Can STO survive, page-211

Our dollar down to 68.3c its finally moving in the right direction for our oilers - we'll get protected by the exchange rate though a lot of Santos debt is in USD but luckily they got rid of a chunk of it - US shalers have no such protection and as could be seen by that WSJ article many get paid below the nymex price by $3 and the Canadians get $13 less and we also know the US shalers need around $60 a barrel just to break even.

The US shalers feel the full effects of the US dollar just imagine if our oilers were losing 50% on every barrel they extracted or the Canadians getting even less due to their oil sands - just think when was the last time they could have hedged above $60? - the 24th of May 2015 was the last time WTI traded above $60 and it only hit $60.30 so how many would have locked in a break even price back then?
How many would have hedged below their production costs? - not many I would think could you imagine how that would look to investors - hey we're ok we're only losing between $1.50 & $2 or worse on every dollar we earn - ouch! this is the reality over there - they are looking at a tidal wave of bankruptcies - STO made a profit mid year when the US shalers were already trying to race down the cost curve to bring their overall cost down to $60 per barrel - we here are behind the yanks and thats our saving grace - we have time they don't and luckily STO & ORG did their CR's when they did because it bought a lot more time to ride this out. US Shalers cannot keep losing money its not how business works especially not $1 for $1 ie losing 50c to a dollar for every dollar you make...

Another thing is Iran has been without funding its in oil & gas sector for years and the oil it has stockpiled is the crap stuff not a lot of Brent grade - the market will over react then it will see its not the end of the world as it always does - just my opinion of course..