Paramount Resources (OTCPK:PRMRF) reported its Q1 results. With the recovery of Canadian oil prices since the beginning of the year, the company improved its total netback. But the company still needs higher oil and gas prices to produce at a profit.
Also, the ARO (Asset Retirement Obligations) are important. Considering a recent justice decision, these liabilities represent an extra challenge.
Yet, despite these difficulties, the market doesn't value the company at a discount to NuVista Energy (OTCPK:NUVSF), a close peer that reported much better results.
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