Outlook for oil companies

Status
Not open for further replies.
R

radioactivem

Guest
Hi does anybody have any views on what the outlook for oil companies is for the next few months? i.e. Will oil companies dip in the next while if the price of oil goes back to a more 'normal' level of say $80 dollars a barrel?

Would it be prudent to hold back on investments like this for a few weeks given the all time high there is at the moment?
thanks!
 
Depends on your return I guess-and whether you can hold out another year or two. I am personally holding-the research I have received says there's plenty more scope.
Deal or no deal though? Only you can make the decision. Good luck.
 
thomsk said:
Depends on your return I guess-and whether you can hold out another year or two. I am personally holding-the research I have received says there's plenty more scope.
Deal or no deal though? Only you can make the decision. Good luck.
Click to expand...


Similar to the gold price, the optimum time to dive in was about three year's ago.

http://moneycentral.msn.com/investo...mbol=STO&C9=2&DisplayForm=1&ComparisonsForm=1

I was recommended Statoil in 2004 (missed that boat!). They are a well run outfit and have withdrawn from dead retail markets such as Ireland (from an oil company perspective. Note how Shell have also totally withdrawn and Esso partially withdrawn from this island) and have reinvested in newer high-margin economies in Eastern Europe. They have also got into bed with Putin and are building relationships in China. Oil companies have to look at the upstream investments (exploration) and the downstream investments (retail... pumps).

http://moneycentral.msn.com/investo...risonsForm=1&Symbol=GB:BP.&C9=1&DisplayForm=1

There may be some value to come, especially if Bush does a kamikaze in Iran as a swansong. It's probably worth an each way bet since oil is a diminishing resource with a replacement not even on the horizon yet. This coupled with China and india cranking up their economies will probably strengthen demand.

Tullow Oil may be worth a look too.
 
Status
Not open for further replies.
Back
Top