Enerplus With Three New Permits; Energy Sector Is "Cheapest" Of All Eleven US Market Sectors; Current P/E Of 6.7 -- April 26, 2023

Locator: 44480B.   

Wow, this has been a great week. There are so many articles with regard to the oil companies in which I am interested, it is impossible to keep up.

From an investing point of view, the one thing that keeps me so interested is the "activity." Nothing remains the same. Nothing is static. Oil people love to make deals -- sort of like Trump and real estate -- if they're not making deals they get bored (and probably do crazy things). 

I was just talking to someone about this and a certain Bakken company came up in conversation. It has a huge play in the Bakken but the tea leaves suggest that if "the price is right" they will gladly sell. It's a privately held company, and the tea leaves suggest they bought the Bakken assets simply to get them in good shape to sell them, or as they say in real estate, "flip them."

The activity along the Texas / Louisiana coast -- all the export facilities -- LNG and crude oil -- is simply incredible. And both states have a "can-do" attitude and are eager to get projects done. 

From an investing point of view, right now, it appears that the yin and yang -- the push and pull -- is whether 2023 or 2024 or 2025 gets us back on track to where we were before 2020, the plague year. So, the bears see every economic data point from a "glass is half empty" point of view while every bull (that would include me) sees every economic data point from a "glass is half full" point of view. 

Today's weekly EIA petroleum report was as bullish as it could possibly be and get the price of oil dropped significantly due other economic issues -- principally, the "big" bank that might go under and whether that will lead to more bank failures. 

If one has a long enough horizon, much of this doesn't matter. 

But wow, when Hess raises its dividend 17% and I don't even catch that -- it's simply amazing how well some bets in the oil patch can pay off.  I guess one to ask would be Warren Buffett with regard to OXY.

Sunoco (SUN): raises dividend--> $0.8420 / share, was $0.8255; record date, 5/8/23; paydate, 5/22/23.

Goldman Sachs: buy oil and gas. By Alex Kimani. Betting on China. 

Bullish summer! BofA. 

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Back to the Bakken

Active rigs: 42.

WTI: $74.42.

Natural gas: $2.117.

Three new permits, #39853 - #39855, inclusive:

• Operator: Enerplus
• Field: Eagle Nest (McKenzie)
• Comments:
• Enerplus has permits to drill three wells, the Jade, the Yak, and the Wildebeest, lot 4 section 36-149-95; 
• to be sited 157 FSL and between 1515 FWL and 1585 FWL.