HPR - Bonanza Creek: Preannounced A Q2 2020 Beat But Remains Very Inexpensive
This is a Z4 Research pre-quarter quick update.
Last night, Bonanza Creek (BCEI) released a short operations update ahead of the quarterly release on August 6th. The highpoints of the release are outlined below, but, on the whole, they continue to control the controllable, yielding a better-than-expected quarter. We have written on Bonanza a number of times, and our most recent piece highlighting the inexpensive nature of the name can be viewed here.
- Bonanza Announced Stronger Than Expected Quarterly Volumes
- Management preannounced 2Q20 volumes of 24.9 MBOEpd (56% oil). This compares to 1Q20 volumes