs $2.78.
a guaranteed investment. One that you can hardly find on Wall Street. If anybody knows of a stock undervalued as such.. please, please post the ticker.... I'd love to research it.
It wouldn't bother me at all..... as a matter of fact, if it does trade in the low 2's.....I got resources headed my way...... and I will be glad to take em off their hands. That HRB JV will fetch in cash proceeds more in pps than where we are trading today. 14TCF....even 1/3 of that is worth pushing 40 Billion. This is a no brainer.
Downgraded. End of qtr portfolio dumping by managers stuffing with high % gainers, Aussies dumping steam and met globally as rainfall isn't significant. Long 6 months to go... EPA ruling on existing plants carbon limits. Start up cost for Leer.... More dedt, no insider buying.... $2.75 by mid march. Jmho.
And that is exactly correct. Headed to better markets and higher margins. Deleveraged along the way and west Texas funded. NG draw thrs 230 Bcft.
Thursdays NG inventory draw will be greater than 225 Bcft. Hundreds below the 5 yr avg's. Another artic blast will be here in 6 days....TWC.
Forcast out today states brutal cold will last to end of December and into January. Be ready for NG to return to historical patterns and $6-$7 NG is common in the winter.
For the time allotted Glen did a nice job. He was very confident in the company's plans on all fronts. Out of 400 dignitaries toured I got the feeling that country wants our gas assets as they have shut down all nuclear power generation. He's confident. He thinks we got a winner this winter, and sees underlying demand. JV price is increasing as NG heads higher, urgency to deal is in our favor now....earlier it was reversed. Stock is headed higher. Shorts are headed out .
Also, fund managers want it off there books by year end. Then, tax loss selling for those that have lost 70-80% ...its not looking good. Its going to take several months to see the bottom. All PRB contracted for ACI till late next fall.....bad move i guess. Met coal could rebound but no fund managers want it until it looks good again.