- The Clearwater play will increase profitability in addition to the effect of strong commodity prices.
- The Clearwater play is a heavy oil play that is far more profitable than many (even light oil) plays.
- Profits will likely increase as Clearwater production becomes a larger part of the production mix.
- Debt repayment is far more important as heavy oil discounts tend to increase during industry downturns.
- The increase in profits will be superior to industry averages thanks to the Clearwater discovery even without overall production growth.
For further details see:
Baytex Energy: Management Moving To Increase Profitability As Expected