Friday, August 16, 2013

Top 10 Oil Stocks To Watch For 2014

The Supreme Court sided with Royal Dutch Shell (NYSE: RDS-A  ) today in the landmark Kiobel v. Royal Dutch Petroleum case dealing with alleged corporate human rights abuses in the Niger River Delta. This decision constitutes a disgraceful victory for corporate impunity. Shell shareholders would be shortsighted to celebrate, and responsible investors have the power to do what the judiciary won't.

Dismissed, but not innocent
To be clear, the Supreme Court did not find Shell innocent of the accusations against it. Those accusations are for crimes against humanity, including torture and extrajudicial executions. Rather, the court found that the case could not be resolved in U.S. courts under a federal law called the Alien Tort Statute (ATS), because Shell is a foreign company that allegedly committed acts against foreign victims on foreign soil. Never mind that Shell is listed on the New York Stock Exchange and earned almost 20% of its 2012 revenue in the United States.

Top 10 Oil Stocks To Watch For 2014: Stone Energy Corporation(SGY)

Stone Energy Corporation, an independent oil and natural gas company, engages in the acquisition, exploration, exploitation, development, and operation of oil and gas properties in the Gulf of Mexico and the Appalachia region. As of December 31, 2010, it had estimated proved oil and natural gas reserves of approximately 473.9 billion cubic feet of gas equivalent. The company was founded in 1993 and is headquartered in Lafayette, Louisiana with additional offices in New Orleans, Louisiana; Houston, Texas; and Morgantown, West Virginia.

Advisors' Opinion:
  • [By Matthews]

    Stone Energy (SGY) is trading at $19.88. Stone is an oil and gas drilling company with projects in the Gulf of Mexico, Appalachia, and Texas. These shares have traded in a range between $14.21 to $35.94 in t he last 52 weeks. The 50-day moving average is $24.54 and the 200-day moving average is $27.49. SGY is estimated to earn $3.58 per share in 2011 and $3.64 in 2012. In terms of PE ratios, this appears to be one of the cheapest oil stocks in the market. In July, Dahlman Rose set a $38 price target for SGY shares and Ladenburg Thalmann has a $30 target.

Top 10 Oil Stocks To Watch For 2014: Transportadora de Gas del Sur SA (TGS)

Transportadora de Gas del Sur S.A. (TGS) is engaged in the transportation of natural gas and production and commercialization of natural gas liquids (NGL). TGS�� pipeline system connects major gas fields in southern and western Argentina with gas distributors and industries in those areas and in the greater Buenos Aires area. The Company also renders midstream services, which consist of gas treatment, removal of impurities from the natural gas stream, gas compression, wellhead gas gathering and pipeline construction, operation, and maintenance services. The Company operates in three segments: natural gas transportation services through its pipeline system; NGL production and commercialization, and other services, which include midstream and telecommunication services.

During the year ended December 31, 2009, the Company�� gas transportation represented approximately 42% of total net revenues. During 2009, its NGL production and commercialization segment accounted for 50% of the total revenues of the Company. During 2009, its other services segment accounted for 8% of total revenues of the Company. Its other services segment consists of midstream and telecommunications services. Through midstream services, TGS provides integral solutions related to natural gas from wellhead up to the transportation systems. The services consists of gas gathering, compression and treatment, as well as construction, operation and maintenance of pipelines, which are generally rendered to natural gas and oil producers at wellhead. The customers��portfolio also includes distribution companies, industrial users, power plants and refineries.

During 2009, the Company provided a range of technical services to different customers. The services consisted of connections to the transportation system, engineering inspections, project management and professional technical counseling. Telecommunication services are provided through Telcosur S.A. (Telcosur), who renders services both as an independent c! arrier of carriers and to corporate clients within its area. Telcosur has a digital land radio connection system.

Top 5 Performing Stocks To Buy For 2014: National-Oilwell Inc.(NOV)

National Oilwell Varco, Inc. designs, constructs, manufactures, and sells systems, components, and products used in oil and gas drilling and production; provides oilfield services and supplies; and distributes products, and provides supply chain integration services to the upstream oil and gas industry worldwide. Its Rig Technology segment offers offshore and onshore drilling rigs; derricks; pipe lifting, racking, rotating, and assembly systems; rig instrumentation systems; coiled tubing equipment and pressure pumping units; well workover rigs; wireline winches; wireline trucks; cranes; and turret mooring systems and other products for floating production, storage and offloading vessels, and other offshore vessels and terminals. The company?s Petroleum Services & Supplies segment provides various consumable goods and services to drill, complete, remediate, and workover oil and gas wells and service pipelines, flowlines, and other oilfield tubular goods. It also manufacture s, rents, and sells products and equipment for drilling operations, including drill pipe, wired drill pipe, transfer pumps, solids control systems, drilling motors, drilling fluids, drill bits, reamers and other downhole tools, and mud pump consumables. In addition, this segment provides oilfield tubular services comprising the provision of inspection and internal coating services; equipment for drill pipe, line pipe, tubing, casing, and pipelines; and coiled tubing pipes and composite pipes. Its Distribution Services segment sells maintenance, repair and operating supplies, and spare parts to drill site and production locations. The company primarily serves drilling contractors, shipyards and other rig fabricators, well servicing companies, pressure pumping companies, oil and gas companies, supply stores, and pipe-running service providers. National Oilwell Varco, Inc. was founded in 1862 and is based in Houston, Texas.

Advisors' Opinion:
  • [By Admin]

    Designer and maker of oil rig equipment, National-Oilwell Varco Inc. (NYSE: NOV), should benefit from the rising price of oil due to the crisis in the Middle East. With increased pressure to find new oil fields, the most stable investments in the energy sector appear to be in the oil well services and equipment stocks. NOV supplies equipment to deepwater drilling, shale operations and natural gas exploration.?

    S&P notes that, in the near future, there may be changes in regulatory measures pertaining to the Gulf of Mexico that could benefit NOV. S&P has a “four-star buy” on NOV with a target of $85.

    But technically, the stock is picking up volume, and if it can break through the triple-top at $89, it could have a major move up as it accelerated away from its bullish support line. Buy NOV now for a one-month trade to $89. Longer-term investors should hold this stock for long-term capital gains.

Top 10 Oil Stocks To Watch For 2014: Samson Oil and Gas Ltd (SSN)

Samson Oil & Gas Limited (Samson), incorporated on April 6, 1979, is engaged in exploration and development of oil and natural gas properties in the United States. Samson owns a working interest in each of its three material producing properties, through which it has entered into operating agreements with third parties under which the oil and gas are produced and sold. The Company also has 100% working interest in one exploration property and 50% to 100% in a second property. As of June 30, 2012, the Company�� properties included North Stockyard Project; State GC Oil and Gas Field, New Mexico; Davis Bintliff (Sabretooth Prospect), Brazoria County, Texas; Hawk Springs Project, Goshen County, Wyoming, and Roosevelt Project, Roosevelt County, Montana. As of June 30, 2012, the Company along with its subsidiaries produced approximately 87,956 barrels of oil and 214,463 thousand cubic feet of gas.

North Stockyard Project -Williston Basin, North Dakota

Samson has 34.5% working interest in 3,303 acres adjacent to the North Stockyard Oil Field, which is located in the Williston Basin in North Dakota and is operated by Zavanna LLC. Together with the Company�� working interest owners, it has drilled seven wells in this field, six in the Bakken formation and one in the Mission Canyon formation. During July 2012, the Harstad #1-15H well averaged 15 barrels of oil per day (BOPD). The Leonard-23H (10% working interest, 37.5% after non-consent penalty) is a Mississippian Middle Bakken Formation. In July 2011, this well averaged 46 barrels of oil per day. The Company drilled its third Bakken well in the North Stockyard Field, the Gary-24H (37% working interest). During July 2012, this well averaged 75 BOPD. It drilled its fourth Bakken well in the North Stockyard Field, the Rodney-14H (27% working interest). In July 2011, this well averaged 92 BOPD. It drilled its fifth Bakken well in the North Stockyard Field in Williams County, North Dakota, the Earl 1-13H (32% working interest). In Jul! y 2011, the well averaged 193 BOPD. In June 2011, it drilled its sixth Mississippian Bakken well in the North Stockyard field in Williams County, North Dakota, the Everett 1-15H (26% working interest). As of June 30, 2012, the North Stockyard project had net proved reserves of 598,500 barrels of oil and 757,800 thousand cubic feet (of natural gas).

State GC Oil and Gas Field, New Mexico

The State GC oil and gas field is located in Lea County, New Mexico, and covers approximately 600 acres. As of June 30, 2012, the field had two wells, the State GC#1 and State GC#2. Average daily production during the year ended June 30, 2012 from the State GC oil and gas field was approximately 43 BOPD and 37 million standard cubic feet per day. As of June 30, 2012, the State GC oil and gas field had net proved reserves of 65,500 barrels of oil and 87,300 thousand cubic feet (of natural gas).

Davis Bintliff #1 Well (Sabretooth Prospect), Brazoria County, Texas

The Davis Bintliff #1 well is operated by Davis Holdings. During the year ended June 30, 2012, this well averaged 29 BOPD and 2.61million cubic feet per day. As of June 30, 2012, the Davis Bintliff well had net proved reserves of 700 barrels of oil and 66,400 Thousand cubic feet (of natural gas).

Hawk Springs Project, Goshen County, Wyoming

The Company has 37.5%-100% working interest in Hawk Springs Project. The Spirit of America 1 replacement well, Spirit of America 2, was successfully drilled to a total depth of 10,634 feet during the fiscal year ended June 30, 2012 (fiscal 2012).

Roosevelt Project, Roosevelt County, Montana

The well was drilled to a total measured depth of 14,972 feet with the horizontal lateral remaining within the target zone for the entire lateral length. approximately 3,425 barrels of oil have been produced.

Top 10 Oil Stocks To Watch For 2014: Abraxas Petroleum Corp (AXAS)

Abraxas Petroleum Corporation is an independent energy company primarily engaged in the acquisition, exploitation, development and production of oil and gas in the United States and Canada. As of December 31, 2011, the Company�� estimated net proved reserves were 29.0 million barrels of oil equivalent (MMBoe), (including reserves attributable to its 34.7% equity interest in the proved reserves of Blue Eagle), of which 53% were classified as proved developed, 54% were oil and natural gas liquids (NGL��) and 94% by PV-10 were operated. Its daily net production during the year ended December 31, 2011, was 3,484 barrels of oil equivalent per day, of which 45% was oil or liquids. Its oil and gas assets are located in four operating regions in the United States, the Rocky Mountain, Mid-Continent, Permian Basin and onshore Gulf Coast, and in the province of Alberta, Canada.

The Company�� properties in the Rocky Mountain region are located in the Williston Basin of North Dakota and Montana and in the Green River, Powder River and Unita Basins of Wyoming and Utah. In this region, its wells produce oil and gas from various reservoirs, including the Niobrara, Turner, Bakken and Three Forks formations. Well depths range from 7,000 feet down to 14,000 feet. The Company�� properties in the Mid-Continent region are primarily located in the Arkoma Basin and principally produce gas from the Hartshorne coals at 3,000 feet. Its properties in the Permian Basin region are primarily located in two sub-basins, the Delaware Basin and the Eastern Shelf. In the Delaware Basin, its wells are located in Pecos, Reeves, and Ward Counties, Texas and produce oil and gas from multiple stacked formations from the Bell Canyon at 5,000 feet down to the Ellenburger at 16,000 feet.

In the Eastern Shelf, its wells are principally located in Coke, Scurry, Midland, Mitchell and Nolan Counties, Texas and produce oil and gas from the Strawn Reef formation at 5,000 to 7,500 feet and oil from the shallower Clea! rfork formation at depths ranging from 2,300 to 3,300 feet. The Company�� properties in the onshore Gulf Coast region are located along the Edwards trend in DeWitt and Lavaca Counties, Texas and in the Portilla field in San Patricio County, Texas. In the Edwards trend, its wells produce gas from the Edwards formation at a depth of 14,000 feet and in the Portilla field, its wells produce oil and gas from the Frio sands and the deeper Vicksburg from depths of approximately 7,000 to 9,000 feet. In addition, the Company also owns a 34.7% equity interest in a joint venture targeting the Eagle Ford in South Texas. Its properties in the province of Alberta, Canada are located in the Pekisko fairway and the Nordegg/Tomahawk area of Central Alberta.

As of December 31, 2011, the Company leased approximately 20,835 net acres, primarily in counties located on the Nesson Anticline and in areas west, including Rough Rider and Lewis & Clark in North Dakota and in Sheridan County, Montana, which are prospective for the Bakken and Three Forks formations. During the year ended December 31, 2011, the Company drilled two operated wells and participated in an additional 19 gross (1.0 net) non-operated wells. In July 2011, Abraxas purchased a used Oilwell 2000 horsepower diesel electric drilling rig. In August 2010, the Company formed a joint venture, Blue Eagle, with Rock Oil to develop its acreage in the Eagle Ford Shale play. As of December 31, 2011, the Company owned a 34.7% interest in Blue Eagle. During 2011, Blue Eagle drilled, completed or participated in three gross (2.4 net) wells and added approximately 3,800 net acres to its holdings, principally in McMullen County, Texas.

As of December 31, 2011, the Company leased a total of approximately 20,720 gross (17,800 net) acres in the southern Powder River Basin, of which 17,800 gross (15,700 net) acres were located in the Brooks Draw field of Converse and Niobrara Counties, Wyoming. In addition, it owns approximately 2,100 net acres in sout! hern Camp! bell County, Wyoming which are held by production and are near the Crossbow field operated by EOG Resources, Inc. and other recent horizontal activity. As of December 31, 2011, the Company leased 6,880 net acres in western Alberta. In 2011, it drilled or completed six gross (6 net) wells in the Twining area. In the emerging southern Alberta Basin Bakken play of Toole and Glacier Counties, Montana, the Company leased approximately 10,000 gross/net acres under long-term leases or direct mineral ownership. As of December 31, 2011, it leased approximately 5,600 gross/net acres in Nolan County, Texas. In 2011, the Company drilled three wells in the Spires Ranch offsetting the prolific Nena Lucia field.

Top 10 Oil Stocks To Watch For 2014: Whiting Petroleum Corporation(WLL)

Whiting Petroleum Corporation engages in the acquisition, development, exploitation, exploration, and production of oil and gas primarily in the Permian Basin, Rocky Mountains, Mid-Continent, Gulf Coast, and Michigan regions of the United States. As of December 31, 2010, its estimated proved reserves were 304.9 million barrels equivalent of oil; and had interests in 9,698 gross productive wells covering approximately 1,115,000 gross developed acres. The company sells its oil and gas to end users, marketers, and other purchasers. Whiting Petroleum Corporation was founded in 1983 and is Denver, Colorado.

Advisors' Opinion:
  • [By Gordon Wilcox]

    Whiting Petroleum (NYSE: WLL) Two months ago, takeover rumors surrounding Whiting swirled after it was reported the company hired Bank of America to explore a possible sale. Those rumors gained steam again last week and it is easy to see why.

    Not only does Whiting control over 700,000 Bakken Shale acres, making it the second-largest producer there, it is attractively valued. The shares currently trade for more than 35 percent below the average analyst price target and well below the five-year average price-to-earnings ratio.

    Adding to the takeover case are the facts that the bulk of Whiting’s reserves are oil, not gas, and that the company has increased production guidance multiple times this year.

Top 10 Oil Stocks To Watch For 2014: Marathon Oil Corporation(MRO)

Marathon Oil Corporation, through its subsidiaries, operates as an international energy company with operations in the United States, Canada, Africa, the Middle East, and Europe. It operates through three segments: Exploration and Production, Oil Sands Mining, and Integrated Gas. The Exploration and Production segment explores for, produces, and markets liquid hydrocarbons and natural gas. The Oil Sands Mining segment mines, extracts, and transports bitumen from oil sands deposits in Alberta, Canada; and upgrades the bitumen to produce and market synthetic crude oil and vacuum gas oil. The Integrated Gas segment markets and transports products manufactured from natural gas, such as liquified natural gas and methanol. The company was formerly known as USX Corporation and changed its name to Marathon Oil Corporation in July 2001. Marathon Oil Corporation was founded in 1887 and is based in Houston, Texas.

Advisors' Opinion:
  • [By Skousen]

    Marathon Oil (MRO) has been downgraded by TheStreet Ratings from buy to hold. The company's strengths can be seen in multiple areas, such as its robust revenue growth, reasonable valuation levels and good cash flow from operations. However, as a counter to these strengths, we find that the stock has had a generally disappointing performance in the past year.

    Marathon Oil Corporation, through its subsidiaries, operates as an international energy company with operations in the United States, Canada, Africa, the Middle East, and Europe. It operates through three segments: Exploration and Production, Oil Sands Mining, and Integrated Gas. The company has a P/E ratio of 8.1, above the average energy industry P/E ratio of 5.6 and below the S&P 500 P/E ratio of 17.7. Marathon Oil has a market cap of $18.9 billion and is part of the basic materials sector and energy industry. Shares are up 4.5% year to date as of the close of trading on Friday.

Top 10 Oil Stocks To Watch For 2014: Archer Ltd (ARCHER)

Archer Ltd, formerly Seawell Limited is a Bermuda-based global oilfield service company. The Company provides drilling services, such as platform drilling, land drilling, modular rings, directional drilling, drill bits, tubular services, drilling and completion fluids, cementing tools, plugs and packers, underbalanced services, rentals and engineering. It specialises also in well services, such as wireline intervention, specialist intervention, frac valves, wireline logging, integrity diagnostics, imaging, production monitoring, coiled tubing, completion services and fishing. As of January 3, 2012, the Company's organizational structure centered on four geographic and strategic areas: North America (NAM), North Sea (NRS), Latin America (LAM) and Emerging Markets & Technologies (EMT). As of December 31, 2010, it was active through a number of subsidiaries, namely Seawell, Allis-Chalmers Energy, Gray Wireline, Rig Inspection Services and TecWel, among others.

Top 10 Oil Stocks To Watch For 2014: Atlas Resource Partners LP (ARP)

Atlas Resource Partners, L.P. (Atlas Resource Partners), incorporated on October 13, 2011, is an independent developer and producer of natural gas, crude oil and natural gas liquids (NGL), with operations in basins across the United States. The Company is a sponsor and manager of investment partnerships, in which it co-invests, to finance a portion of its natural gas and oil production activities. During the year ended December 31, 2012, its average daily net production was approximately 77.2 million cubic feet equivalent. On December 20, 2012, it completed the acquisition of DTE Gas Resources, LLC from DTE Energy Company. On September 24, 2012, the Company acquired Equal Energy, Ltd.�� (Equal) remaining 50% interest in approximately 8,500 net undeveloped acres included in the joint venture. On July 26, 2012, it completed the acquisition of Titan Operating, L.L.C. On April 30, 2012, it acquired certain oil and natural gas assets from Carrizo Oil & Gas, Inc. In April 2012, it acquired a 50% interest in approximately 14,500 net undeveloped acres in the oil and NGL area of the Mississippi Lime play in northwestern Oklahoma.

Through December 31, 2012, the Company owned production positions in the areas of the Barnett Shale and Marble Falls play in the Fort Worth Basin in northern Texas; the Appalachia basin, including the Marcellus Shale and the Utica Shale; the Mississippi Lime and Hunton plays in northwestern Oklahoma, and the Chattanooga Shale in northeastern Tennessee, the Niobrara Shale in northeastern Colorado, the New Albany Shale in southwestern Indiana and the Antrim Shale in Michigan. During 2012, the Company had ownership interests in over 525 wells in the Barnett Shale and Marble Falls play and 569.3 billion cubic feet equivalent of total proved reserves with average daily production of 31.9 million cubic feet equivalent. During 2012, the Company had ownership interests in over 10,200 wells in the Appalachian basin, including approximately 270 wells in the Marcellus Shale and 1! 12.6 billion cubic feet equivalent of total proved reserves with average daily production of 35.6 million cubic feet equivalent. During 2012, it owned 21 billion cubic feet equivalent of total proved reserves with average daily production of 1.9 million cubic feet equivalent in the Mississippi Lime and Hunton plays in northwestern Oklahoma. During 2012, the Company had average daily production of 7.8 million cubic feet equivalent in the Chattanooga Shale in northeastern Tennessee, the Niobrara Shale in northeastern Colorado, the New Albany Shale in southwestern Indiana, and the Antrim Shale in Michigan.

Top 10 Oil Stocks To Watch For 2014: Tesoro Petroleum Corporation(TSO)

Tesoro Corporation, together with its subsidiaries, engages in refining and marketing petroleum products in the United States. It operates in two segments, Refining and Retail. The Refining segment refines crude oil and other feed stocks into transportation fuels, such as gasoline, gasoline blendstocks, jet fuel, and diesel fuel, as well as other products, including heavy fuel oils, liquefied petroleum gas, petroleum coke, and asphalt. This segment also sells refined products in the wholesale market primarily through independent unbranded distributors; and in the bulk market primarily to independent unbranded distributors, other refining and marketing companies, utilities, railroads, airlines and marine, and industrial end-users. It owns and operates 7 refineries with a combined crude oil capacity of 665 thousand barrels per day. The Retail segment sells gasoline, diesel fuel, and convenience store items through company-operated retail stations, and third-party branded dea lers and distributors in the western United States. As of December 31, 2011, this segment had 1,175 branded retail stations under the Tesoro, Shell, and USA Gasoline brands. The company was formerly known as Tesoro Petroleum Corporation and changed its name to Tesoro Corporation in November 2004. Tesoro Corporation was founded in 1939 and is headquartered in San Antonio, Texas.

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