Atlas Resource Partners (ARP
Posted: Fri Nov 22, 2013 1:54 pm
Dan,
Is this MLP on your radar? It appears to be owned by ATLS. What are your thoughts?
Is this MLP on your radar? It appears to be owned by ATLS. What are your thoughts?
ARP is not on my radar screen. I have enough on my plate for now.
My "Quick Take", which worth about 50 cents.
I do see that quarterly results have been rather disappointing lately and analysts keep lowering their EPS forecasts. That is not a good sign. It is heavily weighted to natural gas and operates in several basins that I don't like.
Atlas Resource Partners, L.P. (NYSE: ARP) is an E&P master limited partnership active in oil and gas production in the Barnett Shale (TX), the Appalachian Basin, the Raton Basin (NM), the Black Warrior Basin (AL) and the Mississippi Lime (OK). ARP owns an interest in over 12,000 producing natural gas and oil wells, representing ~1.4 Tcfe of net proved reserves.
Lots of well sounds great but that means high operating expenses and a big plugging liability.
Take a look at the report we sent out this morning on MEMP. I think it has a lot more upside. In general, you should focus on upstream MLPs that have more oil production.