Debt is a concern if Algar produces like GD. BUT, if by this time next year oil is North of $75 and Algar does even a little better then GD, cash flow will be fine. They will make interest pmts with cash to spare. The principal will be renegotiated.

A typical mortgage ( and I know this is not a typical loan) usually has a term of 1-5 years, and is redone after the term. Banks do not have to give another term, although they usually do. You don't pay off a mortgage like this quickly. Don't sweat the debt if cash flow is fine, people will want to lend...because that is what they do!!

Jurek, $4-$5 next Christmas and yes I know the ratios, but Virginia there is a Santa Claus.