Not the news today I was hoping for. Was hoping for a Montney...

Not the news today I was hoping for. Was hoping for a Montney sale, but as I've been fearing, I think it was the Blackspur assets that were on the chopping block. I've always liked the Blackspur assets, a simple, low PE, underpriced business with good growth and long-term prospects. I'm glad management aren't letting go of them cheaply, despite the pressure from shareholders for a deal. I do buy the argument around the recent oil price volatility. Current margins are pretty thin, so a $3 change in oil price could impact the NPV by 30%+, and there have been a few such moves in recent weeks.

It is hard to expect an acquirer to pay a large premium above our market cap for either Montney or Blackspur. But the share price reflects a lack of confidence around Calima's ability to sell either asset. Seems a bit circular. Perhaps a joint listing on the TSX would help bridge the valuation gap and get things moving.