 January 27th, 2012  Category: Stock Trades   Yesterday, I sold 2,000 shares of Avenex Energy (TSE:AVF) from my HELOC account.
In at $5.60, out at $5.63, profit= +0.25% after commissions & excluding dividends.
Trade Commentary
My average price for AVF is high given the market we are in. Natural gas prices have corrected significantly yet AVF has not been abused so far. I have a feeling AVF’s price is simply supported by investors looking to capture February’s dividend which will only last until ex-dividend where the stock will get its share of beating. While I like AVF, the upside potential in price appreciation is very limited but the downside is open given its natural gas weighting of 50%. How much am I throwing away? For now, just the dividend of next month ($90) which is a small price to pay if it means buying back in when the price corrects substantially in the next few weeks. Avenex has been a great dividend payer which returned 10% in dividends in the last months. Obviously, this is not profit taking just hedging the downside. Call it indirect market timing if you wish since I plan the reestablish my position as soon as the opportunity presents itself and in 2012 I bet there will be more than one!
What do you think?
The oilfield services industry provides investors with exposure to the oil and gas commodity sector minus the inherent risks associated with exploration and development drilling. These companies mainly offer contract drilling, directional services, wireline technologies, equipment rentals and frac fluids management. Besides the current strength in oil prices, why would anyone want to invest
Continue reading Investing in Canadian Well Completion & Drilling Companies
January 24th, 2012 Category: Opinion The following is a guest post by moneysupermarket.com.
Have you been paying your credit card balances on time to keep your credit score at a great number? It just might not be enough. Credit scores are based on various factors, some of which don’t seem to
Continue reading Surprising Things That Can Help Your Credit Score
January 23rd, 2012 Category: Stock Trades Today, I sold 1,000 shares of DeeThree Exploration (TSE:DTX) from my HELOC account.
In at $2.29, out at $2.94, profit= +27.52% after commissions.
Trade Commentary
This is pure profit taking. I must admit that I’m most probably leaving some money on the table as the share price looks like it will break out above
Continue reading Stock Trades: Sold DeeThree Exploration
January 21st, 2012 Category: Weekend Edition That’s right, you’re not dreaming! There’s a promo going on in Saudi Arabia where you can get a free liter of gas for every chocolate bar you buy. Just think of how wasteful that is coming from one of the top oil producers in the world. Free petrol is being offered
Continue reading Weekend Edition: Free Petrol with Every Snickers Chocolate Bar
Hyperion Exploration exited 2011 with a bang; the company was able to exceed its exit guidance by spending less capital than anticipated. I believe this strong operational momentum is carried into 2012 with the upcoming operational update and the 2012 capex program due at any day before the end of this month. I never
Continue reading Hyperion Exploration Carries Strong Operational Momentum into 2012
January 18th, 2012 Category: Canadian Stocks, Heavy Oil, Oil Palliser Oil & Gas is not your typical heavy oil producer; led by veteran oilman Kevin Gibson, the company is focused on rejuvenating old fields with large oil reserves in place and low recovery factors using a proprietary methodology. Palliser’s HVL (High Volume Lift) methodology sets the company apart from its peers as it
Continue reading Palliser Oil & Gas: Rejuvenating Old Oil Fields Using a Game Changing Methodology
January 15th, 2012 Category: Weekend Edition The winter drilling season started with a bang this year as the number of rigs in the ground last week reached 83% utilization rate, a 5 year high as producers kicked off their drilling programs.
Obviously, thanks to high oil prices, it’s open season in the hunt for liquids (oil & liquids rich natural
Continue reading Weekend Edition: Oil and Gas Drilling Reaches 5 Year High
NAL Energy NAE.TO 7.50 [+0.08] slashed its dividend by 29% reducing it from an annual $0.84 to $0.60 per share and went into production maintenance mode by reducing its capex to $200M for 2012. Not surprisingly, NAL executed the scenario that I discussed back in December when I demonstrated the unsustainability of
Continue reading NAL Energy to Underperform in 2012?
January 10th, 2012 Category: Stock Trades Yesterday, I bought 1,000 shares of DeeThree Exploration (TSE:DTX) at $2.29 in my HELOC account.
Trade Commentary
The why should be obvious based on my post yesterday. I have to admit I was expecting an operational update soon but not this soon and not with this good news. Sort of
Continue reading Stock Trades: Bought DeeThree Exploration
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My Oil Investment Thesis
My DIY stock portfolio is overweight in Canadian oil producers for a reason. I believe Oil consumption is on the path of growth for the next decade and I intend to take every advantage possible of it:
North American Oil Plays
Alberta's Cardium formation is one of Canada's hottest resource plays with light oil reserves exceeding 10 billion barrels!
The Alberta Bakken is an emerging light oil play that covers a large area across Southern Alberta and Northern Montana that potentially holds as much oil as the North Dakota Bakken Shale (500 billion barrels).
Alberta's Slave Point formation oil play in the Greater Red Earth area has an estimated 1 billion barrels of Original Oil in Place.
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Yesterday, I sold 2,000 shares of Avenex Energy (TSE:AVF) from my HELOC account.
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