On Thursday Nexen came out with earnings and the street like them so much the stock went down 2% on Toronto. They rebounded on Friday 1.5% because higher oil prices, a company from Norway spent over 2 billion buying a company with oil sand leases and the earnings were not that bad....afterall.
NXY earnings EPS .75 below 1.10 /1.20 estimate
cash flow per share came in at 2.08 lower than the estimated 2.75 per share.
production growth increased year over year by 7%. Buzzard field in the North Sea will hit peak production by the end of the year, and surpass the oil coming from the Masilia field in yemen.
Marketing operations results (storage and tranportation) werre not good, and for the year will only bring in 200 million.
Finally Long Lake oil sand which they own 50%, is almost completed, however costs were bumped up another 10%.
to 5 billion with 300 million in reserve.
it is good that the project is almost completed, costs are rising quickly in the oil sands.
projections 2006 eps 4.10 2007 eps 5.20-5.50 2008 6.90 - 7.10
cash flow 2006 9.17 2007 12.30-12.60 2008 13.90-14.20
the company probably just sits in this range, own, will sell covered call on half of the position.
still like the stock trading below nav, and just over 5X cash flow.
Petro Canada PCA
Petro Canada came out with number that beat estimates across the board.....shocking, like the twilight zone....times 10.
PCA year over year production growth 14%, they own a 30% interest in Buzzard which goes peak production later this year.
eps 1.16 beat the estimate of 1.02
cash flow per share 2.32 beat the estimate of 1.82
Terra Nova esitmate of production may be cut back by 6,000 to 8,000 barrels if the stock sells off on this, would be a chance to buy, company produces 405,000 bpd.
2006 eps 3.93 2007 4.80 2008 4.86
2006 cashflow 7.24 2007 9.25-9.30 2008 4.80 - 4.90
PCA also beneifted when Imperial oil and trouble at a refiner. and they did not have to discount as much in Toronto.
the stock is cheap and hopefully this earnings report is a sign of things to come.
own a position, and have half of the positon with a covered call, which will probably lose.... stock is cheap because they ussually always had bad news, this may be changing.
will be back later with some more earnings, this week, now back to checking over my taxes. what a joy writing a cheque out to the government. :scared
thanks
selkirk
NXY earnings EPS .75 below 1.10 /1.20 estimate
cash flow per share came in at 2.08 lower than the estimated 2.75 per share.
production growth increased year over year by 7%. Buzzard field in the North Sea will hit peak production by the end of the year, and surpass the oil coming from the Masilia field in yemen.
Marketing operations results (storage and tranportation) werre not good, and for the year will only bring in 200 million.
Finally Long Lake oil sand which they own 50%, is almost completed, however costs were bumped up another 10%.
to 5 billion with 300 million in reserve.
it is good that the project is almost completed, costs are rising quickly in the oil sands.
projections 2006 eps 4.10 2007 eps 5.20-5.50 2008 6.90 - 7.10
cash flow 2006 9.17 2007 12.30-12.60 2008 13.90-14.20
the company probably just sits in this range, own, will sell covered call on half of the position.
still like the stock trading below nav, and just over 5X cash flow.
Petro Canada PCA
Petro Canada came out with number that beat estimates across the board.....shocking, like the twilight zone....times 10.
PCA year over year production growth 14%, they own a 30% interest in Buzzard which goes peak production later this year.
eps 1.16 beat the estimate of 1.02
cash flow per share 2.32 beat the estimate of 1.82
Terra Nova esitmate of production may be cut back by 6,000 to 8,000 barrels if the stock sells off on this, would be a chance to buy, company produces 405,000 bpd.
2006 eps 3.93 2007 4.80 2008 4.86
2006 cashflow 7.24 2007 9.25-9.30 2008 4.80 - 4.90
PCA also beneifted when Imperial oil and trouble at a refiner. and they did not have to discount as much in Toronto.
the stock is cheap and hopefully this earnings report is a sign of things to come.
own a position, and have half of the positon with a covered call, which will probably lose.... stock is cheap because they ussually always had bad news, this may be changing.
will be back later with some more earnings, this week, now back to checking over my taxes. what a joy writing a cheque out to the government. :scared
thanks
selkirk
