What's the probability of Bankruptcy for Denbury Resources in 2019 or 2020?
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I’m pretty sure the last debt exchange kept the interest payment essentially unchanged.
the debt payments are eating up the capex for future value creation- each new bond issue or bond exchange comes with a higher rate. There is not enough cash available to get a big project going that starts producing in the near future. It's a death spiral - CAPEX getting smaller every year - therefore cash flow gets smaller - next year CAPEX are smaller and so on.....
High! Need a clue? Take a look at the stock price.
2019- <1% (major HSE event)
2020- <1% (major HSE event)
2021- <5% $51mm due
2022-<10% $95mm due
2023- <20% $211mm due
2024- <33% $700mm due
I would assume better than it was a little while ago with restructuring the debt, but who knows if oil will be needed for anything but plastics and lubrication in a couple decades