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Another opportunity to buy BRY on the cheap... $0.62 net-net, trading for half of hard book value, P/E of 4, in a business with rising demand and prices. All that for $0.58/share. If you don't like the net debt of $27 million, which will be reduced by the way with cash flow, ask yourself if a potential acquirer would still not be interested in a distribution business that has an EV of $41 million, generates $125 million/year in sales, EBITDA of around $8 million and very little capex needs? Thinking of it further, you can't have it both ways. People can claim that oil will remain cheap due to shale production but, current level of drilling/completion is certainly needed to maintain this pressure on prices. Cardboard

It is more how they are going to destroy the B.C. economy by cancelling the Site C hydro dam, TransMountain pipeline expansion and killing all LNG projects. This will please some of our scientists paid by our tax dollars and their religious war on CO2. Can't wait for these people to be unemployed and to see their kids go hungry. Cardboard

Based on my review of various Q1 E&P's MD&A, completion activity in the Canadian oil patch is the place where supply/demand is definitely tightening. Some had to delay completing their wells due to lack of crews/equipment. Some wells are getting quite complex with more fracking due to shorter spacing, they have sliding sleeves that need to be opened/closed and some are quite long especially in the Duvernay/Montney. I believe that this augurs very well for ESN or the largest coil rigs owner in Western Canada. Already in Q1 they had very good utilization and are planning to augment staffing by a lot in the Fall. BRY on this pull back remains very attractive in my opinion. Any rig addition means mud, chemicals and other fluids re-stocking. Then you have more usage with more wells being drilled and more wells being more complex. Cardboard

Coal gasification to produce hydrogen and import our beautiful LNG from Western Canada. If they are serious about it, they will breath fresh air in no time and avoid the 1000's of years needed to deal with nuclear waste. A problem that even developed nations have not figured out yet in over 50 years. Cardboard

Oct 2017 $12 strike CDN. Volatility in the 30 to 35% range so not too bad on a pricing standpoint. The reason vs the stock is a current lack of liquidity. Depending on how this shake out, I may buy the stock on margin later on and use the dividend to offset the interest. Cardboard

CVE Calls

It didn't look too good at first as they paid something around $2 and it quickly dropped to $1 but, now it appears like a double: https://www.stockwatch.com/News/Item.aspx?bid=Z-C%3aTMB-2473975&symbol=TMB&region=C Cardboard

And you are assuming to drive your cars for 15 years, bought the Sequoia used and your insurance cost is relatively low. For someone with a less frugal lifestyle, I would think that car ownership is closer to $10,000 per car/year. Considering that most people have them parked 97% of the time, I am not crazy suggesting that using taxis/Uber, and I would add public transportation, cost less for the majority of people. Many studies have actually been done on this. I made a mistake by using the word: "vast". So it is not a purely economic decision even if you live in Manhattan. It is a convenience, freedom thing and I like it. So screw Seba and his forecasts! There is nothing like driving a Ferrari La Ferrari downtown and have all the chicks turn their heads around ;D Cardboard

I never said that we will use lots of oil forever. It is simply the current situation and probably to your chagrin demand is growing every year. They estimate another 1.3 million barrels/day for 2017 globally or just over 1.3%. And what is worldwide population growth forecast for 2017? 1.1%. And the 1.3 million estimate is likely too low just like it was low-balled last year and in previous years by IEA. So if these so called very knowledgeable journalists, scientists, professors are so bang on with their research then why do we keep on seeing demand growth for oil still above population growth? It is called human development, people wanting a better life and for that oil has been the best/cheapest recipe to date. It does not mean that things won't change in the future. My vision would be for everyone to have a solar panel on their roof producing straight hydrogen. This would be fantastic and this will come. You could heat, cool your home and power your vehicle with zero CO2 emission. You would get rid of all line losses, power plants and all that energy infrastructure and I think that is the future. Regarding this and what RB said also, it is a big mis-conception: "Concerning EV, even if electricity they use emit GHG, their efficiency make the well to wheels emission better than ICE cars in most states and provinces already, and electricity production is getting cleaner and cleaner mostly everywhere." The Brayton cycle has the same efficiency or better than most combined cycles and is at par with the gas turbine. You now have more and more ICE cars shutting themselves down at a stop light and combustion and overall efficiency has improved massively in recent years thanks to Obama!!! A car that used to do 12 liters per 100 km is now at 8. Now, there is a solution to make power plants more efficient or to achieve your statement: cogeneration. With it, power plants increase their efficiency by at least 50%. However, there is a huge problem: "Not in my backyard". And with it goes down massively the need for cogen or essentially steam captured from heat loss that could be used for multiple applications in large cities. Human habits also play a huge role in technology adoption. I don't want to pick on RB because we all have these but, look at this statement: "What if my kid gets sick or injured and I need to rush to the hospital? Am I going to take a chance that an Uber driver is not going to take me because he doesn't want my kid's gushing blood staining his car? No." So someone would not rely on a Uber driver but, on his own car which maybe will not start at all? What about calling an ambulance if your kid is injured? That would be a lot more responsible especially in a city like Toronto where traffic is really bad. And most people are insured for the cost... So things will change but, it will happen in ways that we cannot imagine today or I should say accurately forecast. I read a book in 1998 where the author basically thought that the need for transportation would simply collapse because we could now move ourselves at the speed of light using teleconferencing. A massive cost cutting idea. Interestingly almost 20 years later, we keep on moving ourselves at 100 km/h and slightly faster with planes (if you count all the wasted time not in the air) and teleconferencing is used a lot. And one thing that I want to make crystal clear. If you want to buy that Volt or Tesla fine. Just don't come pick money from my pockets to do it. Cardboard

Do you have a car Jeffmori7? If so why don't you use Uber only? If so, do you have tires on your car Jeffmori7? Plastics? Where do you think that comes from? Do you enjoy travelling Jeffmori7? Do you use airplane transportation? Do you know how much that pollutes? Before trying to educate others why don't you look around you and examine what you are doing? Cardboard

Some of these visionaries are... 1- It is already proven that using taxis is cheaper than owning your own car for the vast majority of people. And now with Uber, it is even cheaper and more efficient. Forget about rural/urban. So now all of a sudden people will stop buying their own car because the "autonomous" driving is done by a robot instead of a human? Remove a guy inside the vehicle that makes $20,000/year and now the cost advantage is life changing? 2- I also love their fascination for making obsolete fossil fuels. Again, how do you produce the electricity? Why is an autonomous car propelled by electricity any different than an electric car in terms of function? If there are fewer cars, so they run all the time, how do you beat the instantaneous recharge of a fossil fuel car? How much technological advance is required so that electric car can compete if oil is at $25/barrel? What they also seem to forget is that if society is so advanced in terms of movement, then other areas have also advanced dramatically which may make this whole debate just a side show. Cardboard

Interesting idea Sharad or trading for just under half of book value, net debt of essentially zero and as you mentioned returning to profitability. I have not focused much on the drillers during this downturn having been more involved into E&P's and other energy service players such as BRY. One thing that I recall from research that I read in 2015 was the importance of having the newest rigs as the older ones may never return to the field. Reading a bit on Cathedral, they seem to have spent a lot of effort on the drill bit itself, measurement tools, etc. and have some proprietary technology which is good. Being a directional driller does that spare them from needing to have the latest high-spec rigs or Tier 1 with high power and capable to "walk" as requested now by most E&P's?

Book value of roughly $1.20/share with no goodwill, no intangible and mostly made up of current assets on a company that is turning around and now making money with little capital needs... Trading closer to book seems like a normal assumption, especially as cash comes in and is used up to reduce debt which will make that per share book value number go even higher. Cardboard

Yes, they mentioned that they are looking at their options regarding Fulcrum and with spare availability on their credit line, positive cash flow and with more receivables/inventories, the credit line could likely grow. They sounded very optimistic about it and I had the feeling they were about to accidentally disclose something. Cardboard

Q2 is typically the slowest quarter in Canada due to spring break-up which leads to road bans on dirt roads to move equipment around and drill sites that are too muddy. So the E&P companies also make their drilling plans and budget according to that. However, they mentioned on their conference call today that the impact this year will be less than in previous years. Cardboard

They reported a profit!!!! And higher net value per share than in December with $12.85 a share... http://www.stockwatch.com/News/Item.aspx?bid=Z-C%3aDC-2470594&symbol=DC&region=C Cardboard

After Aimia preferreds today >:(. At least, this one seems to be working with a return to profitability: http://www.stockwatch.com/News/Item.aspx?bid=Z-C%3aBRY-2470571&symbol=BRY&region=C That is a 3.6 P/E annualized based on Q1 and today's close. Cardboard

"I especially don't see why the US would be superior to Canada and Australia for immigrants." Canada has a terrible winter and Australia is an island in the middle of nowhere and they have very strict immigration laws. So it is U.S. or continental Europe as their favorite destination and I can understand them. Cardboard

If they discount at 2 or 3% a year the $50 M U.S. to be received over 2 to 6 years and put a lot of value on the eventual royalty, they may not write it down at all from the $230 million CAD or so (for which they own 85%). :o At least now someone is incentivized to develop the assets having spent $35 M U.S. upfront while Dundee was cash poor and saddled with a ton of crappy holdings. They now need to keep on liquidating the firm. It would still trade at a big discount to NAV due to their horrible history but, I would think that it would shrink from here. I would also hope that one or two of their many holdings will perform... Cardboard

To give you a flavour of what is to come, look at the turnaround in these results from a Canadian (only) service provider: coil rig operator (for completion), pumper and rental equipment. https://www.stockwatch.com/News/Item.aspx?bid=Z-C%3aESN-2469266&symbol=ESN&region=C These guys do not operate in the U.S. which has been very active in the Permian. You can actually closely monitor NA activity in every major area every Friday by going to the Baker Hughes website or the Rig Count. And these guys face labour shortage which is not the case for Bri-Chem. Moreover, they have to ramp-up some capex spending due to minimizing everything during the downturn which is less the case for Bri-Chem. Results should be announced Thursday night or Friday morning. Cardboard

LOL! Conservatives: let people live their life. Liberals: tell people how to live their life. Cardboard

I wonder if the so smart people from B.C. today will chose the destruction of their own provincial economy or sanity? Cardboard

Confidence regarding the debt because they had $5.5 million available under their credit line on December 31 and the banks increased the line by $5 million subsequently to support their business. This along with fast improving cash flow provides an option to repay the Fulcrum debt in full or at least negotiate much better terms over coming months. The bank line goes hand in hand with the value of receivables and inventories or higher business activity. With staffing and overhead remaining constant, it is not hard to envision higher profitability with much higher and growing volume. Cardboard

Bri-Chem is such a gift here it is not even funny. It trades at $0.35 or below its net-net of $0.57/share and business is starting to boom for these guys. When you see more rigs, it means more fluid use. And when times were tough, drillers agressively reduced their inventories which means that there is pent-up demand on top of the new demand created from the additional rigs. They have cut costs massively during the downturn while retaining all their distribution capacity. And the best thing is that they did not issue a single share of stock to get out of their trouble as so many oil & gas services peers have done. Cardboard

Trump is a calming effect for business. I don't have to watch the news like a hawk every day to see what kind of stupidity Elizabeth Warren will pull or Obama or some other anti-business freak. While I am exaggerating, I still think it is true to a degree. 2008-2009 was a huge traumatism and having someone in being more pro business accompanied by Ross and Mnuchin makes you less focused on Washington's actions. Cardboard