I should have said essentially the same company since they "share" the same assets. In any case, you are asking for an audit imo. Better to harvest your loss and revisit again in 31 days. In any case, apparently the problem is not a global oil glut but a US oil glut because we no longer have enough infrastructure to move the oil around to where it can be used and we cant export it either. So too much supply in the US should push the US price down, while the global or WTI price stabilizes as it appears to be doing. That would explain why the Saudis aren't dropping production. But the small E&P companies in the US who cant raise cash are vulnerable to over supply and therefore dropping prices. I've heard it estimated that the price might hit 70 before it begins to recover. And I guess LINE was considered one of those smaller E&Ps. I don't know if that's accurate with the deals they've closed and the hedging they do but they are starting to look pretty cheap down here.
Why wouldn't one of the big oil conglomerates come in and buy LINE here? Its trading right around book. Heck, XOM could get all the land for development and all the cash flow at a substantial discount to what they already agreed to pay for it and they wouldn't pay out 12% either. And they don't have to worry about raising cash, which, by the way, is still remarkably cheap and looks to stay that way for a long time and it would replace Russian production as well. Just a thought.
This is the quiet period. They re not allowed to say anything. Suggest you listen to the earnings conference call before you make up your mind.
Sometime it's just better to admit you've made a mistake and move on. There is always another investment.
Should test the 52 wk low of 25.79ish but with a coverage ratio now at 1.17 and getting larger, distrib shouldnt be an issue. Your call.
Cant wait until the Tribeca store is open. We go to the Kips Bay location for the best bbq chix in Manhattan. They use Murrays. But stay away from the fish, you must get terrific fresh fish in coney island anyway.
Stuff happens, you have to deal with it. The question is, what do you think from here? Everyone seems to hate Line now that there is less risk, a 10+% yield and a partnership with XOM. The stock has pulled back over 30% from the top so what is the risk reward going forward? BTW, isn't less oily, more gas better here at close to peak prices for oil? Just a bystander trying to learn the battlefield moves.... K