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  • Linn Energy CEO Ellis eligible for $6.9M award as company teeters  [View news story]
    It does some good for the lawyers who will happily take their money to file a frivolous law suit. Anger over losses shouldn't be let loose to kill yourself.
    Feb 5, 2016. 09:22 PM | 3 Likes Like |Link to Comment
  • Seadrill Has Some Good News For Investors, But It Could Be A Value Trap  [View article]
    I am sure the "analyst" hasn't thought thru his belief that SDRL "may be forced to sell equity..."
    That is totally unrealistic because with $10.2 Billion in net debt and a market cap of only $1 Billion, it would have to sell 1/2 a Billion shares to raise $1 Billion in cash, IF there was a way to keep the shares at $2. It would invite the "shorts" to come in attack and drive the shares to $1. Diluting the shareholder's another 50% to raise just $1Billion would be dumb, and send a signal that the end is near. The debt pressure is 2017 and there is plenty of time to pray that Oil will recover, as the producers go offline and intoBK.
    Hopefully, the World will not go into a serious Recession by then.
    Feb 3, 2016. 11:44 AM | 8 Likes Like |Link to Comment
  • Energy Transfer Partners L.P. declares $1.055 dividend  [View news story]
    I have heard that negative claim many times, and don't believe it is correct, or that there is a mechanism where all those things are accounted for and segregated for IRA's and regular accounts. I talked to the accounting folks at a pipeline company, many years ago, and was told not to worry about it. When you sell, your broker doesn't send a report of the sale in an IRA to the IRS. They just give contributions, distributions and year end value.
    Besides, the IRS is only devoted to helping cover-up the horror's of Obamacare, and few humans are working the income taxes, anymore. Since they went to online tax return filing, their records are totally screwed-up.
    Jan 28, 2016. 12:01 PM | 1 Like Like |Link to Comment
  • Energy Transfer Partners L.P. declares $1.055 dividend  [View news story]
    Jan 28, 2016. 11:49 AM | 1 Like Like |Link to Comment
  • Is LinnCo In Trouble?  [View article]
    Any investor who is not entirely brain-dead knows that SA, like Yahoo, is often used by "shorts", and some of the articles are written by authors who I believe are paid to disparage and scare investors out of certain stocks. Still, SA provides a "service", and most of us heard facts from shorts that we wouldn't hear from Management or other sources.
    Taking everything into consideration, I learn more from the Comments than from the articles, as a rule. The forum is also a good discussion opportunity. for me, at least.
    I also really appreciate finding out what they think is the worst case scenario, in case I haven't thought of it, already.
    Jan 26, 2016. 02:48 PM | 5 Likes Like |Link to Comment
  • Energy stocks see more pain after EIA data arrives  [View news story]
    nikolaij: The last EIA oil numbers included a comment that Indonesia was made an OPEC member, even thou they are a net oil importer. Do members really have a vote on the amount of oil produced by OPEC? Really? What was their point?

    Ostensibly, ISIS is Sunni, many international oil folks believe Iran is supporting their efforts against Saudi Arabia. Hard to believe?
    "...The ancient idea that “The Enemy of My Enemy Is My Friend” is widely attributed to the Arabs. But it is actually much older … It originated in the 4th century B.C. in India. Kautilya – the “Indian Machiavelli” – wrote about the idea in the Sanskrit military book, the Arthashastra..."

    My gut tells me that religion, once again, is being used to control people; in this case, to build an army to over-throw the Saudi Royal's by claiming their goal is to take the holy Saudi cities of Mecca and Medina. Whoever controls those cities will control Islam. Using religious fervor is a far stronger way to stage a revolution of the proletariat against all the Sunni Oil States, and Iran's "holy" leader wants to rule Islam, and if that includes the oil...
    Jan 8, 2016. 11:46 AM | Likes Like |Link to Comment
  • Energy stocks see more pain after EIA data arrives  [View news story]
    Not true; Saudi oil is light sweet:
    "The Saudi oil fields have these characteristics that contribute to low cost:
    wells mostly onshore, cheap to drill, cheap to transport, cheap to maintain compared to offshore wells
    Very massive reservoirs of oil that flow easily (keeps flowing at high rates, no special expensive efforts required)
    Little new exploration needs to be done as the existing proven reserves are adequate for a long time to come, so no new or continuing capital expenditures
    Fields produce High quality light, sweet crude oil that sells at a premium
    Govt owns the land and mineral rights, gov't owns the oil company, no royalties to pay..."
    Currently, Saudi is producing an additional 1.3 mil. b/d, over 2014, which happens to equal the current World over-supply. Demand is increasing at .8 mbd and is expected to reach +1.4 mbd in 2016.
    World demand is currently about 97 mbd, so the excess Saudi oil really isn't all that much. The glut is in the storage; lots of speculation filled those tanks, I'm sure, but speculators are normal in all big markets; they help absorb demand and create supply which markets demand. Year-end trading for tax reasons and to cover margin calls probably contribute to the negativity investors feel, and when there are no buyers, prices drop.
    The Saudi's can't meet their budget without raising taxes, electrical and fuel costs for citizens, and they will feel a backlash that may come in the form of citizen anger and sympathy for ISIS.
    They are being hard-headed and suicidal, IMO, and bankrupting a few shale producers will not remove the oil from the fields. Those fields will be producing and competing as Saudi production returns to normal. In the meantime, they're fighting ISIS-types on their Southern border.
    Dec 30, 2015. 04:07 PM | 5 Likes Like |Link to Comment
  • Premarket Gainers / Losers as of 9:15 am  [View news story]
    For whatever it's worth, the stock market seems sympathetic to the price of oil, now. If Oil drops, the Market drops. If it rises a bit, so does the Market. I think investors/hedge funds realize the low demand for Oil indicates American businesses will be hurt. The economy has been tightly bound to Oil for almost 100 years, and the current disruption is extremely deflationary, a condition that is also very contagious to the rest of the World.
    Dec 29, 2015. 11:51 AM | 6 Likes Like |Link to Comment
  • Baird spots opportunity in MLP panic  [View news story]
    Growing up entails many realizations. The hardest to get is that markets will always be irrational, and when there are no buyers, sellers have to take the pain. So, price reflects demand, not value, and a low price doesn't hurt you, except in your head. If that's the pain you feel, get a grip.
    Life is full of ups and downs, so never bet the rent or the farm. You have to invest for the future, and if you gambled instead of investing, you asked for it. We can only make decisions on the best information that's available, and can never know the future, so setbacks are part of life, but they are usually temporary. What seemed unbearable later seems laughable; it's all relative and only certain things really count. Money is not one of them.
    Dec 21, 2015. 12:52 PM | Likes Like |Link to Comment
  • Linn Energy price target lowered to $1.50 at FBR  [View news story]
    "...without a meaningful recovery in commodity prices..."
    Without a recovery they're all going broke, and the unemployment situation in the U.S. will be enormous.
    Dec 1, 2015. 08:19 PM | 4 Likes Like |Link to Comment
  • Time to buy oil services stocks as crude moves to $100, Guggenheim says  [View news story]
    Down cycles always reverse for commodities.
    $40 has held as solid support for a long time, so the technical path of least resistance for Oil is up. He's calling for at least 10% for 2016 and $100 down the road. I agree.
    Nov 30, 2015. 05:08 PM | 12 Likes Like |Link to Comment
  • Linn Energy debt drops after bond swap proposal draws downgrade  [View news story]
    sah1k; I agree you can't read too much into tanker day rates, but it does, at least, show that not everyone is bearish on Oil.
    There is no really significant "oil glut". The 2014 World demand was 93 Million barrels a day, and "...According to the Energy Information Administration of the Department of Energy, crude oil production in the United States took a leap from 5.6 million barrels per day in June 2011 to 8.7 million barrels in June 2014..."
    I assume that was the fracking increase, but an increase of 3.1 million barrels in a 2015 demand of 94 million barrels a day market, by itself, was not the problem. China's leaders feared a recession and cut their orders, so the Demand lessened, and China is not that transparent, so a lot of the 65% drop in the Oil price seemed like a short-term over-reaction by an emotional market, to me. I confess I was wrong about how long it would last. Still, trying to be objective, I think Chinese demand is growing; they have cars, now, and winter, and they need to keep their people working. They're developing a home gasoline industry, and they're ordering crude for their small refineries. That's a part of the increased tanker day rates.

    Big Oil producers have cut their exploration and expansion budgets, laid off thousands, and are cutting debt. The pendulum always swings too far, and the reaction will be as irrational in the rise of Oil prices, esp. if there is an announcement that ISIS-controlled oil fields have been bombed.
    Don't bet on BK. As Mark Twain said, "The reports of my death have been greatly exaggerated."
    Nov 18, 2015. 12:59 PM | 2 Likes Like |Link to Comment
  • Linn Energy debt drops after bond swap proposal draws downgrade  [View news story]
    Google: Tanker Day rates
    Tanker CEO letter:

    Says they've "achieved $35K/day rate whereas last year they were struggling with their $12K/day break-even rate.
    China, for one, is increasing demand, perhaps to store crude, selling way below its intrinsic value. Of course, tankers are a way to store oil, temporarily, and a 1$ increase in a barrel cost would justify renting a million barrel Suezmax tanker for 30 days. It would be a form of hedge to a Utility, anywhere in the World, a kind of insurance policy for winter.
    Nov 18, 2015. 10:26 AM | 3 Likes Like |Link to Comment
  • Linn Energy debt drops after bond swap proposal draws downgrade  [View news story]
    I read that Venezuela was considering selling its Gold reserve, last month, in order to survive. From what we've seen in the dropping price of gold over this month, I suspect they have been selling their hoard into the market on a daily basis.
    Nov 18, 2015. 09:48 AM | 7 Likes Like |Link to Comment
  • Linn Energy debt drops after bond swap proposal draws downgrade  [View news story]
    Oil tankers are announcing they're profitable, once again. Day rates have moved up 50% this year, and the 4th quarter is expected to be better. That is a significant indicator or demand. Once stable increased demand is recognized, emotions will turn to greed, and the turn-up will be hard to stop, IMO.
    Nov 17, 2015. 07:10 PM | 3 Likes Like |Link to Comment