Shale Oil Companies: Current Hot Commodity
Shale plays have been huge this year and are just gaining in popularity. With the stock market taking a down turn, it has been a great opportunity to buy in to some stock holdings you may have not originally been interested in. Looking long term, now is the perfect time to buy in to shale oil stocks. David Fessler explains why this is the case, and shares some of his favorite shale oil picks.
"Natural Gas Drillers Shifting to Liquid-Rich Shale
It’s especially true here in the United States, where most of the large natural gas drillershave shifted over to the liquid-rich areas of shale plays.
As evidence of that, take a look at the following graph from the Energy Information Administration (EIA).
It clearly shows the dramatic rise in crude oil and condensate production, particularly from the Barnett and Bakken shale formations.
The most interesting part of this graph is that the 2009 number of about 55 million barrels is going to seem very small in just a couple of years.
All of the plays listed in the graph – plus a few more not shown – have acreage that’s rich in liquids. Some more than others. That’s where the drillers have moved their rigs to, and they’re actively drilling there.
Why? With natural gas prices around $4.00, there’s a lot more money in the liquid part of the plays for the drilling companies, and that’s what they’re targeting."
Find addtional researc here: http://turnkeyoil.com/2011/08/15/shale-oil-companies-current-hot-commodity/