Yangarra, YGR.v C$.54
Posted: Wednesday Oct 23 9:58:33AM 2013
Bought a small position in Yangarra after reviewing the Q2 Iradesso report.
Very low price to cashflow ratio. YGR had .05 cashflow for Q2 and is forecasting .20 for 2013. That's 2.7 fwd annualized price to cashflow. Reasonably low and Yangarra has been reporting improving results from drilling the Cardium. They have a multi year inventory of well sites and have dramatically lowered drilling costs from a peak of 5.1 million in 2011 to 2.8million in 2013. This has boosted IRR from 40% to 100%.
Yangarra recently announced a farmin to adjacent Cardium land. They gained over 30 prospective drill targets.
YGR.v has had a big run but it was severely undervalued before so I think there is upside.