John,
"...I wonder myself if the north sea is still not producing,..."
From RGO's Q2 Report, "The Banff field returned to full production in late July after a 15-day shutdown for remedial work..."
I also wonder what, specifically, is holding the share price back. One factor may be that RGO has hedged approximately 40,000 bpd (over half of its production) for the period from July - December, 1999 at an estimated average WTI price of US$16.78. Therefore, even though the price of oil is hitting 2 year highs, i.e. US$21-22/bbl, RGO is not able to participate fully in this runup. I am not sure how this hedging program compares to other companies in the industry.
Regards.
Joe |
