Oil & Gas Investments Bulletin

West Energy Buyout Is a Win for OGIB Subscribers – but sell or tender?

admin — Tue, 09 Mar 2010 02:12:30 +0000

Shareholders in West Energy (WTL-TSX) received a premium buyout offer from Daylight Resources Trust (DAY.UN-TSX) for a combination of cash and stock that essentially works out to $5.30 per share. For subscribers to Oil & Gas Investments Bulletin, that equates to a 93% profit on a cost base of $2.74 in just six months. Should investors tender [...]

Fracking Fluids Part I: A Controversy Coming to an Energy Investment Near You

admin — Fri, 05 Mar 2010 04:53:35 +0000

The controversy surrounding fracking fluids is getting louder. Websites and media savvy organizations are getting more press on this issue, using a very simple and powerful pitch – are the chemicals used in fracking fluids in oil and gas wells contaminating our drinking water? North American investors have not been directly hit by this issue yet, meaning that a [...]

Should There Be Standardized Reporting of Well Results?

admin — Thu, 18 Feb 2010 16:27:28 +0000

Investors need to understand what they’re reading on IP rates Should there be a legal or industry accepted standard for reporting IP (Initial Production) rates on oil & gas wells? For both the industry and investors, it creates a quandary – do you want quick reporting of oil well flow rates, or do you want accurate [...]

Global Liquidity Squeeze Could Drown Increased Oil Demand and Result in a Lower Oil Price

admin — Thu, 11 Feb 2010 00:51:29 +0000

The oil price could tread water or go lower over the coming months, even as global oil demand slowly increases – because of a surprisingly steady and rising US dollar. Surprisingly, because US economic data is not all that strong, so in one sense the dollar has no reason to go up. Same store sales at Walmart [...]

Where is the Oil Price Going–One Chart to Consider

admin — Tue, 02 Feb 2010 06:00:00 +0000

Potentially Bearish Outlook for Oil Prices By Brian Hoffman, CA, CPA, and an affiliate of the Market Technicians Assoc. and a member of the Canadian Society of Technical Analysts Oil prices have staged a remarkable rally since a year ago, retracing almost 50 per cent of the drop from the US$147 high of 2008. The price chart [...]

The End Result: Another Petrobakken Take-over in the Cardium

admin — Fri, 29 Jan 2010 17:30:41 +0000

On Thursday January 27th, mid-tier Canadian oil producer Petrobakken (PBN-TSX) announced its second Cardium area acquisition – Result Energy(RTE-TSX). On January 4, Petrobakken bought out Berens Energy (BEN-TSX). This play has exploded onto the screens of analysts and investors in six short months. I found two themes in reading the media and analyst reports on yesterday’s takeover [...]

New Portfolio Recommendation Coming; Subscription Price Increase

admin — Tue, 26 Jan 2010 18:12:21 +0000

When I started my subscription service back in June 2009, I truly wasn’t sure how it would evolve. The core was to be stockpicking some junior and intermediate oil and gas producers listed in Canada and the US. I also thought I would be able to educate a lot of investors with many interesting story [...]

Update on one of my Top Picks for 2010

admin — Wed, 20 Jan 2010 17:29:35 +0000

It had to happen sometime. Nobody ever hits 100% of their wells forever. Shareholders in Coastal Energy (CEN-TSXv) woke up this morning to see their stock drop over $1 per share, or 15%, down to $5.35 after the company reported they had stopped drilling on their first well in the new Songkhla B field in the Gulf [...]

Will the US Need Canadian Natural Gas? Apache Hedges Its Bets

admin — Fri, 15 Jan 2010 15:33:18 +0000

(this article is also appearing in the online edition of Canada’s National Post Newspaper-the FP Trading Desk) Americans are moving quicker than Canadians to secure profitable markets for Canadian natural gas. On Wednesday, Apache Corp. of Houston bought control of Canada’s only proposed export facility for Liquid Natural Gas (LNG), located in Kitimat B.C., for an undisclosed [...]

Determining Oil & Gas Valuations

admin — Fri, 08 Jan 2010 05:58:55 +0000

(a shorter version of this story appeared in the Financial Post Trading Desk online edition on January 6) How do valuations get set for oil and gas companies? I ask because I’m seeing very fast-rising valuations in the junior and intermediate oil sector that I cover. I have seen junior oil producers valued at $200,000 per [...]