Energy Prospectus

dan, I am looking at your cash flow spread and note the q4 hedges and I am having a hard time interpreting--

you have 1,480,000 bbl.'s which would be only about 35% of their production. then you have 71.82 85.68 103.85 labeled as weighted avg.

just what price are they getting?

these do not look like very good hedges to these untrained eyes.

WLL has what are call 3-Way Collars.

The floor is $85.68, but the counter party has limited losses to $71.82. If WTI goes below $71.82 they don't pay the difference. In other words the most WLL can get paid is $85.68 - $71.82 = $13.82/bbl.