The Bull: Buy Recommendation, page-6

I've had a chance in lockdown to reevaluate a couple of my holdings, SXY passed the filter again... The weakness may be coming off the last quarterly where there was still cash burn... But market is missing the fact that SXY are using FCF to materially increase the production of the business. Currently producing at 4.7PJ/quarter (Annual 18.8PJ above guidance) and with clear cut and near term expansion to 21PJ/year, then Roma North / Atlas combined to 36PJ/year is contingent on gas sales in a gas market that is forecast to tighten...

There will be a string of positive announcements over the next 12-18mnths with SXY committing on these developments, as gas sales are locked in. The FAB target of $40-60M FCF, $85-95M EDITDA is within reach in 2yrs.

My only concern is the current market cap is at 6-7x forward looking EBITDA multiples - and that is quiet high!