Sarfaraz A. Khan

Energy, commodities, macro, long only
Sarfaraz A. Khan
Energy, commodities, macro, long only
Contributor since: 2012
Company: Half bridge business review
This article took the previous one to its conclusion.
I am sorry that you didn't find it useful and apologies for wasting your time. But thanks for the feedback.
Have a nice weekend
Fixed. Thanks for bringing this up.
Great point. KMI's management team in general and Rich Kinder in particular are an integral part of its investment thesis.
Excellent comments on French taxes everyone. Thank you Walter Scott for bringing this up and everyone for the great comments.
Happy holidays !
Great review !
Thank you
Thanks for the comment.
Yes, that's the average price for the full year.
B-Lo Sabres Fan, thanks for the comment.
Here's my recent article on KMI
sts66 - thank you for bringing this up.
GLNG dropped by +10% after this article was submitted for publication, hence the difference.
Great comment on GMLP
Great comment blacksaleem.
The development of new takeaway infrastructure is going to help the regional pricing, but you are right - LNG exports couple with the increase in gas exports to Mexico are the big factors.
Thanks for the comment Samuidavid. I do not believe there is any near term threat of bankruptcy.
spparowlake, thanks for bringing this up.

That FCF number includes just the growth CapEx.
(FCF = cash flow - growth capex)
I, on the other hand, have relied on the traditional method by using all the cash outflows as total CapEx and dividends, which explains the difference.
(FCF= cash flow - total capex - dividends)
Excellent thought provoking comments 7519671 and nomadb.
7519671, your comment reminds me of this article -
Thanks for the comment.
Currently, EOG, APA, PDCE are my top picks in E&P space. Here are my recent articles -
Great comment Dr. Goodwin.
Thanks for the comment monmad.
Tamar's ramp up will be less capex intensive and cash flows can start flowing within a couple of years. Leviathan needs a bigger budget and 3-4 years.
thank you for the kind words.
bEagle101, thank you.
I've covered your question in a recent article. Also read the insightful comments, particularly the review from Rick D.
Thank you hlyork for bringing this up.
Thank you for bringing this up. That should be 7% per ADS.
Should get fixed in a few minutes.
Interesting point Mr. Merola,
thank you for the thought-provoking comment.
kruk, thank you for the valuable comment.
Just wanted to clarify that the proceeds from the asset sale you are referring to ($46.1Mn for non-core OK properties) are included in the liquidity number mentioned in the article.
Great comment Rick D.
Thank you
Ordos, thank you for the comment.

"Further weakness in oil prices would force the majors to rethink their payout strategies. The risk of a dividend cut, or even a suspension, which would be a last resort move, would substantially increase."
Thank you for bringing this up.
Great title. Very well written article. Thanks.
Thank you for the comments.
VLO has been one of the top performing refining stocks in the oil's downturn and has easily outperformed PSX this year (some of the PSX's recent rally can be attributed to Warren Buffett). But that's largely because PSX is not a pure play refiner. Unlike VLO or TSO, PSX is using the cash flows from refining business to build its midstream and logistics businesses. VLO can be a great pick if you'd like to profit from oil's prolonged weakness, but PSX is building a unique mix of assets that should minimize its exposure various business cycles.
I've written more about PSX in these articles --
Hope this helps
"in the new world of lower costs that moat, that marketplace 'insurance policy', (sort of speak), is gone at the moment." -- very well said
Thanks so much for a thought provoking comment.
Thank you for the kind words
PSX's competitive advantage, unlike other pure play refiners, lies in its ability to withstand any business cycle.
SDRL - 2Q 2014 results: "Seadrill Limited order backlog as of August 27 is US$18.2 billion and US$23.3 billion for the Seadrill Group on a consolidated basis."
"I know very little about the Chinese economy or its markets" --- are you sure?
That's just the one metric. Investing is much more than just P/E or P/DCF ratios, isn't it?. I'll discuss this in the next article. Hopefully that'll answer your question.
Have a great Friday.