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L3
Yes I got my $ per boe wrong on gas. You say $60. On reanalysis I think it will $70 on average. But let's take your figure, and we get @$900m in net debt reduction.
Interestingly the %age of gas is increasing, so presumably operating costs will be lower. Oil must cost more in operating expense per barrel.
Also cost synergies with Pmo merger have not yet materialised. This suggests future cost saving as the operations are consolidated.
This will be a very different business come 2022. Also the creditors overhang needs to be cleared before Harbour can truly ditch its Pmo baggage.
From presentation, say low end 200kboepd production, 50% oil, 50% gas
50% of oil hedged @61.00, 66% of gas hedged @$26.63
Hedged oil daily cash = 50k @$61= $3.05m
Unhedged oil daily cash = 50k@$75 = $3.75m
Hedged gas daily cash = 66k @$26.63 = $1.76m
Unhedged daily cash = 34k@$180=$6.12m
Daily total cash = $14.68m
Operating expenses= $3.2m
Daily operating cash flow = $11.48m
Annual operating cashflow =$4,190.2m
Less capital spend $1,300m
Less Interest $260m
Less divis $200m
NET DEBT REDUCTION = $2,430.2 !!!
This looks too good. Have I done something wrong?
NOFEAR
Agree.... nothing that bad in the update. Just MMs shaking out panicked holders
The dividend is ok, but more importantly, very affordable . I thought we would be in 440s today. Oh well, just a bad day in the office
Tomorrow is another day !!
Kraken
You can't look at just mkt cap, what about debt. You have to add the two together to get Enterprise Value.
On that basis Hbr has more than 4 * production but less than 4 * EV. Plus 4 * better opportunities to grow.
Debt free by 2025
So Hbr wins by a mile.