Tuesday, June 9, 2015

Top Energy Companies To Own In Right Now

Legal troubles can create some pretty nasty problems for energy stocks. *Cough* BP (BP).

But they also can make for some interesting opportunities as well. One of those potential opportunities could be in independent producer Anadarko (APC). It�� toxic past — created by an ill-timed acquisition — has finally come to haunt the producer. After a year of working its way through the judicial system, APC has been handed its first ruling … potentially of many.

And it wasn’t too bullish a ruling for APC stock; shares plunged on the news that Anadarko may have to pay out some pretty big bucks in settlements.

For investors and potential acquirers looking for massive crude reserves, APC stock could be a value in the making.

APC Stock Took a Big Tumble …

Anadarko�� current problems stem from its 2006 purchase of oil producer Kerr-McGee. While that seemed like a good purchase at the time for the company and APC stock, the U.S. EPA estimates that Kerr-McGee was one of the worst polluters since its founding in 1929. The company was responsible for various environmental “atrocities” that span everything from uranium mines to creosote wood treatment plants in Mississippi and Pennsylvania.

5 Best Restaurant Stocks To Buy For 2016: Exxon Mobil Corporation(XOM)

Exxon Mobil Corporation engages in the exploration and production of crude oil and natural gas, and manufacture of petroleum products, as well as transportation and sale of crude oil, natural gas, and petroleum products. The company manufactures and markets commodity petrochemicals, including olefins, aromatics, polyethylene and polypropylene plastics, and other specialty products. As of December 31, 2010, it operated 35,691 gross and 30,494 net operated wells. The company has operations in the United States, Canada/South America, Europe, Africa, Asia, and Australia/Oceania. Exxon Mobil Corporation was founded in 1870 and is based in Irving, Texas.

Advisors' Opinion:
  • [By Alex Planes]

    The rebound may have already happened. In fact, Pengrowth's shares are up 23% since my fellow Fool singled out the company as a potential low-priced value play back in January. Sean liked Pengrowth's laser focus on the Lindbergh bitumen project, and its efforts to divest non-core assets, which could turn around flagging metrics and make Pengrowth a smaller, but more profitable, Canadian oil play. Pengrowth made earlier efforts to play with oil's big boys in the Alberta shale -- Devon Energy (NYSE: DVN  ) and ExxonMobil (NYSE: XOM  ) already have major holdings in the region, and Pengrowth picked up a smaller driller a year ago to compete.

  • [By idahansen]

    GrowMaxi Agri Corp. is exploring and developing potash resources in Peru. Americas Petrogas is involved in shale resources in Argentina, with a very positive independent study recently released as detailed in a previous article on www.smallcapnetwork.com. In Argentina, Americas Petrogas is engaged in a joint venture with Exxon Mobil (NYSE: XOM), the world's largest oil and natural gas conglomerate.

  • [By Jonathan Yates]

    In terms of investing for the future, in June 2008, Petrobras Brasileiro was trading at over $70 a share. Obviously, the Great Recession had an impact. But other oil giants such as Exxon Mobil (NYSE: XOM), Chevron (NYSE: CVX) and ConocoPhillips (NYSE: COP) have rebounded.

  • [By Trefis]

    The oil majors BP Plc. (BP) and Exxon Mobil (XOM) seem to be playing the growing dispute in Iraq between the Kurdistan regional government [KRG] and the central government quite differently. Exxon angered the central government by signing a more lucrative exploration agreement with the KRG and is in the process of wrapping up its operations in Southern Iraq. On the other hand, BP is sticking with the central government honoring its earlier agreement to develop Rumaila, Iraq’s largest oil field. In fact, recently it even agreed to develop the Kirkuk oil field, which lies in the swathe of land over which the Iraqi central government and the KRG are locked in a dispute. While Exxon is betting on higher control of the KRG over its oil reserves and exports, BP is sticking to its rather stable stream of cash from the central government, in the hope of better terms on future deals. However, both of them face huge operating risks in a country that holds ~10% of the global oil reserves [Statistical Review of World Energy 2013, bp.com].

Top Energy Companies To Own In Right Now: SolarCity Corp (SCTY)

SolarCity Corporation (SolarCity), incorporated on June 21, 2006, is engaged in the design, installation and sale or lease of solar energy systems to residential and commercial customers, or sale of electricity generated by solar energy systems to customers. The Company sells renewable energy to its customers. As of December 12, 2012, the Company served customers in 14 states. The Company�� residential customers are individual homeowners and homeowners. The Company�� commercial customers represent several business sectors, including technology, retail, manufacturing, agriculture, nonprofit and houses of worship. The Company has installed solar energy systems for several government entities, including the the United States Air Force, Army, Marines and Navy, and the Department of Homeland Security. The Company purchases major components, such as solar panels and inverters directly from multiple manufacturers. As of September 30, 2012, its primary solar panel suppliers were Trina Solar Limited, Yingli Green Energy Holding Company Limited and Kyocera Solar, Inc., among others, and its primary inverter suppliers were Power-One, Inc., SMA Solar Technology, AG, Schneider Electric SA, Fronius International GmbH and SolarEdge Technologies, among others.

Solar Energy Products

The Company�� solar energy products include Solar Energy Systems, and SolarLease and power purchase agreement finance products. The major components of its solar energy systems include solar panels that convert sunlight into electrical current. Most of its solar energy customers choose to purchase energy from the Company pursuant to one of two payment structures: a SolarLease or a power purchase agreement. In both structures, the Company charges customers a monthly fee for the power produced by its solar energy systems. In the lease structure, this monthly payment is pre-determined and includes a production guarantee. In the power purchase agreement structure, the Company charges customers a fee per kilowatt! hour based on the amount of electricity actually produced by the solar energy system.

Energy Efficiency Products and Services

The Company�� energy efficiency products and services include home energy evaluation and energy efficiency upgrades. The Company sells home energy efficiency evaluations to new solar energy system customers and existing customers. The Company�� energy efficiency upgrade products and services address heating and cooling, air sealing, duct sealing, water heating, insulation, furnaces, weatherization, pool pumps and lighting. As of December 12, 2012, the Company had completed over 13,000 home energy evaluations and performed more than 2,000 energy efficiency upgrades.

Other Energy Products and Services

The Company�� other energy products and services include electric vehicle charging and energy storage. The Company installs electric vehicle (EV) charging equipment that it sources from third parties. SolarCity markets EV equipment to residential and commercial customers through retail partnerships with companies, such as The Home Depot, and through EV manufacturers and dealerships, such as its partnership with Tesla Motors, Inc. The Company is developing a battery management system built on its solar energy monitoring communications backbone. As of December 12, 2012, the Company had over 100 energy storage pilot projects under contract. As of December 12, 2012, the Company had sold over 750 charging stations.

Enabling Technologies

The Company�� enabling technologies include SolarBid Sales Management Platform, SolarWorks Customer Management Software, Energy Designer, Home Performance Pro and SolarGuard and PowerGuide Proactive Monitoring Solutions. SolarBid is a sales management platform, which incorporates a database of rate information by utility, sun exposure, roof orientation and a range of other factors to enable a detailed analysis and customized graphical presentation of each customer� �s savin! gs.

SolarWorks is the software platform the Company uses to track and manage project. Energy Designer is a software application its field engineering auditors use to collect pertinent site-specific design details on a tablet computer. Home Performance Pro is its energy efficiency evaluation platform that incorporates the United States Department of Energy�� Energy Plus simulation engine. Home Performance Pro collects and stores details of a building�� construction and energy use. SolarGuard and PowerGuide provide its customers a view of their home�� or business�� energy generation and consumption.

The Company competes with American Solar Electric, Inc., Astrum Solar, Inc., Petersen Dean, Inc., Real Goods Solar, Inc., REC Solar, Inc., Sungevity, Inc., Trinity Solar, Inc., Verengo, Inc., SunRun Inc. and Ameresco, Inc.

Advisors' Opinion:
  • [By WWW.DAILYFINANCE.COM]

    Lester Lefkowitz Whether you realize it or not, solar energy is becoming a more and more important part of our energy future. In 2013, 29 percent of new electricity-generating capacity in the U.S. was solar energy, and so far in 2014, 36 percent of new capacity is solar. Falling costs and improving technology will drive wider adoption, and 2015 could be a tipping point, bringing the solar industry to new parts of the country. The Year Solar Caught On in the U.S. 2014 has been the start of consumers and utilities alike understanding the positive impact solar can make. GTM Research expects about 6.5 GW of solar energy to be installed in the U.S. in 2014, enough to power nearly 1.1 million homes. But over half of those installations fall in a relatively small area in California and Arizona, so this isn't a nationwide trend -- yet. You can see below that 10 states (not including Hawaii, where solar has long been cost-competitive) are now seeing residential solar systems cost-competitive with the grid, and by 2017 the estimated number jumps to 28 states. In 2015, a growing infrastructure from solar installers will bring solar to new states, expanding the industry's reach. Union of Concerned Scientists Expansion Plans Kicking into High Gear The solar industry knows that more states are seeing competitive prices and is expanding quickly to fill the need, especially in the residential market. SolarCity (SCTY) and Vivint Solar (VSLR) install more than half of the residential solar systems installed in the U.S. today, and they both have big expansion plans in 2015. SolarCity expects to grow from 168,000 customers in September 2014 to over 1 million customers by mid-2018. As the company showed in a recent presentation, its addressable market grows exponentially as it cuts costs. SolarCity's costs today, including sales and general costs, are $2.90 per watt, down 26 percent from just two years ago. If costs continue to fall at anywhere near that rate, the company

Top Energy Companies To Own In Right Now: Lonestar Resources Ltd (LNR)

Lonestar Resources Limited is an Australia-based independent oil and gas company involved in exploration, production, and acquisition of oil and gas reserves in the United States. The Company�� operations are focused onshore with primary activity in the Fort Worth Basin (Barnett Shale), Eagle Ford Shale, and the Williston Basin in Montana. The Company is active in sourcing other assets in producing areas. The Company�� Eagle Ford Shale portfolio comprises three separate assets: Beall Ranch, Asherton and Gonzo. The Company�� operations in the Williston Basin are focused on the Roosevelt County, Montana. The Company owns and operates a single lease in the Barnett Shale, a gas producing basin in North Texas. On January 2, 2013, the Company acquired Ecofin Energy Resources plc. In August 2013, the Company announced that it has sold its producing assets outside the state of Texas for its Louisiana assets and for its Oklahoma assets. Advisors' Opinion:
  • [By Eric Lam]

    Linamar Corp. (LNR) soared 14 percent to a record C$40.72 for the biggest gain in the S&P/TSX. The Guelph, Ontario-based auto parts maker reported third-quarter adjusted profit of 80 Canadian cents a share, topping analysts��projections for 66 cents.

Top Energy Companies To Own In Right Now: Apache Corporation(APA)

Apache Corporation, together with its subsidiaries, engages in the exploration, development, and production of natural gas, crude oil, and natural gas liquids. The company has exploration and production interests in the Gulf of Mexico, the Gulf Coast, east Texas, the Permian basin, the Anadarko basin, and the Western Sedimentary basin of Canada; and onshore Egypt, offshore Western Australia, offshore the United Kingdom in the North Sea, and onshore Argentina, as well as on the Chilean side of the island of Tierra del Fuego. Apache Corporation sells its natural gas to local distribution companies, utilities, end-users, integrated oil and gas companies, and marketers; and crude oil to integrated oil companies, marketing and transportation companies, and refiners. As of December 31, 2009, it had total estimated proved reserves of 1,067 million barrels of crude oil, condensate, and natural gas liquids, as well as 7.8 trillion cubic feet of natural gas. The company was founded in 1954 and is based in Houston, Texas.

Advisors' Opinion:
  • [By Laura Brodbeck]

    Thursday

    Earnings Expected From: The Priceline Group Inc. (NASDAQ: PCLN), Valeant Pharmaceuticals (NYSE: VRX), CBS Corporation (NYSE: CBS), Apache Corporation (NYSE: APA) Economic Releases Expected: �Chinese CPI, Chinese PPI, European Central Bank Interest Rate Decision, Bank of England interest rate decision, Spanish industrial production, German industrial production

    Friday

Top Energy Companies To Own In Right Now: ConocoPhillips(COP)

ConocoPhillips operates as an integrated energy company worldwide. The company?s Exploration and Production (E&P) segment explores for, produces, transports, and markets crude oil, bitumen, natural gas, liquefied natural gas, and natural gas liquids. Its Midstream segment gathers, processes, and markets natural gas; and fractionates and markets natural gas liquids in the United States and Trinidad. The company?s Refining and Marketing (R&M) segment purchases, refines, markets, and transports crude oil and petroleum products, such as gasolines, distillates, and aviation fuels. Its Chemicals segment manufactures and markets petrochemicals and plastics. This segment offers olefins and polyolefins, including ethylene, propylene, and other olefin products; aromatics products, such as benzene, styrene, paraxylene, and cyclohexane, as well as polystyrene and styrene-butadiene copolymers; and various specialty chemical products comprising organosulfur chemicals, solvents, catalyst s, drilling chemicals, mining chemicals, and engineering plastics and compounds. The company?s Emerging Businesses segment develops new technologies and businesses. It focuses on power generation; and technologies related to conventional and nonconventional hydrocarbon recovery, refining, alternative energy, biofuels, and the environment. This segment also offers E-Gas, a gasification technology producing high-value synthetic gas. ConocoPhillips was founded in 1917 and is based in Houston, Texas.

Advisors' Opinion:
  • [By Dividends4Life]

    Over the few years, I have reduced my bond allocation and purchased quality blue-chip dividend stocks that are yielding in excess of my bond holdings. Consider these dividend growth stocks that have a current yield equal to or greater than the May 30, 2014, 3.12% yield on 20-year U.S. Treasuries.McDonald's Corp�(MCD) is the largest fast-food restaurant company in the world, with nearly 35,000 restaurants in 119 countries. Yield: 3.2%The Clorox Company (CLX) is a diversified producer of household cleaning, grocery and specialty food products is also a leading producer of natural personal care products. Yield: 3.3%Lockheed Martin Corp. (LMT) , the world's largest military weapons manufacturer, is also a significant supplier to NASA and other non-defense government agencies. LMT receives about 93% of its revenues from global defense sales. 3.3%ConocoPhillips Co. (COP) is one of the largest independent oil and gas exploration and production (E&P) companies in the world, COP spun off its downstream assets in May 2012. Yield: 3.5%Verizon Communications Inc. (VZ) is the largest U.S. wireless carrier, Verizon also offers wireline and broadband services primarily in the northeastern U.S. Yield: 4.2%AT&T Inc. (T) provides telephone and broadband service and holds full ownership of AT&T Mobility (formerly Cingular Wireless). Yield: 5.2% I am not predicting an imminent collapse of bond prices. As an investor (not a trader), I am not in the prediction business. However, I believe we have reached a point where there is much more to lose than gain by holding bonds. Interest rates will eventually rise and those holding bonds, especially long-term bonds, will suffer painful consequences.Full Disclosure: Long MCD, LMT, COP, T in my Dividend Growth Portfolio and long T in my High-Yield portfolio. See a list of all my dividend growth holdings here.Related Articles - 6 Stocks With a Sustainable Dividend - 5 Dividend Stocks Building A Growing Cash Stream - 9 Dividend Stoc

  • [By Whitney Kisling]

    Five years into a rally that has restored $14 trillion to share prices, U.S. payrolls remain 1.5 million below the level in 2008, according to data compiled by Bloomberg. Resistance to hiring from ConocoPhillips (COP) to Walt Disney Co. (DIS) will help push Standard & Poor�� 500 Index profit margins above 10 percent next year, the highest ever, data show. Below-average employment was cited last month by Federal Reserve chairman nominee Janet Yellen as the biggest obstacle to raising interest rates.

Top Energy Companies To Own In Right Now: Sandridge Mississippian Trust II (SDR)

SandRidge Mississippian Trust II is a statutory trust formed to own overriding royalty interests to be conveyed to the trust by SandRidge Energy, Inc. (SandRidge) in 67 producing horizontal wells, including 13 wells, which are awaiting completion (the Producing Wells), in the Mississippian formation in northern Oklahoma and southern Kansas, and overriding royalty interests in 206 horizontal development wells (The Development Wells) to be drilled in the Mississippian formation (the Development Wells) on properties within an Area of Mutual Interest (the AMI). SandRidge is an independent oil and natural gas company engaged in the development and production activities related to the exploitation of its holdings in West Texas and the Mid-Continent area of Oklahoma and Kansas. The AMI, which is limited to the Mississippian formation, consists of approximately 81,200 gross acres (53,000 net acres) held by SandRidge. The Bank of New York Mellon Trust Company, N.A. is trustee (the Trustee), and The Corporation Trust Company is a Delaware Trustee (the Delaware Trustee).

The Mississippian formation is encountered at depths between approximately 4,000 feet and 7,000 feet and lies between the Pennsylvanian-aged Morrow formation and the Devonian-aged Woodford Shale formation. Effective as of January 1, 2012, the royalty interests was conveyed from SandRidge's interest in the Producing Wells and the Development Wells. The royalty interest in the Producing Wells (the PDP Royalty Interest) entitles the trust to receive 80% of the proceeds from the sale of production of oil and natural gas attributable to SandRidge's net revenue interest in the Producing Wells. The royalty interest in the Development Wells (the Development Royalty Interest) entitles the trust to receive 70% of the proceeds from the sale of oil and natural gas production attributable to SandRidge's net revenue interest in the Development Wells.

As of December 31, 2011, the total proved reserves estimated to be attributable to t! he trust were 26.1 million barrels of oil equivalent. This amount includes 10.2 million barrels of oil equivalent attributable to the PDP Royalty Interest and 15.9 million barrels of oil equivalent attributable to the Development Royalty Interest. The proved reserves consist of 46.8% oil and 53.2% natural gas. In addition, as of December 31, 2011, there were 9.8 million barrels of oil equivalent of probable reserves estimated to be attributable to the trust, all of which were attributable to the Development Royalty Interest. The probable reserves consist of 46.9% oil and 53.1% natural gas.

SandRidge will retain 20% of the proceeds from the sale of oil and natural gas attributable to its net revenue interest in the Producing Wells, as well as 30% of the proceeds from the sale of future production attributable to its net revenue interest in the Development Wells. SandRidge initially will own 48.2% of the trust units. SandRidge operates 79% of the Producing Wells. The completed Producing Wells and 121 other Mississippian wells outside of the AMI that have been completed by SandRidge have an average perforated length of approximately 4,200 feet. SandRidge Exploration and Production, LLC (SandRidge E&P), a wholly owned subsidiary of SandRidge, will grant to the trust a lien on its interests in the AMI.

The Underlying Properties are located in Noble, Kay, Alfalfa, Grant and Woods counties in northern Oklahoma and Harper, Comanche, Sumner and Barber counties in southern Kansas in the Mississippian formation, which is an expansive carbonate hydrocarbon system located on the Anadarko Shelf. The Mississippian formation can reach 1,000 feet in gross thickness and the targeted porosity zone is between 50 and 100 feet in thickness. As of December 31, 2011, there were approximately 43 horizontal rigs drilling in the formation, with 19 of those rigs drilling for SandRidge. As of December 31, 2011, SandRidge had approximately 1.5 million net acres leased in the Mississippian formation in north! ern Oklah! oma and Kansas.

Advisors' Opinion:
  • [By Adam Galas]

    As pointed out by my colleague Matt DiLallo in this article comparing SandRidge Energy (NYSE: SD  ) and SandRidge Mississippian Trust II (NYSE: SDR  ) , SandRidge Energy's trusts were established as mere financing vehicles for the parent company to invest in its own drilling program. For example, SandRidge Energy has plans to invest $1.55 billion annually in its Mississippi lime assets through 2016 in order to grow production by 20%-25% annually (in spite of expected decline rates of 35% in 2014, 20% in 2015, and 15% in 2016).

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