You don't monetize hedges you produce and sell at the price of the hedge. That is monetizing. They deliver the contracts at the hedge prices and make the profit that way.
probably a lot less that 60% at this price of oil. Probably 50% of face. You are probably right but oil has to rebound. Now I don't know how much they have invested in Natural Gas but if they can keep hedging at right price that will generate a lot of income. Not only that but most utility companies are going to NG instead of coal so that is very good for LINE
Now really? Lets see now. The world is running out of oil and right now even though there is a surplus that is because OPEC is driving out the high cost producers and then the price of oil will go lots higher, probably by next year.
AHH don't worry, just buy more if it goes lower. If they keep buying back their debt which the bonds are discounted at 50% or more they will buy back and save hundreds of millions. I wonder how Line would de at 60 dollar oil? If they buy back enough debt to lower their interest cost and their strategic alliances with their partners., for right now they are in good shape.
Yes you can do that but by that time the stock will soar if oil rebounds and you will be late to the party. Can you imagine if they ever reinstate the dividend what this stock will do?
If stock goes down to 3 then valuation will be 1 billion. The question is will oil go down and stay down or will it ever rebound back to say 60. At 60 what would LINNS stock be worth?
Next month they will buy up more of the bonds and save even more. Is anyone factoring that in to the equation.? So far they have bought back 783 million saving 54 million in interest and more to come. Now if they buy back enough at deep discount they will be saving hundreds of millions in interest debt perhaps getting a stronger balance sheet. If not they someone will come along and they will get bought out.
Look out for the bondholders? They are buying back the bonds at deep discount. Go figure if oil rebounds and they save all that money in interest then this stock could be very explosive.
Do you think that the OPEC countries producing at record amount has anything to do with this? What would happen if they decide to cut back?
LINN can now buy out its debt at more than 50% discount. It still is hedged and if oil recovers then at this price what can happen??
what stock price? Line is almost a penny stock now. What can happen is another oil company can come along any buy out Line for practically nothing.
If the NAV were anywhere close to what you say then MCC at this price would be a steal. So what analysis did you do to get these numbers.?
OK there was article in Wall street by Katy Strech about Family Christian getting an offer of 57 million by a buyer from Arizona. When I called the IR and ask he said this could take awhile and has to be approved by the courts. I could not get him to explain much. If the ER were going to be ok and dividend stay at 30 thin why is the stock going down so much?
Paranoid small brained troll??? Now that is showing your emotion to someone you don't even know and will never have an effect on you life.
back in January oil was selling for 49 a bbl and LINE was selling at 10
so what has changed since then? 10 to 6 is quite a drop, Cramer or no Cramer.
Do you think that all of a sudden he is our stock savior and we cant read a balance sheet?