Did you see this on page 3? A hedge of oil at $81ish. I must...

Did you see this on page 3? A hedge of oil at $81ish. I must have missed that announcement.

So the current hedge is 400 x $52.70 = $21K per day. They have managed to halve it to 200 BOPD and still get $16K per day, I am guessing this is survival money, just in case oil price tanks. But since it's a smaller amount of oil. It gives the company more upside with a similar amount of protection.

I wonder if it is possible / worthwhile to lock in Natural gas prices. I say this because gas is hard to store. So it may be cheaper to simply buy future contracts in gas, which is yet to be mined, than build out infrastructure to store it. Such a financial incentive on the buyer, could translate to keener prices for the supplier. It might be nice to lock in some $8 gas prices as well. Just a badger thought.

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