here is what I think you are missing.
you are focused on the 2014 production guidance of 38,000-42,000 boe/d and view that as disappointing.
What you are not seeing , but will become more clear is that HK will be selling acreage that has not yet been announced that has production , in addition to that which is already in process & is already publicly announced. That is what has to be factored into the 2014 guidance that you are missing. This is not a negative.
Look at KOG, they have just reported a 35,000 boe/d quarter and the stock is $12, $13.
It is a good thing that Floyd has finally identified the core areas he wants to build the company on, and will divest the others as non core. It will improve so many things for HK going forward.
I expect to see increases to the reserves in the core areas that will be dramatic.
The knock on HK has been the unbridled spending and lack of focus, now that they are moving to correct that, it is not time to get negative.
jack, jack, jack,
one, that would be very un floyd like, FLoyd definitely has an ego, this is his baby, he wants to captain it.
he already has the kind participation of others that he wants, ie the CASH investment by the others, notably the cppib, andt the others who have bought the bonds, and the equity offerings.
so it is not clear that bringing in a JV partner would be a positive and almost certainly is not what Floyd , if you know him, would do.
But i have to ask you because this is all too often the problem on this board.
What has caused you to make your statement. when I last talked with HK sources and that was recently, i got no such indication. There is nothing in the presentations that would give your story credence, There are no other analysts speaking of it either. SO WHAT IS YOUR SOURCE?
this should be good.