Transformational acquisition-7 Jul 2021 08:35
Massive move, strong asset value. Snap shot below sums it up. Am upgrading I3E to a STRONG BUY:
Through this strategic Acquisition, i3 significantly enhances its production, cash flow and reserve base while maintaining a strong balance sheet. Pro forma the Acquisition, i3 is expected to:
· Increase NTM production 84% to 18,470 boepd (47% oil and NGLs)
· Increase NTM net operating income 70% to US$75 million
· Increase 2P reserve volumes by over 150% to more than 132 mmboe
The Acquisition of the Assets enhances i3's ability to grow production, free cash flow, and its planned return of capital to shareholders.
i3 will continue to balance its pursuit of organic and inorganic opportunities, directing disciplined capital allocation towards its core operating areas. i3 remains committed to its long-term growth while delivering to its shareholders meaningful share price appreciation and cash distributions.