Industry News page 4

Comfortable With High Oil Prices ... by Sam Fletcher - Jun 14th, 11
A savvy investor in today’s market finds little solace in researching where to place hard earned investment capital, and even less direction relative to balancing a portfolio. Traditional considerations and applications run rampant across the board while very few targets provide multiple advantages worthy of catching one’s attention. This article suggests a long awaited line of resistance definition for those seeking prudent insight as to the “new benchmark” OPEC is using for its budget, or in short --- “the bottom line OPEC is willing to accept for crude oil”. This is good news for all concerns as it stabilizes the market. Only the much higher range of pricing, say above $115.00/BO, will awaken the high volatility. This opinion when added to the tax advantages for direct oil and gas drilling investments somewhat “close the loop”, at least for now, and solidly bolsters oil and gas investment opportunities as the number one investment and tax shelter in these troubled times. Crude oil as the global currency is here to stay.

Larry Milnes, Eno Petroleum Corporation

KPMG: Most oil execs expect 2011 oil prices to exceed $121/bbl - Jun 1st, 11
A majority of oil executives are predicting that oil prices will exceed $121/bbl for the rest of this year. They cite regulation, geopolitical concerns, and supply disruptions as well as escalating energy demand as the drivers of this price issue. These executives also see an increase in capital spending and hiring as positive indicators for the energy industry and economy as a whole.

Oil Speculators: Manipulative Evil Masterminds or Just Savvy Investors? - May 11th, 11
Here is an interesting take on the influence of "speculators" on the price of crude oil. As with everything involved in the price of crude oil there are no concrete answers. Supply, demand, speculation, politics; they all play a part in our current situation.

More U.S. Oil Drilling Won't Lower Gas Prices, Experts Say - May 6th, 11
This is an interesting article that highlights the different pressures affecting gas prices at the pump. While everybody agrees that increased drilling will help the U.S. economy by adding jobs it will do little to ease gas prices at the pump. The price of oil does not depend on U.S. production, rather it is based on global production.

OPEC members, industry analysts differ over oil supplies. - Apr 27th, 11
There are conflicting opinions regarding crude oil supplies. The overriding question is who to believe, the oil producers (OPEC) or the analysts.