GLEN PARROTT:
Hello everyone. This is EnerCom’s oil and gas podcast number two. I am Glen Parrot and with me is my cohost Aaron Vandeford. Mr. Van Good morning. Good morning, thanks for being here. Thank you for listening, everyone. As we mentioned in our last or initial podcast, as we roll this forward, we’re thinking that, we can talk about things that are timely and topical to the oil and gas industry and what we’re seeing and what we’re thinking. And then, hopefully have some and get some interviews lined up. We’ll do that but talk about things that at least we’re seeing in the marketplace that we wanted to mention and go over. And, thematically this week we’re looking at sort of the state of capital, but before we get into that timely and topical sort of, I would say news of the week, but it’s really been more like the news of the past couple of weeks, but it’s only been a couple of weeks.
GLEN PARROTT:
It’s pretty quick. So, yeah, and particularly here in Colorado. We’re EnerCom is based for those of you who don’t know, we’re out of Denver, Colorado and news in Denver in the oil and gas world is this Colorado Senate bill 181, which is a come along and gone through at lightning speed really through the, the, the legislature. And, again, for those of you don’t know bill 181 locally, the goal on that one is to change the mission of the Colorado Oil and gas conservation commission, from fostering the oil and gas industry to regulating it to protect public health and the environment overall. That’s a very broad level, but in short, what it really does is it is, giving more local control to the communities versus state control bill is I guess it’s a namely being known as the boulder bill being driven out of Boulder, certainly has their goals around it. And the oil and gas industry of course is leery about it the fear of being it was going to dramatically slow new drilling over time significantly shrink the industry and therefore the economic base, et cetera.
AARON VANDEFORD:
Yeah. And I think, you know, the, the red flag, but I think I hear the most from the, the oil and gas community is that, you know, we haven’t been involved in this process as it’s moving through and our voice isn’t being considered. And so not being a part of that, I think, you know, we came out of the election cycle November and I think the industry wanted to have that dialogue and move that forward. And this seems to be a very fast paced one sided, pushed through.
GLEN PARROTT:
Yeah. If somebody say it was very one sided, certainly the and that’s just, it is because proposition one 12 that came along back in November was defeated, 55 to 45 and then, you know, within a couple of months’ time frame. This is obviously a way to circumvent that election result or a way to I guess, influence potentially it would be. Another way of thinking about it and when it’s not in my mind of not or of at this point, if it gets signed into law I think it’s just a matter of when. So coming out of I guess Weld County is kind of taking a look at weld county the commission chairwoman, Barbara Kirchmeier and a chairman, Mike Freeman just, they were kind of making commentary the other day around. Mike Freeman in particular was saying, look, you’re giving local control to, to counties that are opposed to oil and gas, but what you’re not doing is you’re not giving local control to counties that support oil and gas.
GLEN PARROTT:
And they’re concerned certainly is that, when you take a look at the Financing Administration in Weld County, the results from their estimation is that it would mean a 9% reduction in overall revenue. Would you, you know, and that’s the very, very real economic fears for them. And they feel like they’re not getting an active or a willing hearing from the governor or from the state. So in any of them on the heels of that I guess the yesterday’s news, or excuse me, not yesterday at this point it was on Wednesday on 3/20. So first day of spring, Adams County the commissioners passed a temporary moratorium on oil and gas permits. So, so it’s a six month moratorium on oil and gas permits. And, and what’s amazing about this to me is that it was really done.
GLEN PARROTT:
The commissioners put out just only a 24 hour notice and they said, hey, we’re going to hold this meeting. Right. And the everybody in that room, I guess over 90% of the people in that room were like, we don’t want you to pass this moratorium. Why are you doing this And so they politely listened the five commissioners and passed it five zero moratorium on and gas on new permitting, in well counting. So, you know, I guess, you know, my take is that, you know, the uncertainty around 181 which hasn’t even cleared the State House yet is basically spilled over and led to his first moratorium in the state, which I have troubles understanding or seeing the benefits or why this was even done.
AARON VANDEFORD:
Yeah, I think it’s really interesting. I made this same group I had of a one 12, I believe, gave that same minimum 24 hour notice and went through that process. But this time they, they, you know, they got questioned on it and said, hey, this, this doesn’t feel right. And I said, well, it’s the only time that we could all get together. It just happened to be tomorrow. So it’s hard to fill. I don’t want say, you know, everyone’s got a busy schedule apparently over there.
GLEN PARROTT:
They’re busy guys. So, so that’s the latest and greatest that’s going on here in Colorado oil and gas. And so, not to dwell on it too much, but timely and topical. There you are more to come. To be honest, we were going to be a giving sort of periodic updates on this, but the, the period has been shortened fairly dramatically.
AARON VANDEFORD:
Yeah, I think we’ve, we’ve seen a lot of change very quickly, but I think ultimately we’re going to see this play out probably over six months, a year, two years as it gets, you know, the lawyers get involved and we really understand what implications this is actually going to have because my understanding is a lot of the way that this is written is fairly loose and open and, and has a lot of room for interpretation. Yeah. And so.
GLEN PARROTT:
Yeah. And okay, so in fairness, you know, their budget, I mentioned the budget before and, shouldn’t see too much of an immediate impact immediately and that, you know, their oil and gas production revenues two years in arrears. So yes, to your point, I think that you’re, you’re going to see a lot of legal maneuvering coming forward out of this.
AARON VANDEFORD:
Yeah. I think w, you know, some of the other interesting things that are going to come down the pike from this is where does this get picked up in other places outside of Colorado are there other states or other governing bodies that are going to look to this too as a model to either not do or to implement in other areas right.
GLEN PARROTT:
I would submit to you, yes. I think there’s the, I don’t want to say conspiracy theorists around there that’s really not it. However, I think it’s generally regarded that, Colorado’s number one activity in the DJ and that’s going to the, the first domino next would be New Mexico. I mean, ultimately, you know, if you’re, if you’re really kind of forward to the Permian, you know you start in Colorado and see where what progress you make.
GLEN PARROTT:
Moving along so I guess, what else can, this was about two weeks ago. It came on out and just wanted to touch base on it because I find it interesting and that’s, Haynes and Boone. They released they’re a borrowing base redetermination survey results. So, just so everyone knows, I mean, you know, Haynes and Boone EnerCom’s worked with Haynes and Boone for Gosh, 10 years now. They’ve been a sponsor of our conference events, but, their energy group has really got some, some interesting stuff that comes on out that twice a year they do this and, their energy group pulls oil and gas producers, oilfield service companies, energy lenders, private equity firms and other sort of participants in the industry to really get their predictions about, , the producers future borrowing capacity or the borrowing basis. And, generally I guess the reason drop off in oil and gas prices. And then when I say recent talking fourth quarter, the results out of this survey is that it really hasn’t rattled the lenders too much, which is, you know, they’re not seeing as a longer term trend. So it gets, let me see. Specifically based on the pole. I guess most of the respondents, are seeing their borrowing bases. They expected to stay the same or just
AARON VANDEFORD:
False slightly in 2019 and we’re just getting into that process now. And we’ve actually seen a couple of companies, Ultra Petroleum being one who went through that process just a little bit early and accelerated. Nate got a reaffirmation of their borrowing base held flat. And so we’re starting to actually see, you know, these, these polling numbers actually come through and in these redeterminations for, for the barring basis, which I think is positive for the companies.
GLEN PARROTT:
Yeah. So for, I want to say the uninitiated, but, but generally for, for as a as a generalist question, you know, why the question might be why as a resilience
AARON VANDEFORD:
Borrowing base important. Yeah. I mean, it did. That becomes the liquidity, in addition to the cash flow that you’re generating to run your business. And so when borrowing basis declined, prices decline, there’s an increased crunch on liquidity and that, that can be troublesome for companies. And so, you know, to have a healthy banking group and a healthy, liquidity position certainly allows you to plan longer term.
GLEN PARROTT:
Exactly, and so, you know, also coming out of that as, you know, this notion around sort of capital sourcing, we’re producers planning to, to source their capital. So, as we talk about that, you know, if the capital markets have become less important as a source for I guess, oil and gas companies, you know, we’re seeing what this is a downward trend from 2018. So I guess only on the survey, if we take a look at that, I guess 12% of the responses, only 12% indicated firms would issue either equity or debt to the capital markets as opposed to like 20% in 2018. Right. So, so obviously they’re not getting love from the capital markets, from the public markets.
AARON VANDEFORD:
From the public markets and I think we’ll get into this here in a little bit, but you know, some of that equity may be able to be used in an MNA environment. I don’t think those are getting picked up there. And so, oh, okay. Yeah. Maybe it, there’s seemingly a willingness, notwithstanding some of the recent pullbacks from, from specific deals for other companies to take equity from other companies and get larger, which gets people closer to this free cash flow number. So size really matters in that free cash flow and that’s another source of capital, if you will.
GLEN PARROTT:
Yeah, you know, they, they talk about it and you know, specifically, you know, cash from operations and Jvs with private equity firms, better than seeing that as the trend in that survey result and I guess the one or the other, the big questions on that survey was the impact on a of commodity prices and the impact of commodity price volatility in particular at the end of 2018 as we all know, there was this, this massive drop off, and pricing certainly leading to a fairly ball, the most volatile a quarter of 2018 certainly. So, you know, how did that impact things and kind of mentioned it before, but, I guess most respondents generally did not expect another wave of bankruptcies, which is good.
AARON VANDEFORD:
And you know, it is, we certainly saw on you, you highlighted this really well and your Dallas presentation, this, this really kind of spike in volatility. One we hadn’t seen since back in 2008. Right, right. Yeah.
AARON VANDEFORD:
But it was very quick. We saw an immediate response back. I’m kind of in this January timeframe from the middle of December when prices started to come down, which I think people got comfort in that. And so I think that, oh, I think the banks are looking at that in the survey. And Jane, all right, there’s some stability here, but you know, well.
GLEN PARROTT:
We’ll see. So, you know, I think the, you know, timely and topical, I say to, you know, for anybody interested in this, you go out to the Haynes and Boone website, , and you can download it and take a look at it. It’s, it’s interesting, as I meant mentioned how they update it twice a year. So, it’s a good resource. So that’s out there now. So I guess next on the list anything that popped on up. I guess the only thing that you mentioned earlier was the news that came about from Denbury. Right, so and just, you know, for anybody listening in today is Friday, March 22 and so you see this news pop up yesterday.
AARON VANDEFORD:
Yeah. After the market closed, Denbury and Pva, who announced a merger earlier or later in 2018, , decided to mutually go their separate ways and continue on a independent path. And, what kind of thought it was, it was pretty telling that to read the, the two news releases, , certainly had had some similarities between them. They both mutually agreed, but then Barry kind of threw in this, this extra component of saying, hey, given the price downturn and instability. So they referenced some of that from December. And so stock price has come down and our belief that certain PVA shareholders aren’t going to vote with us enough to get this done. It’s better that we just cut ties now instead of, you know, wasting more capital, was essentially the way that I read that.
GLEN PARROTT:
Yeah. And, and it’s, I guess another example of companies now saying, yeah, maybe not.
AARON VANDEFORD:
Yeah. And I, you know, so I think that that has been one of the offshoots of, of what we saw in that volatility in December, leading into that, there were a number of corporate MNA deals, that were announced. Some have gotten done, some were kind of stepping back from, and you know, I think that it’s also important to look at the activist investor is alive and well. And so some of the deals that got through resolute and Cimarex I think had an activist investor that was really committed to moving resolute along. And that one got done, here, just the opposite. Some guys in the Pva shareholder camp said, hey, wait a minute, we may be able to do better here and let, let’s keep maybe moving this, this, company along. And so the shareholders are, are making their voice heard
GLEN PARROTT:
And sometimes the activist can be within the very company you want to get in bed with. Yeah, it’s pretty interesting. I joke cause I’m thinking about of course EQT and rice and rice, right.
AARON VANDEFORD:
So yeah, that’s a perfect example of hey, we got together and now her, our activist shareholders actually the, the, the other company that we bought and so, you know, very, very active. I think, you know, Qep, Elliot, is another one that I think is very interesting. Elliot, I don’t understand on Elliot what’s going on there. I don’t know it, it, I think this is one to certainly keep watching. And so you have this known activist from who came in and said, hey, we’re going to take you guys private. Here’s the dollar amount share price, moved up to it, market believed that this was going to happen. And then they kind of step back and said, all right, I’ll hold on, hold on, hold on. We did, we did a little cleaning the house. We’ve got some new management guys in here, but we’re going to run this strategic alternatives process.
AARON VANDEFORD:
And by the way, Qep, remember that Bach and deal, you’re selling to vantage Ellis not do that yet. Let’s, let’s put all of our options back on the table because if I really take this thing private, maybe I want it or maybe someone else does but if that ultimately goes into a take private situation, it could be really interesting to see what Elliot does and, if there’s other opportunities to put things together or whatever that may be. Right. But that’s, that’s another one that’s that unique, interesting to watch. So when you think about.
GLEN PARROTT:
I guess I have to go back a little bit on the timing for, for Elliot and whatnot, but you know, how much of this being a direct outcropping from the downturn in Q four.
AARON VANDEFORD:
Yeah, I at, you know, I think going back it was a little bit leading up to that downturn, certainly Qep was prior. Yeah. Was going through this process and Elliot was certainly chirping. It wasn’t just like they, they started, and I think if I remember correctly, or Qep was trying to really focus on their, their Permian assets. Yeah. Clean house really get into this very focused, asset class and where we’re going to be put in capital. And that’s why they got, you know, the back and deal, which actually people thought was pretty positive, on the table. And then I think as things started to fall away, the market pricing, Elliot came, kind of came in and said, all right, hold on a second, let’s, yeah, let’s, I’ll take this thing private and then started even further solidifying and saying, Hey, let’s not sell this thing yet. We, there may be better days or, or some other option value for this.
GLEN PARROTT:
As I kind of taking a look through some of our notes or, you know, we originally wanted to start off on this and say, Hey, look, thematically we wanted to talk about the state of capital and we’ve kind of jumped right into it from sure. Timely and topical, right into a where we’re at. And I guess, if I, if we’re mentioning that Haynes and Boone survey, you know, if as that survey kind of suggested the capital markets would become a less important source of funding for oil and gas companies is cash from operations and Jvs with private equity firms. Is that the answer these companies think it is.
AARON VANDEFORD:
Well, it’s interesting. I was, I was looking at a Tudor Pickering note the other morning and they were mentioning in their universe and they had done the study on, at what size company in oil price do they need to be free cashflow positive. Okay. And so they were saying their large cap universe may be able to do it at low 50, and they’re small cap prize and, and mid cap really kind of need the $60. Right. And so a free cashflow is going to be this mantra going forward. Size also has to be considered. Sure. And so that naturally fuels some of this m and a and I think that that’s what you saw some, some of the deals like Chesapeake’s deal really took this over levered, highly levered name and put a growth asset with it. He got size out of it and we got a healthier balance sheet, those may be still on the table. They probably just have to get reset now, but I think you’ll, you will see more of that corporate MNA, , some of these other cash flowing MNA because the longer this goes on, the more size and scale these companies need to actually generate that free cash flow.
GLEN PARROTT:
Hmm. The within the public market sector in particular, I guess, you know, the big question being mmm. That I think that there, the industry is struggling with is this general question around has the broad market abandoned energy, especially when you haven’t got these other alternatives out there. From an investor standpoint, you know, the, the fangs of the world being Facebook and Amazon, apple, Netflix and Google. So, what, what can that, what can the industry do to sort of say, hey, you know, we may not be, I don’t want to say the most attractive girl at the dance but, certainly investors are looking at other sectors going, that’s much more attractive than what energy’s gotten. So, you know, if that is the case, you know, what, what is the saving grace coming back for energy.
AARON VANDEFORD:
Yeah. And I dunno, do you, if I did, I’d probably make a lot of money, but I do that, it’s time. And so it’s not a matter of if, it’s probably a matter of when energy stocks rebound. Yeah. And so we spent a lot of 2018 where oil prices actually recovered a fair amount. Yep. Agreed. And come on and stock prices did not. And so, you know, we trailed the broad indexes and you know, a lot of that has to do with the sentiment from investors is that there’s some other things that are out there that I want to, they’re just distrustful of energy, I think. And I think the longer that goes on, someone’s going to have to take the position of, hey, remember this energy stuff that’s still there. That hasn’t gone away. And actually it’s healthier today than it was, you know, a year ago, two years ago or five years ago when it was a hundred dollar oil. And you know, we have to continue to, to remind investors of this. And it tends to be a space when it comes back and follows very quickly. But it’s, you know, time is kind of one of those things that I can’t tell you when, but I can tell you that it probably is going to happen. Yeah. It’s too big of an industry for to be forgotten. No, no.
GLEN PARROTT:
Completely agree and, and you know, there’s, there’s all sorts of things, again, is what we see it here at EnerCom as you, you know, are, you know, very, , succinct in saying, you know, EnerCom does sit at this intersection between the capital markets and, and the industry. And so we hear a lot and we see a lot and I know there’s many aspects of that. Part of it is, certainly the broader market environment. There’s also what companies can do to improve themselves and help their own messaging cause but, ultimately, you know, they have message has to, you know, be propagated out in a way that makes sense that people are like, okay, I understand this better.
AARON VANDEFORD:
But it is pretty interesting. And we, we, you know, we sit at this intersection as, as we talk about a lot, but just looking at conference numbers, we all start our Dallas conference and our Denver Conference and we can take a quick look at who’s showing up, who are the new investors showing up we are seeing more generalists poking around the space now those dollars being committed yet, don’t know that said they’re showing up, they’re trying to learn. I think that’s a positive we’ve gotten more and more family offices, more and more private capital options that are coming into to kind of fill some of these spaces. And so that’s a little different look and feel to this capital picture for all of these folks. Let’s, let’s talk about private equity just briefly. Yeah.
GLEN PARROTT:
Sort of your sort of thoughts on private equity. I think there’s certainly some concerns, but you know, we can talk about that but, sort of the state of the market for.
AARON VANDEFORD:
For PE, for the P and I, I’ll expand that to private capital because I think the face of private capital is changing a little bit. So, you know, your traditional private equity model of this, you know, two and 20 is large waterfall type idea. While the longer we’re trying to play this free cashflow game, that is a hard one to do for private equity. So we’re, we’re having to make adjustments on some of those, those return thoughts and thresholds we’ve got some companies and lps that are going direct sourcing to different capital. And so that, that I think is a pretty interesting shift. So usually like Florida Lee, like Florida league looking for direct investment. Yeah, yeah, and institutions and family offices or are willing to say, hey, if I kind of, I don’t bypass this middleman and I can get comfortable with these companies in the way that they’re putting capital to work, then I can put my money closer to the drill bit, which means that I can generate more of a return even in this different type of, of cycle that we’re kind of going through.
AARON VANDEFORD:
Right, so I think that that’s something that we’ll see a little bit more, more of.
GLEN PARROTT:
So it kind of made this statement around, you know, problems with private equity. I didn’t mean to indict; I’m just thinking about it from an exit perspective. The challenges that, that, that we’re seeing right now. And you’re hearing about it even though like the, you know, the private capital, conferences. Yup, you know, what the, how do they, how do they handle some of these, these exits, especially now it’s problematic. Yeah. So these natural exits, these items.
AARON VANDEFORD:
Pos or are not really there. So, Oh, good night. Midstream last week is a great example of, of two private equity firms that kind of came together and said, hey, I think we got, we can add more capital, we can, we can add some more horsepower. There’s more, more things to do with this, but I can get it now out of one fund that I haven’t and, and a tail water and get it over here into TPG. We’re still both working and now we kind of have this new time horizon set and the company’s working well. And so I thought that was a really well done. , and, and collaborative example of how private equity firms are probably going to have to work better with each other also to get these natural exits and continue growth in a private world.
GLEN PARROTT:
Yeah, I mean to have implied it was gloom and doom. It’s not, I think you’re absolutely right.
AARON VANDEFORD:
You know, it’s very cyclical and we’re, you know, this too shall change. Dot. Yeah. Well, I, and I think, you know, the other things that the private capital side are doing is, you know, the resurgence of the Drillco, where capital is coming in to say, hey, these companies may not have all the capital and resources to drill. All of this development, drilling notes were really taking the shift to development drilling. I can come in and help develop this specific asset with these specific dollars and generate a return and a healthy return and everyone has a win-win set of, of, outcomes. And so that those drill co’s I think is a, another way that even the private equity space is getting into, instead of just funding direct management teams. So I think there’s some creativity there on the private equity side that I think will ultimately bode well for, for the firm’s interesting.
GLEN PARROTT:
Okay. Well any other thoughts on that that we wanted to cover on capitol, no, I think those were the main things. I think the, I did want to go back on one other thing on the activist investor. Oh, right you know, certainly we think about this, this activist investor and our feathers automatically get bristled a little bit. There’s some things that the, the quote unquote activist investor may be doing well sure and quietly moving along. And one of those is the corporate social responsibility. And so it’s not one of those heavy hammers that, that investors are asking for, but they’re using it. And then I think getting feedback from their lps to say, hey, we want to invest in companies that are, that are sharing more information, being more transparent with their corporate social responsibilities. And so that’s a big conversation in the board room right now.
AARON VANDEFORD:
We’re seeing a lot of companies come out with new information. Yeah, and policing embracing and, and I think it, that will ultimately help in things like 181 potentially or some of these other regulatory environments. Does it help the stock price Not sure at this point. Although you know, the, the funds that are pushing for this are able to raise their, differentiate themselves to raise more capital if you think it ultimately put the work in these companies. So the mandate coming down from a group like black rock, yeah. This has to be addressed before we even consider this an investment that should make people pay attention, people are going to pay attention. And so it’s a big topic in the boardrooms. I think it’s, it’s something that shouldn’t be forgotten as we’re, as we’re starting to think about, you know, what information needs to be put out there so we can, make good investment decisions. But you know, that’s one place on a, on a softer side. The activist investor is head has made some real strides and I would say in the industry as a, as a whole collection as we.
AARON VANDEFORD:
Okay. I’m sorry it was going to switch gears a little bit. I’m not a little bit, I was actually gonna ask you a whole different question.
AARON VANDEFORD:
That’s good. Cause I, I’m, I’m done with Alan. I, I kinda just, I wanted to go back there cause I didn’t want to leave that out cause we’re, we’re launching a new website today, high point resources. Okay. And so there we got a new website up. But one of the interesting additions on that website is their corporate social responsibility. Yeah. And some of the reporting. And I think it’s very well done. It’s very genuine but it’s also one of those things that, you know, as we were thinking about what, what do we need to have out there.
GLEN PARROTT:
Yeah. It certainly is important. And again, for any sort of listeners who aren’t familiar with Entercom, you know, not only do we provide management consulting services to oil and gas, but it’s across the board, not just communications, but a, we have a whole graphics and design a team as well that works on everything from logo and brand up through, corporate presentations and messaging as well as Aaron just mentioned websites and website design. So, you know, we are seeing, I would submit more and more of that interest in, hey, how can I fold this into my existing messaging.
GLEN PARROTT:
So, and how does it fit So, all right, switch gears.
GLEN PARROTT:
Well no, I was just gonna mention that it’s going to say, look, we’re kind of, you know, end of coming towards the end of March, sort of the wrapping up of the, of earning season. Any from your perspective, highlights, takeaways, observations.
AARON VANDEFORD:
Yeah. So I, I’ll, I would three broad questions, which is great, which means I can say anything and I can answer it. , but to, to kind of come back to what we started off this podcast within the next few weeks, we’re going to see these borrowing base redetermination announcements. And I think that that’ll be a, another marker in the industry, for us to say, hey, capital is going to be there for these guys in the near term and liquidity is going to be there. I, believe that that is the case, that everything’s messaging that way and Boone’s report support to that, where we’re going to get this next marker here in the next couple of weeks. And I think that’ll be a big thing for folks, reserves were up, so this was a year where companies were able to grow reserves. Not only just cashflow and production, in a measured manner, but reserves are up. So that I think that that will also play into that reserve based lending argument, or case when the borrowing base has come out. But you know, we’re, we’re growing this industry even at a price that not support rapid growth. Gotcha. And so I think that that was one of the key takeaways that I kind of came away from. So as you look forward then into Q two, Q three and he, you know, anything that you want to.
GLEN PARROTT:
Yeah. Prognosticate upon.
AARON VANDEFORD:
I’ll, I’ll throw this out there. And one of the really interesting things, and I think we touched on it last podcast, the pricing and the Permian and the differential is as shrunk dramatically, and I think it will be very interesting as we get closer to the end of 2019 when more infrastructure comes in place in the Permian, I think we’ll start to see those guys really step on the gas a little bit more. , and we’re going to keep an eye on it, certainly. And so I would, I would, I wouldn’t put too much stock in a lot of these guys saying, hey, we’re going to be free cash flow positive, we’re going to do all this. I would look to the Permian guys to step on the gas first and then see how, how people react from the investment community. Fair enough, okay any short term thoughts.
GLEN PARROTT:
Cause I’m heading some place with this. I’m wrapping things up here with our observation around the NCAA tournament. This kicked off. So I’m switching gears in that, we’ve got, so I don’t know if you’re familiar, if you saw Rick. Rick is one of our analysts, these, one of these whip smart, Colorado School of mines guys. And you know, he’s got his bracket already done and once it’s already kicked off, right It’s on Bloomberg, it’s under EnerCom. We’ve, we’ve entrusted him too because I’m sure he’s got a spreadsheet for all of it. Well that’s just the, you know, these guys, you know, especially the hidden nothing at School of mines is just my experience with the School of mines guys is they’re never ones to, to, to do something relatively you know, on a gut feel or instinct when there’s a ridiculously complicated in an amazingly complex spreadsheet that can be done instead and apply it towards your, your thesis.
GLEN PARROTT:
And Rick’s got this all figured out and he’s going up against all the other analysts that he can to, to, to represent well himself initially, but now I’ve obscure funded with that and said, you representing EnerCom buddy, so, so don’t blow it. Of course, Marquette loses, you know there’s always going to be an upset. I know Murray state bust it up, Marquette. And frankly it wasn’t all at Murray state. It was just that one, one player. Miranda I believe. So, and then of course Michigan state did it’s best to lose in this first round, but eventually kind. They just stopped the Braves and that almost ruined his bracket. So anyway we’re going to keep an eye on that one as well. Hopefully by next week or 10 days from now or not. Hopefully we are going to know we are going to go and, and then it’s opening day at the Rockies and yes.
GLEN PARROTT:
And I’m actually really looking forward to that one as well. It’s opening day. Okay. That’s all I’ve got. Is there anything else that we wanted to touch base on I know I’ve kind of traversed, I know we’ve got a couple of questions that are in the OG podcast, a mailbox, which is [email protected]. I don’t have it in front of me. I don’t, so I’m not, we’ll just let that flow over into next week unless there’s anything in particular that we want to grab from there. But, if anybody does have a question, please feel free to submit it and hopefully we’ll allocate ourselves a little more time next time. Yeah. Okay. Thank you everyone. Appreciate your listening in. And, until next time, this is Glenn parent and Aaron Vandeford from EnerCom. Thank you very much. Bye now.
