Replies to post #13644 on Viewer's Choice

[littlejohn]

Oil,,,U.S. is waste deep in sea warfare,,,

so, no boots on the ground comments

are mute from their release...

https://www.axios.com/2023/12/14/us-warns-yemens-houthis-stop-red-sea-attacks


It is amazing to see the power of

the big wheels to bring down oil price

so much as they load up for another

potential price run up...

Peon thesis material, of course...

So we watch...LJ

[littlejohn]

REI market cap about 25% of VTLE

market cap now...

Discount has grown between REI

being priced cheaper here lately...

VTLE has over two times as much

property as REI has...

VTLE production is much bigger...

VTLE has almost 50,800 bbls/day of

oil production hedged in 1st quarter

of 2024 at over 73/bbl. price...

https://investor.vitalenergy.com/static-files/57d5e9bc-3e09-467a-98c6-3c712de00f2c

VTLE projected having about 90% of

production hedged in 1st quarter...

REI looks like they have around 43% of

oil production hedged in 1st quarter of

2024 if they produce about 13,000 bbls/ day

of oil...estimate at high end of guidance...

REI produces a larger percentage of oil

than VTLE in their lower production mix...

https://d1io3yog0oux5.cloudfront.net/_f0fe1cb2a9cf6b1991a1525a73cc4dbd/ringenergy/db/856/7731/pdf/REIQ3+Sidoti+Deck+FINAL+12.7.23.pdf

Smaller oil company valuations still show

no sign of catching up to valuations that

the bigger oil companies sell at...

pick em...deeper price discount or safety

of more hedges in place...

So we watch...LJ