Paul Colborne, the President and CEO of Surge Energy will be joining me on Thursday, January 23. He will provide an update on the Company's progress in 2024 and what his plans are for 2025.
Surge Energy (SGY.TO and ZPTAF) is in our High Yield Income Portfolio. It pays monthly dividends that totaled $0.52Cdn in 2024 for annualize yield of 8.8% based on Friday's closing price of $5.90Cdn per share.
Based on my forecast, I expect them to increase the dividends in 2025 once they meet their final de-leveraging goal. They should achieve that goal this summer.
Surge's current production is approximately 24,000 Boepd with a mix of approximately 83.7% crude oil, 3.3% NGLs that sell for about $47/bbl and 13.0% natural gas.
Surge has a strong balance sheet, is free cash flow positive after dividends and it has lots of "Running Room" in Western Canada.
January 23 Webinar to be hosted by Surge Energy
January 23 Webinar to be hosted by Surge Energy
Dan Steffens
Energy Prospectus Group
Energy Prospectus Group