- The addition of condensate production should allow overall profitability to increase throughout the industry cycle.
- Condensate production is often more profitable than oil production because it is in short supply in Canada.
- The acquisition indicates a desire by management to broaden the product line.
- The debt ratio will remain very conservative (probably under 1 and definitely under 2).
- The dividend will be a conservative part of cash flow so that it can be maintained during periods of weak commodity prices.
For further details see:
ARC Resources: Steady As She Goes