So I heard today from a very reliable source that Chaparral will have to sell off all of their remaining assets in order to keep the NBU Co2 project afloat. Has anyone else heard of this? How many more employees will be affected by the selling of all other leases?
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Looks like you were wrong. They are selling the nbu, sbu, and panhandle to support their Stack.
Chaparral's day of financial reckoning is upon them. The incompetence that 100 dollar oil prices could cover up are now coming to the forefront and the company is floundering in a cess pool of debt. The company does not have the capital to fully develop NBU, there are mechanical and operational issues associated with it and the Marmaton growth story is a ruse. Any upside potential that they have cannot be developed as their debt load is strangling their ability to take advantage of that potential. Although low oil prices will be blamed as the culprit of Chaparral's financial woes, the root cause is the incompetent leadership that is an anchor around the neck of progress for this company. If the company is to turn things around, the operational leadership must be replaced as well as naming a new visionary to lead the company.