Note: I am posting fewer and fewer stand-alone posts on investment articles. I am posting most of my investment stories at the "For Investors Only: Investing" at the sidebar at the right, near the top. There will, of course, be some exceptions.
Mike Filloon on WTI, Bakken, western Canada pricing -- SeekingAlpha. Note, Mike says he has no positions in any of the companies he mentions in this article, if I understood his disclaimer correctly. I am traveling so I am not reading as closely as normal; limited time to blog.
In addition to fewer stand-alone posts on investing, I am also posting fewer stand-alone articles in general, posting them on previous pages as updates. The sidebar at the right provides the links to the stories. The blog was getting out of control with lots of minor stories about the Bakken and energy in general. For example, I won't be posting / linking stories about every new business coming to Williston. Those stories will be aggregated under "Minor Bakken Notes," again at the sidebar at the right.
I agree with what Mr. Falloon is stating in that as time goes on, the gap in pricing between Bakken and WTI will narrow further. I believe that the the main focus over the next couple of years will be more on infrastucture instead of production as this will hold the key to higher prices. Once the infrastucture is adquete for the amount of production, the Bakken pricing will be within the ballpark of WTI. As I have said all along, we all must endure several years of growing pains in the Bakken but it will eventually pay off.
ReplyDeleteI agree completely; it will be interesting to see western North Dakota when infrastructure in place.
DeleteMr Filloon, is the foremost expert on investing in BOCs....He was positioned in KOG and TPLM, but has recently taken a bearish profile and no longer holds them...
ReplyDeleteYes, that appears to be the case. There are different ways to be involved. Some folks trade in these shares; others use these opportunities to accumulate. I am not nimble enough to trade. I accumulate shares for the long term. I read today that Wal-Mart is near an all-time high, just as one example of value of accumulating over time. I don't hold shares in Wal-Mart but I thought it was interesting.
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