Starting to hit " my area of interest " now......
May have to start closely monitoring the PPS until Thanksgiving if this touches the LOW 4's. I may be grabbing a few more to ADD to my existing portfolio. $4.10 sounds like a good number to me....what do YOU think Cowboy?
Sooner or later OPEC will want to boost the price of oil.....that is a GIVEN in this formula. Just as everyone else likes to REAP a fortune for their efforts, GREED plays an important factor in their bottom lines and decision making. 1.8 MILLION BBL of oil in " oversupply " per day is a significant amount. Wonder just WHO is stockpiling all of that oil???
Guess now all one needs to try to figure out is HOW HIGH the cartel will let the price jump to, in their December meeting, over a few months AND what the " spike " in ERF's stock could maintain. Of course, that is an ASSUMPTION they are going to cut back. I would NOT be surprised to see yet another YEAR of this yo-yo of oil pricing.
You still think that $60 a bbl that everyone has been suggesting is still a realistic number? If so, what can ERF hold on to in gains at that price point? Any numbers anywhere on that?
If the DIVI doesn't hold up into Q4 of 2016 and pressure from the " cartel " still is in play, I do NOT expect ERF to be able to sustain the current business outlook that they have tried to maintain to date, especially if OPEC drags this into 2017. At that point, ERF could very well be a $1.00 ( or less ) a share stock.......JMHO!
As to ERF's past performance and PPS in the mid 20's, I personally feel those numbers will NOT be touched for a very long time and only with a RETURN of the full DIVI amount from the past along with a strong balance sheet.
Bottom line, OPEC is out to DESTROY each and every small oil company they can including putting great pressure on those doing FRACKING. So far, they are obtaining their goal(s). I have not really followed just WHO is buying up these small companies as they fold and I wonder just how many have been acquired by an OFFSHORE company???
Have a GREAT WEEK Cowboy!!
MY opinions are just that.......40+ years of trading experience and take it for what it is worth.
