Peter BriegerShiningbank Energy Income FundSHN.UN.TOCOMMENTMar 21, 2007
Very gas oriented. Price to cash flow, Price to book value and management capabilities, it could be worth a look. They have some interesting tax pools.
Mainly gas production and tends to move quickly with natural gas prices. Expect it to be relatively quiet over the next 6 months, with a rebound in the winter. Assets are not top-quality, but are above average. Treat as a trading stock.
Time to wade out, but stay fairly close to shore on some of the gas names. Has been very beaten up. There are some cost pressures going forward which may be a bit of an issue. OK to buy a little.
Sold his holdings when they made an acquisition, which levered up the balance sheet. Have cut their payout a couple of times. Balance sheet is not pristine.
One of his favourite gas trusts. If he were going to own a trust right now, this would be it. First-class management. Interesting acreage. Cheapest of the bunch in terms of price to NAV and cash flow.
Good management. About 77% of production is natural gas. Once the income trust legislation is settled, it could well be a buy. One of the cheapest. Have a very impressive set of tax pools.
Heavily natural gas oriented. Natural gas is at the lower part of its traditional price range. On average, prices will probably be higher going forward.
About 80% of production is gas weighted. Cut their distribution due to lower gas prices. Have good assets and will develop their properties and do more drilling. Bullish on natural gas longer-term. By in April-May if the price softens.
A gas driven trust. Feels that gas price will get soft which is where you should pick it up. If you own, you might want to sell now and pick it up again in 2-3 months.
One of the gassier trusts. Have cut distributions and brought their payout ratio down to a more sustainable level. She is a little more cautious on gas trusts. There could be another down leg in natural gas pricing. In gas, she would prefer Progress (PGX.UN-T) and Focus (FET.UN-T).
Natural gas weighted. With their recent cut, it looks like they have cleaned themselves up and he is going to take another look at them. Might start picking away at it if it was $.50-$.75 lower.
One of the worst performing trusts through this last period. Trades at about a 13% yield. Quite leveraged to natural gas. He is bullish on natural gas for the next 1 to 1.5 years but it is a junior expiration companies is a better way to play the sector.