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If natural gas prices go DOUBLE DIGIT

Posted: Tue May 31, 2022 7:29 pm
by RTaber1
What do you believe would be a reasonable buy-out multiple to cash flow for Silverbow Resources?

To what extent, and at what levels, is Silverbow hedged in oil and gas this year?

Thanks.

Re: If natural gas prices go DOUBLE DIGIT

Posted: Tue May 31, 2022 8:51 pm
by sl6886
For Silverbow,

Company is predominately gas - think about only 16% oil

They were 62% hedged as of Feb 22, and it goes up to 70% for nat gas in the third quarter and back to 64% in the fourth quarter. Next year it drops to 30% for gas.

For oil, it looks like their average hedge price is $56 for the year, ballpark. A scan of the company's comments indicates that they are quite happy with their hedging strategy.

Re: If natural gas prices go DOUBLE DIGIT

Posted: Wed Jun 01, 2022 8:56 am
by dan_s
6x operating CFPS is a fair buyout offer.