Comments on: How to Profit from the Next Spike in Oil Prices

By: g.voyemant

g.voyemant — Sun, 07 Mar 2010 17:54:27 +0000

why so long! just because u don/t use paper,poor excuse !!

By: Doug

Doug — Sat, 06 Mar 2010 15:46:17 +0000

I believe it is time for me to increase investments in oil. However, I am confused about "collectable" tax implications. How can I best invest in oil and not be subject to the 28% collectable tax? I would be using IRA tax protected money for such imvestments.

By: Matt

Matt — Mon, 01 Mar 2010 18:20:44 +0000

What about the companies drilling in the Bakken and three forks oil fields in North Dakota. There is estimated 500 billion barells of oil here of which about 1 percent is recoverable with current technology. As technology improves so will the recovery rates. Any thoughts, BEXP, KOG, AEZ, MRO, NOG some of the companies in this region.

By: Barbara

Barbara — Mon, 01 Mar 2010 14:59:20 +0000

The problem with US royalty trusts compared to the Canadian (if I understood it correctly) is that they are not allowed to acquire new fields or areas for development (like they do in Canada) so once the fields they own dry up (so to speak) then they don't have the ability to continue paying out dividends or operating very well.

By: Dean Nelson

Dean Nelson — Mon, 01 Mar 2010 14:26:23 +0000

Yes, a couple of weeks ago you mentioned a tremendous oil reserve that was underneath Paris, France. Has that Texas company been able to get the rights for drilling oil there and what will this do to the current demand and markets on oil if this oil is extracted. Is this going to help the U.S. get off the dependency of OPEC oil reserves? Please give more information and updates about this particular huge oil reserve underneath Paris, France. Thank-you, Dean

By: Carlos Rossi

Carlos Rossi — Mon, 01 Mar 2010 13:46:48 +0000

On Mr. Hutchinson's expert piece on profiting from oil shares, he is correct in pointing out that Big Oil no longer controls the lion's share of the oil reserves, OPEC and NOC's (National Oil Companies) do that. However, as an economist who has been in the energy business for the better part of the last decade and half in Venezuela, I can assure you that it is not the NOCs who do all of the hard work, mainly because they are overwhelmed and dont have neither the capital nor the quantity of highly qualified engineers required. They therefore need to rely on hired guns, meaning the service companies like Schlumberger, Halliburton, Baker & Hughes to name the three most famous but there are many more. Most if not all are publicly trading companies. Since it is they who largely make possible the existence of NOCs , I once recommended many of my big oil clients to aggressively move againts these service companies (buying them off) and thus forcing the NOCs to deal directly with them. I dont think I was totally ignored, except that it would take an unprecedented enormous cohesion effort amongst the big oil names to come up with a harmonious plan to pull the necessary resources to accomplish this. Since I live in a nation that has exchange control I cant myself profit here, but i do recommend analysing these hired guns in the oil business.