I honestly haven't run the math. There are some previous posts (months ago) where commentators ran the math based on known and speculated pricing - both for oil and NG. To WRES's latest quarter - they are servicing their debt and have locked more future production into hedges. While they are certainly sacrificing some potential margin there, I am sure their motivation is to weather the storm with some level of pricing certainty. When you speak to long term solvency - the timeline becomes main question. Does WRES or just about any comparable company weather storm over 3-5 years of $30-35 barrel oil and $2-2.50 NG prices? Hard to tell. If I knew that, it would make buying and selling a lot easier.
Only two plays here (not counting options): either cash out / take the loss (unless you bought in Feb 2009 - last low) OR sit and wait for oil recovery. At this point, the energy market is dictating price as opposed fundamentals of this stock. I had hoped to see a rebound in a 1-2 year time frame. But I am now looking 3-5 years out for the oil market, maybe less on the NG side. If you compare WRES now to where it was back in early 2009, it's very much a different company in its energy profile. That viewpoint allows me to hold here. And if WRES decides to sell out to someone, then so be it.