Antero Resources (AR) Update - May 25

Antero Resources (AR) Update - May 25

Postby dan_s » Tue May 25, 2021 8:42 am

Antero says they are currently getting $38.40/bbl for their C3+ NGLs. If they average that price for the quarter, they will easily beat my Q2 earnings per share forecast of $0.22. Plus, I've heard from AEGIS that ethane prices are beginning to improve.

I have decided to increase my valuation of AR by $4.50 to $24.00.

AR, EQT and RRC are all going to benefit from strong NGL prices this year.
Dan Steffens
Energy Prospectus Group
Posts: 25566
Joined: Fri Apr 23, 2010 8:22 am

Re: Antero Resources (AR) Update - May 25

Postby Fraser921 » Sat May 29, 2021 9:46 am

Antero has a new slide deck on NGL's on their website.
1. 05/24/2021 AR Spot C3+ Price:
60% of WTI. • Bullish – Robust demand and flat supply has already driven C3+ pricing from an average of
~$21/Bbl in 2020 to over $39/Bbl year-to-date 2021
2. NGL prices remain elevated on an absolute basis and relative
to WTI due to sufficient export capacity and resilient global demand
3. A record setting level of withdrawals via LPG exports has led to low
propane inventories in the U.S. and only ~18 days
of supply, 40% below the 5-year average
4. Reduced drilling & completion activity in the U.S. has flattened NGL supply growth,
while LPG exports increased 17% in 2020
– Supply in 2H 2021 forecast to stay “home” offsetting historically low domestic

KEY POINT>>> Propane days of supply at 5-year lows could result in
an undersupplied U.S. market in 2021 and 2022!!

Posts: 115
Joined: Mon Mar 22, 2021 11:48 am

Return to Sweet 16 Portfolio

Who is online

Users browsing this forum: No registered users and 8 guests