Investment Q&A

Q: Dear 5i Team:
Would appreciate your assessment of Athabasca Oil. Would like to have a small position in energy after a long absence.
Thanks so much. Lorraine

Q: In regards to the person asking about AOC. They have some infrastructure (pipeline and tanks) for sale. I believe they will be sold within 2018.

Q: I was interested in purchasing Athabasca Oil, given Eric Nuttall's recent comments on BNN that while the company's debt load is presently high, it should be "debt free in 3 or 4 months."

5 I, on the other hand, makes no mention of reduction of debt in Athabasca's future, in a recent comment and suggests further it is not a top choice.

Would you be able to elaborate on this please?
(5 I is my go-to for checks and balances, and I hardly do anything on the market now, without your opinion!)

If not Athabasca, what would be a good "growthier" name in the Energy/Oil space that you could recommend, with good conscience, at this time.

Thank you.

Q: Could I get your views on oil, do you see a sustained recovery finally. Would ATH be a buy now?

Q: Greetings et al,
I would appreciate if Peter could give his opinion on b2, since he spent many years at Sprott. I hear nothing but good about B2 from analysts,
guests on BNN, Globe articles, and 5-i, and yet it never can break $ 4.00.
If gold goes up it generally goes down. Astute CEO. What is wrong?
I read an article in the Globe on March 29 stating that for every $ 1.00
increase in the price of WCS DESJARDINS estimates that athabasca oilsands cash flow will increase 10.4%. This AM it was announced
that due to less imports by the USA from Venezeula coupled with
Enbridge reducing what they call airpockets in their shipping system
the WCS/WTI has reduced from $ 28.00 in February, 2018 to $ 18.00
today, and ATH is down today. At an increase of $ 10.00/ barrel for
ATH provided it stays there, Wouldn't one think Ath would go up a few cents?
Thanks,
BEN.

Q: I sold my position in Birchcliff Energy this year for a small loss and have no oil or gas stocks. Is ATH a buy, hold, or sell at it's current price ? Thank you for your great advice.

Q: Yesterday in media was speculation of Suncor looking for Oil Sands acquisitions. Do you see any likely candidates, that would also have limited downside, and leverage to increasing prices if they don't get purchased by Suncor?

Q: I've held this for a while with a cost of $2.10. Is there any hope for it, or should I sell and buy a better growth stock???
Thanks!

Q: Can you please comment on the recent earnings? Would this stock be buyable at these prices?

Q: Good Afternoon
I am getting ready to take some capital losses as gains offsets. I will not need to realize all of the above; but in what order should I use them and if I sell would you buy any of them back? The $ losses are about equal in all cases.

Thanks and enjoy the heat

Q: Can you please comment on the recent earnings? Do you think the stock is a buy at this price?

Thanks.

Q: Athabasca Oil is a disastrous long-term holding in my trading account. My purchase price is $3.87, with the current price at $1.40. I'm considering buying enough shares to average my cost down to about $2.00. Would you recommend doing that? What is the long-term outlook for ATH? Thanks for your thoughts.

Q: The above companies are on my watch list. Valuations have come off a lot this year and I think there is an opportunity. Which of these do you see the most potential in?

Thanks

Chris

Q: Athabasca Notes are due Nov.19, 2017, which could be option no. three (3). Also, which tender offer is BEST one or two?
Option 1:To receive the total consideration of $1,004.25 CAD, which includes an early tender payment of $30.00 CAD,for each $1,000.00 CAD principal amount of Athabasca Oil Corp. 7.50% Senior Secured Second Lien Notes due Nov. 19, 2017 tendered.
Option 2: To receive the tender offer consideration of $974.25 CAD for each $1000.00 CAD principal amount of Athabasca Oil Corp. 7.50% Senior Secured Second Lienh Notes due Nov.19,2017 tendered. Again, which option is the best and why?

Q: Just read the answer to the Nov 2017 notes offering. Just want to make sure I'm doing the math correctly. I read they are paying 1004.25/1000 which is only 100.425/100, so basically no premium. If I hold to maturity in 9 months it's 7.5% - 0.425 = 7.06% return. If I tender the offer it's 3 months interest of about 1.88% + 0.425 = 2.3% + interest made on a new investment. I would need to make 4.76% in 9 months (so a bond paying 6.3% annualy) to break even. I understand the risk and that the fixed income part is supposed to be the safe part of the portfolio, but is it really that big of a risk that Athabasca Oil will be bankrupt in 9 months and not be able to pay the principal back?

Q: Can you please comment on the recent financing that ATH has received? It seems like there taking on alot of debt recently.

Thanks

Q: Good morning 5i

with the recent closing of acquisition of Statoil. Do you think Athabasca as good buy at current price if not what would be a good entry point. Could I have your analysis on this? or do you have better names from growth potential?

thanks.

Q: your evaluation of the purchase of assets from Statoil- if positive should buy now or wait and see?

Q: I own twelve oil and gas stocks in a $2.5 million portfolio as listed above. My advisor recommends selling the first seven stocks on the list and adding to the last five positions. I'm primarily interested in capital gains with dividends being a secondary consideration. Would you recommend selling any of the first seven stocks? If so, what gas and oil stocks would you choose as replacements? Thanks for your advise.

Q: They seem to have done a good job of cleaning up the balance sheet of late ie debt reduction. Cash flow is improving and will get to positive in awhile. Some analysts think it has a decent upside. What do you think? Time for a position? Thanks.