Presentation is loading. Please wait.

Presentation is loading. Please wait.

Profiting from America’s Energy Revolution – Best Investments for Income and Growth Elliott H. Gue EnergyandIncomeAdvisor.com CapitalistTimes.com

Similar presentations


Presentation on theme: "Profiting from America’s Energy Revolution – Best Investments for Income and Growth Elliott H. Gue EnergyandIncomeAdvisor.com CapitalistTimes.com"— Presentation transcript:

1 Profiting from America’s Energy Revolution – Best Investments for Income and Growth Elliott H. Gue EnergyandIncomeAdvisor.com CapitalistTimes.com EGue@Capitalisttimes.com 1-888-960-2759

2 Oil Demand Story is Emerging Markets

3 The Supply Side: Oseburg in Norway Discovered in 1979 and put into production in 1988 Currently produces 55,000 bbl/day down from around 200,000 at peak in the mid to late 1990s. Produced with a pressure maintenance strategy

4 Spending More, Producing Less

5 Not Peak Oil, The End of Easy Oil

6 Schlumberger (NYSE: SLB)

7 Master Limited Partnerships (MLPs) MLPs offer high yields – average MLP in the Alerian MLP Index yields roughly 6% MLPs offer significant tax deferral advantages Most MLPs are involved in the midstream energy business, offering low risk fee-based cash flow streams.

8 Focus on Yield AND Growth

9 Western Gas Equity Partners (WGP) Western Gas Partners (WES) owns natural gas gathering and processing assets in Rockies. Primarily fee-based and exposed to liquids-rich basins like Niobrara. Drop-downs from parent Anadarko (APC) WGP likely to grow its distributions at 33% annualized pace. 2 to 3 percent yield in 2013

10 Hydraulic Fracturing and Horizontal Drilling….Keys to Shale Production

11 Proppant Intensity

12 Hi-Crush Partners 8 percent yield, well above MLP average of 5.5% to 6%. Cost Leader in Northern White Sand production. Wisconsin mines have unit train capability D&I Silica acquisition boosts exposure to Marcellus and Utica Shale 10-12 percent annualized distribution growth going forward Avista is a strong sponsor company.

13 Shale Requires More Compression

14 Shale is the Game Changer

15 California is.....Different

16 Pacific Coast Oil Trust (ROYT) 9.9% Yield with upside potential paid monthly 80% of net profits from developed properties – mature, well-understood formations. 7.5% royalty or 25% of profits in remaining properties including Diatomite 98% Crude oil 70% Hedged through March 31, 2014 Diatomite Drilling is ahead of expectations

17 Occidental Petroleum (OXY) Known as an enhanced oil recovery (EOR) firm focused on mature fields. Largest acreage holder in CA, 148k bbl/day in 2012 +10%. 61% domestic production, focused mainly on Permian Basin and CA Monterey Shale acreage holds long- term upside. Abu Dhabi gas onstream in 2014 Roughly 3% yield, growing at 15 to 20% annualized.

18 The Denver-Julesburg Basin

19 Niobrara Offers Solid Economics

20 Noble Energy (NBL) First wells in the DJ Basin in 2010, last year drilled 195 Wattenburg, 25 in CO By 2016 plans 500 wells/yr. in DJ Basin Liquids rich portion of Marcellus Eastern Med. Tamar 9 tcf and Leviathan 17 tcf in Israel, Cyprus- A 5 to 8 tcf

21 Shelf Life

22 Exploration and Production Stocks

23 EPL Oil & Gas (NYSE: EPL) Energy Partners filed for Chapter 11 bankruptcy protection in 2009. Reorganized, shifted from 60% gas to 80% oil. Developed in the 50’s and 60’s but new seismic data identifies new targets. Targeting new oilfields located 20,000 feet beneath the seafloor and announced results could be major upside catalyst.

24 Eni (NYSE: E) 16.81% stake in Kashagan in Caspian Sea first oil due middle 2013 100,000 boe/day in deepwater GOM 700,000 in new projects over 4 years, 3 to 4% annualized Mamba Complex Mozambique 30 tcf gas Barent’s Sea Norway and Russia Disposing of non-core assets PIIGS discount unwarranted. Offers a 5.7% yield.

25 Profiting from America’s Energy Revolution – Best Investments for Income and Growth Elliott H. Gue EnergyandIncomeAdvisor.com CapitalistTimes.com EGue@Capitalisttimes.com 1-888-960-2759


Download ppt "Profiting from America’s Energy Revolution – Best Investments for Income and Growth Elliott H. Gue EnergyandIncomeAdvisor.com CapitalistTimes.com"

Similar presentations


Ads by Google