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Stocks A to Z / Stocks B / Berkshire Hathaway (BRK.A) ❤
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Author: nola622 ✶  😊 😞
Number: of 15062 
Subject: Re: Pabrai: Berkshire Oxy Investment
Date: 04/18/2023 5:40 PM
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Doesn't sound like a "near-zero" investment policy to me.

They haven't drilled a well in two years, don't plan to drill or pay for drilling going forward. They sold their only drilling rig in February, sold their headquarters building, they have hardly any employees left, fired their CEO subsequent to year-end, and will let the production decline and collect the cash flows unless a third party comes in a pays to drill wells in exchange for an interest in those wells. Which is why I said what I said.

Abraxas and Southern Oil are both consolidated subsidiaries of Biglari Holdings. They are both run in the way Charlie described in Pabrai's talk. Abraxas was just taken over recently and is implementing the playbook described above.
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