Scott:
You can't be serious !!!!
Your comparing Connacher, a company with total assets worth 1.684 billion , total liability of 1.054 billion and total production of around 14k boe/d mostly bitumen.
to a company Cresent Point, a company with total assets of 8.063 billion , total liabilities of 2.733 billion and total production of 75,574 boe/d of which 68,060 is crude oil.
Crescent point has much higher production with much lower costs to produce, they've got 5 times the assets and a much lower debt to asset ratio...They pay a dividend , however they reported a .38 per share last quarter ( which probably would have been much lower had they not paid a .23 cent dividend). They only have 271 million shares out there and they're trading @ 45.50 which means they're much harder to manipulate by money managers.
Now considering they're only borrowing 215 million it's not rocket science to figure out they'll get a much better rate..
THAT SAID CLL rate of 8.5 and 8.75 isn't that bad when all is considered..RBC 7 yr mortgage rate today is 6.55% (5.25 special rate) and my RBC car loan rate is 6.85 for 7 years..Either way the new rates for CLL are better than the last and gives us 7 years of breathing space.I don't see any further new debt or dilution at this point. My guess is any further expansion will be as joint ventures until SP gets to a point where share issues are a better means to finance.. Who knows what the future holds in 7 years SP might be high enough to pay off this debt with a share issue.
