Obsidian energy ltd deals natural gas and also oil. The company is currently located in Canada at a place called Calgary, Alberta. The company has employed individuals of around 300 as per 2017. Its original name was Penn west exploration limited. The company’s market value reached its best in 2008 with a value of $ 9.5 billion. Their main explorations sites include Alberta Viking, Pembina Cardium, and Peace River oil sands.
However, Obsidian Energy has also had also experienced its low period. The company had accumulated various debts together with some difficulties in operations. This trying time was mainly brought by reduction of the prices of crude oil globally in 2014. This forced the company to let go some of its assets to remain afloat. This was also followed by a change in the marketing strategies.
Some of the strategies included changing the name with a new symbol of “OBE” that was to be used in the stock exchange market of New York and Toronto. Three principals were set to steer the company forward. Obsidian Energy wanted to instill discipline in operations while ensuring that everyone plays their role to ensure the company achieves its mandates and remains a global player. Transparency and accountability are also the key areas that they look forward to working on.
To achieve its mandates, Obsidian provides excellent record keeping of all its spending together with hedging plan. This will ensure the company remains on top even when the oil prices go down again in the future. The main reason for this is to ensure the safety of the investors’ money.
In addition to the change in name, there were also some proposals that were approved, for example, the appointment of Ernst and Young LLp to become the auditors of the company. The two are chartered and certified accountants. Their primary purpose is to provide full accountability on all the spending in the business. New directors were also elected which consisted of eight members. Other changes also include the reduction of employees and the number of oil barrels produced per day. This, however, has affected even the income of the company which has witnessed a steady decrease. With the measures taken by Obsidian Energy, it may not be long before Obsidian Energy rises again.