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by Stockwatch Business Reporter

West Texas Intermediate crude for May delivery lost 26 cents to $41.50 on the New York Merc, while Brent for June lost 34 cents to $43.84 (all figures in this para U.S.). Western Canadian Select traded at a discount of $14.55 to WTI ($26.95), down from a discount of $14.25. Natural gas for May lost 6.6 cents to $1.97. The TSX energy index lost a fraction to close at 179.71.

Alberta Montney producer Seven Generations Energy Ltd. (VII) added 12 cents to $21.31 on 1.11 million shares, continuing to climb up from its mid-January low of just $11.82. Over this time, the company has raised $300-million at a pleasing $14.60 a share, doubled its processing capacity by completing a new plant under budget and ahead of schedule, and defended its ambitious production goals at a seemingly never-ending string of North American conferences in Colorado, New York and New Orleans (to name a few). The goals needed defending because of their sheer scale. Seven Generations is aiming to produce around 105,000 barrels of oil equivalent a day this year, up from 60,400 barrels a day last year. That is a nearly 74-per-cent expected increase. Seven Generations has achieved higher increases before -- its 2015 production was nearly double the 2014 level of 31,100 barrels a day, which was nearly four times the 2013 level of 7,800 barrels a day -- but in the recent faltering market, investors had started to question the wisdom of such rapid expansions, especially as the company is not generating enough cash to cover its spending. Seven Generations remains confident that it can achieve all of its stated goals and more. Yesterday afternoon, while in Toronto (for a conference, naturally -- the Canadian Association of Petroleum Producers/Scotiabank Investment Symposium), president and chief operating officer Marty Proctor went on BNN to continue to tout Seven Generations' "path for growth," a phrase he repeated three times in the roughly six-minute interview. He pointed out that the company, which already has low costs, is about to enjoy "a sudden improvement in our capital efficiencies" now that its most recent plant is finished and its infrastructure spending is mostly done. The company now has processing capacity of 500 million cubic feet a day, and has firm agreements (for transportation and processing) to reach 600 million in 2018, said Mr. Proctor. "Beyond that, we actually see opportunities to grow our production by four to five times that contracted rate," he added. He did not specify a timeline.

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