And hedge-fund manager David Einhorn’s presentation had “some giant flaws.”
The biggest gains on hedging in Q4 were clearly made by oil producers rather than gas producers; with the exception of Enerplus, all of these companies’ production portfolios are made up of over 75% oil.
The Oklahoma play is now making a quarter of Continental “I’m Not Just Bakken Now” Resources Inc.’s oil.
But EnerVest’s John Walker expects LNG and other demand growth will absorb the new, natural-gas supply.
During these tough times, it is easy to be hasty and to make mistakes. While we all have our theories and opinions, we don’t know when and where the bottom of this fall will be. Uncertainty is very difficult and can be unnerving. It is important to know what to do and what not to do.
U.S. wells waiting on completion may prolong a low oil price.
Sure enough, February saw a rally in oil prices, and in the case of Brent greater stability around $60 a barrel. Since then we have seen restocking by many petrochemical buyers responding to both the rise in crude oil and its newfound stability.
“…It would be hard to bypass.”