Replies to post #203 on Enerplus Corp (ERF)

[rhumphre1]

ERF says they are " good " thru the end of 2015, IMHO! But the 1st 2 quarters of 2016 may be a little different by then.

They have 24% of production earmarked with consistent pricing just slightly lower than where their at now for the last 2 quarters.

" In 2015, assuming the midpoint of our guidance range, we have 47% of our expected crude oil production, net of royalties, hedged for the first six months at a WTI price of US$93.58 per barrel. We also have 24% of our expected net crude oil production hedged for the second half of 2015 at a WTI price of US$93.86 per barrel.

In addition to our crude oil hedges, we have downside protection at an average NYMEX price of US$4.13/MMbtu on approximately 38% of our forecast 2015 natural gas production after royalties, through a combination of instruments. "


I do not expect OPEC to take this into 2016 since it will be getting fairly tense for some countries well before the ball drops next Jan. Obviously OPEC doesn't appear to be too concerned over any type of sanctions from any of the countries such as Russia or even the USA should it get to that.

IMO, all of this is basically yet another attempt by OPEC to show the world that it can still control gas pricing even with more countries than ever before pumping oil to pay off debt.

OPEC will NOT release their strangle hold on the manipulation of the pricing of oil but those days may be coming to an end before long. The recent actions by them has been nothing more than a TEST of the economics of the world to see just where the ultimate shortcomings are so they can set the price accordingly.