Why does FANG's valuation keep going up?

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dan_s
Posts: 37291
Joined: Fri Apr 23, 2010 8:22 am

Why does FANG's valuation keep going up?

Post by dan_s »

Read this and you will know why: http://www.oilandgas360.com/diamondback ... owth-2017/

Upstream companies with growth like this locked in are "rare gems". Hang on to them.
Dan Steffens
Energy Prospectus Group
cviller
Posts: 95
Joined: Wed Apr 06, 2011 7:44 am

Re: Why does FANG's valuation keep going up?

Post by cviller »

Dan, Do you know if GPOR still owns FANG shares? Thanks.
dan_s
Posts: 37291
Joined: Fri Apr 23, 2010 8:22 am

Re: Why does FANG's valuation keep going up?

Post by dan_s »

I believe they sold the last of their FANG stock in 2015. See Our Equity Investments section in their 10-K.

On the GPOR Income Statement there is a line item in the Other section called "Income/Loss on Equity Method Investments". In Q1 2016 they wrote off their investment in Grizzly Oil Sands, but that has huge upside if oil prices rebound a bit more. Eventually, the Canadian oil sands must be developed to meet future oil demand.
Dan Steffens
Energy Prospectus Group
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