Register for free to join our community of investors and share your ideas. You will also get access to streaming quotes, interactive charts, trades, portfolio, live options flow and more tools.
Ad hoc Unsecured Creditors objection to DIP financing
https://cases.primeclerk.com/sanchezenergy/Home-DownloadPDF?id1=MTE3ODkwOA==&id2=0
SNEC changed to SNECQ, bankruptcy. Also, SCAZP to SCAZQ, SNZYP to SNZYQ series of Preferred Shares.
https://otce.finra.org/otce/dailyList?viewType=Symbol%2FName%20Changes
I’m getting back in once they go through BK and start making money again. This will help us make or $$$$ back.
Commons and preferred are wiped out base on the current proposal. Game is over once the judge approves it.
https://cases.primeclerk.com/sanchezenergy/Home-DownloadPDF?id1=MTE3ODEwOA==&id2=0
Not going to get in a back and forth with you rather just ignore you.
how is it different? their assets vs debt ratio is $2.1 vs $2.8 billions what do you think will likely happen in court? please explain! thanks!
Read the PR and filing, not quite game over, hardly.
Sanchez Energy Takes Action to Strengthen Balance Sheet and
Support Long-Term Strategy
Voluntarily Files for Reorganization under Chapter 11
Maintains Substantial Liquidity to Continue Safe Operations in the Normal Course
Receives Commitments for $175 Million in New Financing
Their assets/liabilities are not far off from one another, this is a reorganization, its priced in already. Check the market cap.
Lets see what happens and see what plays out from here, this is not the normal situation.
Peace out.
Sanchez Energy just filed BK. Game over! https://fintel.io/doc/sec-sn-8k-sanchez-energy-2019-august-12-18120
Thanks for the details feedback!
NGL dipped a little in Q2 which ended 6/30 but for the most part /QM was up giving it a $10 BBe avg + for the Q 77K barrels a day 24/7 NGL being down from its Q1 avg price per BTu makes no a difference really. The money and the overwhelming bulk of it comes from oil.
I would argue $$ went up not down, and thus why they want to discuss buying some of that 2023 debt to relive themselves of those interest payments. That was Moelis' plan do not see why that would end.
Do I think traders are using it to short the stock yes I do easy 50% win since the article came out, its all over the internet cries of doom and gloom and BK they ran out of money, getting the weak to sell.
Market Cap now $6 million
Seriously, with debt and assets pretty much an even wash taking out debt changes those numbers drastically as future debt changes dramatically with those interest payments taken out, lets see how this lays out. We will all know in 2 weeks.
But to say that cash went down and not up doesn't add up if you do the numbers. Avg BBe price Q2 was well above avg for Q1. The capex will be nothing all their drill commitments for 1st half of year were already met last Q per the filing and CC.
Peace out.
$SNEC Sanchez Energy announced that it was deferring the July 15 interest payment on its 6.125% senior notes due 2023 as it continues discussions with various stakeholders about a restructuring plan. While Sanchez has plenty of cash on hand ($201 million at the end of Q1 2019), the continued deterioration of prices for NGLs has resulted in Sanchez likely having some cash burn in 2019 now even with its well below maintenance capex budget.
I am going to go through all the filings this weekend and see what the deal is.
Off the top of my head I wanna say they had 270+ million in cash end of Q1 not sure with avg of 77K per day for Q1 what they would be banking Q2.
Have to see the costs and avg the price out ofr Q2 thus far should be right around 60 for avg BBe. Spent a lot of time low 60's next spent most time mid/high 50's and spent some time low 50's. Off the top of my head I wanna say Q1 avg BBe price was $53?
Have to dig and see, I know the assets and the debts are pretty much a wash they are equally to one another if I remember correctly.
But, if they could buy a lot/all of 2023 debt at a discount that would indeed change the game. They would lose the 6% interest payments as well not have the debt hanging over their heads. I am all for that and am hopeful that is the route they take, I mean they definitely have the cash to do so.
In the article it said they have been fighting production decreases? I don't get that, they slowed drilling to lease committed drilling only, just do what you have to to maintain the leases, in my mind that's common sense in the shale game, more companies should have done that.
If you aren't getting bare minimum $75+ for oild its a recipe for disaster. They held out hoping it would get back to 75 it didn't they changed gears, brought Moelis in and set up a plan to take care of debt and get back to strength. I never understand these companies that are all about the revenue game, I think the tech boom mind set has changed stock valuations over the years and not in a good way.
Its all about increasing revenues, i want profits to increase screw revenues, show more profits, don't do stupid shit to increase revenues be smart increase profits and work towards sending me a dividend every quarter. If a company sends me .25 per share a Quarter I am happier with that than revenues increasing, Nasdaq/Alphabet mindset I call it.
If it costs you 750 million to increase production 250 million a year don't do it, after the interest payments you won't see any profits till you make 1 billion in gross profits to pay off the debt which never seems to happen. Damn near never, just endless raising of cash.
Hopefully after the next tech crash they will finally wake up and say hey, twice now we have had a tech pump and dump first the dot coms then the phones/electric cars lets just admit increasing revenues mean shit if they never make any real money and hand out a dividend, companies just cannot keep going up in share price its ridiculous, that isn't how real wealth is made, dividends are and stability IMHO.
But, what do I know.
Peace out.
Well from what I learned 3-4 months back, the whole idea that Moelis had was to cut capex build cash buy out debt at a cut rate price, I doubt pennies on the dollar but the ability to .75 on the dollar would be fine. That's why the building of cash was important, had 300 million or near about end of last Q and just been pumping 77K a day since then, we will see.
they decided to not pay the interest for 2023 notes recently...also stated that they’re talking with bond holders for a comprehensive restructuring plan...not sure if they’re filing BK or work out some deal to cut debts with bond holders
https://www.bizjournals.com/houston/news/2019/07/16/houston-energy-co-delays-debt-interest-payment.html
Yeah, nothing has changed, they kept capex in line and they are just pumping oil building cash.
That was the key to the whole thing at the end go the day, they had to start building some cash, taking out debt as they could and quit drilling holes and just pump that oil.
I am actually surprised many other companies didn't do the same, it boggles the mind, one company I almost out of and with a profit no less LOL they had a big dip to .05 ran back to .23 so I still hold my original but got my CB under .20 so should profit well on it, but anyway, they have like 5 Billion proven reserves, but doesn't help when your 4.5 million in debt, they should have done like Sanchez cut the capex to almost nothing and just drilled oil for a bit.
But not them they planned on spending another 300 million in Q2 ??????? I honestly think a lot to do with Sanchez doing what they did was, his name on it, its the old mans legacy ain't going out like that.
But yeah its all good, just oil doing the up and down thing these oils go up and down with it, should see a settling out and rise to earnings and if they built that cash, were able to take out some debt as well as just paying interest should have a new trading range for Q3 then the same Q3 they stay just pumping, building cash etc keeping capex to a minimum will get better as it goes forward.
Would like to see oil go above 75 though been big draw downs for a month speculators still shorting it, its only 4^ above the 5 year avg (stockpile) this coming week if it has another deep draw to below that, I don't see how they can keep shorting it once it falls below the 5 year avg, but will have to see.
Peace out.
Tdeck do you have any news on how the company is doing? Are they going to be able to keep from filing?
Oil Jumps to Four-Week High on Report of Falling U.S. Stockpiles
https://www.bloomberg.com/news/articles/2019-06-25/oil-jumps-on-tighter-u-s-supplies-ongoing-middle-east-jitters
77K barrels per day 24/7, capex cut to bare minimum, just saying.
Shorts shoving it down as oil rises by the day, thanks added some .09's yesterday. SNEC just pumping day after day spending the barest of minimums.
Peace out.
Definitely, I am in for long ride.
Hold tight. They can work their way out of this.
Just trading solid at the bottom here, only one way to go and that is up. Just keep pumping that oil, not spending any money except the barest of minimums all year long stacking that cash and paying down debt.
Peace out.
I agree with you.
Part of my reasoning was that Sanchez family would hurt themselves by BK and would avoid it, if possible.
Just a re-structure is the right thing to do.
You will have time, it will stay this range probably til like a month out from next Q release. When you get more, bid sit them, shorts mainly at the ask with those large piles. Is nothing that needs to be rushed into, will take some time, but, it will happen with what they put in place.
Peace out.
See here, where you said BK coming because Moelis came in, that was not really seeing their options. Moelis is known abundantly more as turnaround specialist, that's their claim to fame. I told people that, nobody wanted to listen.
Its obvious BK was never what Sanchez wanted and wanted the get my house in order plan. Its different with him than most CEOS thats his name, his life's work all his life he worked to have an oil company that is successful with his name on it. And last what September he bought like 1+ million shares at well over a buck. That told me he was planning something besides a BK.
Peace out.
Thanks for your reply.
I am in Houston and read about SNEC in the paper sometimes.
That is why I bought some shares. Like to buy some more, but out of liquid funds at this time.
Oh yeah, that's already out of the picture, really, just look at cash etc last Q they just pump oil for a year oil stays above 55 and hopefully spends some time in the 65-70+ range their golden.
That's why even with not a lot of volume and oil being down it is holding steady people just bid sitting, they are out of woods with BK with what they put in place, and going forward everyday it just gets better and better by next Q numbers we should be .30-.40 again and if stays the same , low capex just pumping oil doing what is committed to, next Q IMHO we will be near a buck IMHO.
They went from 175-190 mil per Q capex to 18.1 they say will hold to 100-150 mil this year entirely only spending what is needed to keep up with commitments. I am hoping it is closer to the 100 mil end, obviously.
Smartest thing they did was bring in Moelis when they did, before was to late, the second smartest thing they did, they listened to them, seriously, I mean that, most don't, most put some in place, a little in place but still want to do their own thing, Sanchez didn't they said okay, lets do it.
I almost didn't think they would do the suspending divis to preferred but they did, my hats off to them.
Peace out.
Do you think chapter 11 may be avoided, based on Moelis' plan?
Sounds like they are following the plan.
I don't know about news but I do know people are collecting it, they brought in that NY outfit to show them what needed to be done and wonders never cease they went with it to the T. Most CEO's companies it goes in one ear out the other and they resist everything suggested, Sanchez took on everything they asked of them, as they should have.
Cut capex to almost zilch, only doing committed work on leased lands suspended dividends on preferred and said they would keep this stance for a full year and just pump that oil to get themselves straight and solid financially.
As long as they do that, we are good. Still being shorted, those big asks stacks, but, won't matter as long as they keep pumping and stick to the plan.
Good luck to us!
peace out.
SNEC stock price holding up well, considering the slumping oil price.
Must be good news coming.
SNEC They just keep shorting it, I like that. Those that help bring it down, always, let me repeat that always make it go back faster and farther.
Capex cut by $600 million for 2019 from 2018 still pumping 77K+ barrels a day 7 days week around the clock.
FINRA short equity numbers updated Friday AC for 05/15/2019 current short 8,802,775 shares previous short 2 weeks prior 04/30/20019 of 7,290,761 shares 1,512,014 share difference for a 20.74% increase.
Tick tock
Peace out.
$SNEC Buffett's Betting on Oil, and He's Rarely Wrong
https://www.forbes.com/sites/georgeschultze/2019/05/24/buffetts-betting-on-oil-and-hes-rarely-wrong/#5946873b71fc
Cut the capex and just pumping that 77K barrels a day.
Of course you will. Youre the big dog! You even have a cool twitter account, with Warren Buffet quotes. Im sold! You da man!
=)
Shit son you haven't a clue, Walk on now little one, or do you not have the anything else to do?
I'll make a cool mill on this. Minimum. You young kids fresh to the game, with no smarts.
Have a good day now.
https://twitter.com/AndrewD88355412
Unfortunate. I knew id find some stinky pinky losses within 2 minutes.
=)
SNEC looks very good for us going forward, oil prices up over night and holding, bears tried as they have everyday to bring ir down, but, thus far have not been successful. I will stick with my guess we could see 66 this week, news not good in the oil game for bears many worries, should push oil higher. oil higher more $$ per day $77K per dollar, more debt can be paid down making a stronger financial footing and immensely better outlook going forward.
https://www.bloomberg.com/news/articles/2019-05-21/persian-gulf-now-most-risky-for-oil-tankers-since-last-iraq-war?utm_campaign=socialflow-organic&utm_content=asia&utm_medium=social&cmpid%3D=socialflow-twitter-asia&utm_source=twitter
https://www.dfid.org/news/oil-prices-post-strengthening-on-tuesday
Opec signaled at there meeting before the meeting today LOL late June Opec meeting, but they look like no change in cuts for oil, even with summer travel season in the northern hemisphere and tensions in Middle East.
They want no more possibilities of what happened last winter under $50 is not palatable to a country when that is their number 1 and in some cases only means of export and bringing the money needed for their citizens to live in the 21st century world. oil inventories need lowering further so that a glut come winter time never happens again.
Oil should be solid 64 tomorrow, we are headed to mid 70's to live for 3-6 months that is a given and we can watch that debt melt away to sustainable levels this year as capex for the next 12 months has been cut to the bone.
https://www.reuters.com/article/us-oil-opec/opec-sees-more-2019-demand-for-its-oil-as-it-keeps-cutting-output-idUSKCN1SK1JR
Is going to be a good year IMHO.
Trump getting a little feisty as Iran continues to balther and rattle its rusty saber.
https://nypost.com/2019/05/19/trump-vows-to-end-iran-if-it-threatens-us-again/
Peace out.
It’s a gamble but shat isn’t? Have you seen the name of the big investors on this stock? Some big money and I’m sure they don’t want to loose any for their investors.
not many folks around here huh. seems like a bargain bin price to me, if they can avoid bankruptcy this may be a 40-50 bagger in a few years....
SNEC up to near 64 overnight looking for it to break above today, we shall see.
In case anyone was wondering the company that was brought in to turn things around by focusing on cutting costs and taking out debt first an foremost taking out debt and getting company back on stron financial footing it was these guys, they have an excellent track record, they were behind the cutting of capex to the bone and just pumping those dollars to wipe out debt.
https://www.moelis.com/
SNEC oil seems solid 63 now at 63.40-.50 range world market will have to see how the Europeans and Asians treat it tonight, as long as it keeps rising we are in like Flynn for paying down debt this Q and future Q's.
management said Capex would be 100-150 mil for the year rather than 800 mil so they could get the debt sorted out to a manageable level, lets keep our fingers crossed it keeps rising and can trade at 70+ for 5-6 months price of stock should follow price of oil IMHO, market knows what company is doing from Q1 CC.
Things work good we could be at folding money again by summers end.
Peace out.
SNEC looking like will be excellent next couple quarters with oil it's heading to 65 then 70+ we should be able to wipe out some serious debt with capex cut to the bone, tick tock kids, congrats all.
$SNEC oil on solid footing at 62 a barrel now should see good rise from here on out til weekend, things getting dicey in the gulf. Higher oil, the quicker SNEC can right the ship and start taking out debt in earnest.
https://www.businessinsider.com/state-dept-orders-all-non-emergency-government-personnel-out-of-iraq-2019-5
$SNEC oil on the rise, natural gas continuing its rise back to high looking for some 3-3.20 numbers in coming weeks. happy time coming for SNEC more money flowing in means more debt getting knocked out, now that capex has been cut to the literal bone.
Agreed on tensions in Middle East, has actually been simmering for some time, first the Iran backed rocket strikes into Israel then the threats to cut off Persian Gulf which is easier than one would think. A few attacks would not put a wall up but would slow shipping to a trickle effectively shutting it down. They don;t have to do it, the groups in the Saudi, UAE etc will do it for them with the help of their cash.
Its all been swept under the rug for a while, now its coming to the surface and the talking heads on the left cannot keep it out of the news anymore, they tried yesterday and wer effective, bears came into oil, then last night. It's all just getting started and contrary to popular left wing belief its not Trump doing it its Iranian backed groups.
The Whitehouse is reviewing a plan to send 120,000 troops to the Persian gulf. Ships are on the way. This might be a bluff but at least it will put eyes back on American oil.
We possibly could have huge exports and of course a spike in price.
Exactly, oil up now after US markets closed it only went into free fall when the bears hit oil as soon as the market opend at 9:30 it dropped on green positive money flow but the ask just kept getting refilled. Many may think I am crazy but politics is played in this energy game. It is only short lived as events overtake what newspapers push, yesterday right at the start of the day doubt was sewn whether the attacks were real,they were alleged, supposed and if real they were Trump, Russia and the Saudi's conspiring to do it so that Trump, Russia and the Saudi's could get even more rich?
Truth is oil stocks down last week and a half, Chinese trade hooplah will have almost zero effect on oil in the long run, oil is what oil is a needed and used product left or right of the political spectrum it is used in a HUGE way every day and nothing will stop that. Not the climate changers that hate oil and want all electric vehicles, Tesla is proof that it is not at the moment (maybe 50-60 years from now) a sound business reality.
All the money thrown at EV's and they are what everyone thought they were a very small small small part of a very large market and will remain as such. Look at your own lives what happens as Memorial day passes? The hews will be flooded with travel vacations etc etc etc, high il prices, its reality, tried and true over the decades. For a month now the Middle East has been tense started with Palestinians taking to a whole other level last week with heavy rocket attacks until Israel responded with warplanes, that hasn't happened in a long time to such an extent. Then Iran came out with its navy getting half stupid in the gulf this weekend referring to the US naval vessels in the gulf as targets.
Now the attacks on 4 US media only reporting 2 but gulf media news is reporting 4 pay attention to news and what it really means. Journalists and talking heads play political games with the news. It is more tense in the gulf than it has in a very long time.
But, even without the reality of summer spike coming and possibly a supply problem from the gulf tensions that could pop off, at these prices with are 23% higher than Q1 with capex having been cut to the bone for this next year to pay down debt and get financially sound again, every day is a good day.
We produce 76,267 barrels of oil per day avg in Q1 with 26 to be completed and producing this Q at a avg thus far of 63+ per Bbl of oil compared to $53.79 per Bbl in Q1 that's $767,267 a day more in revenue on average than Q1 as oil rises this Q which will happen that's more and more building SNEC up. In a quarter add that up see what you get, you get Sanchez getting sorted plain and simple arithmetic.
SNEC with oil $70 plus which is coming, forget about it and if the mid east pops off $80 a barrel s not out of the question look at historical prices when things pop off. pay attention to what really matters with oil, has almost zero to do with China I don't care what the talking heads say, cars going to drive semi-trucks going to deliver goods as will planes which will increase as the summer hits and as will increased military maneuvers you think those increased ships coming out of ports and increased jets in the air don't eat a ton of fuel/oil? look at historical facts, not media with an agenda.
This isn't about SNEC when t comes to oil although it is great for SNEC its about the entire sector, I have jumped in everything from depressed pushed down companies like SNEC and $USO Oil ETF's which are all about oil not a company its all about the sector and its ready to let the bull loose watch and see.
Dig for news, real news on whats going on with oil. From one media political talking heads tonight on news media opinion shows. "The tanker attack was such an obvious plot to raise Oil prices" "Trump needs US voters engaged in any distraction from pending Mueller testimony."
"Kremlin needs US engaged in a military conflict anywhere, preferably with side benefit of ramping oil prices."
" "Claim of Attacks on 4 Oil Vessels Raises Tensions in Middle East" - NY Times 'Select interests' seem to be trying to start a war with Iran. Who would this catastrophe benefit? A distraction for Donald Trump and higher oil prices for Saudi Arabia & Russia"
Who says things like that? This is real world events and these people see conspiracies everywhere? They aren't media they are editorial opinion writers/speakers. Pay attention, the price of oil is 1% China 99% the rest of the world especially the #1 influence on world oil the Persian Gulf.
https://thehill.com/policy/defense/443410-b-52s-conduct-first-mission-of-counter-iran-deployment
https://oilprice.com/Energy/Energy-General/Tight-Oil-Markets-Could-Be-About-To-See-A-Violent-Price-Spike.html
https://www.reuters.com/article/us-oil-opec-capacity/oil-supply-crunch-to-test-opecs-spare-capacity-idUSKCN1SJ1IF?feedType=RSS&feedName=businessNews&utm_source=feedburner&utm_medium=feed&utm_campaign=Feed%3A+reuters%2FbusinessNews+%28Business+News%29
https://www.livemint.com/news/world/iranian-foreign-minister-in-india-to-discuss-us-sanctions-with-sushma-swaraj-1557765807580.html
https://oilprice.com/Latest-Energy-News/World-News/Russias-Oil-Production-Dips-To-Below-OPEC-Quota.html
https://www.reuters.com/article/us-oil-opec/opec-in-the-dark-on-oil-supply-as-russia-iran-cut-exports-idUSKCN1SF1LV?feedType=RSS&feedName=businessNews&utm_source=feedburner&utm_medium=feed&utm_campaign=Feed%3A+reuters%2FbusinessNews+%28Business+News%29
Followers
|
16
|
Posters
|
|
Posts (Today)
|
0
|
Posts (Total)
|
394
|
Created
|
05/11/12
|
Type
|
Free
|
Moderators |
Volume | |
Day Range: | |
Bid Price | |
Ask Price | |
Last Trade Time: |