HK - Halcon Resources May Benefit From Lower Oil Prices
Halcon Resources (HK) is a company that is looking for stronger oil prices by late 2019, but shouldn't be affected that much if oil prices remain weaker before that. Weak near-term oil prices may actually be net beneficial to Halcon's longer-term outlook due to the effect that lower oil prices would have on industry production growth and service costs.
Oil Hedges
The reason for this outlook is that Halcon has a large amount of oil hedges in place in Q4 2018 and in 2019. It is actually potentially overhedged for Q4 2018, with