Energy Stocks Aren't Running on Empty Yet

Strong oil demand and high prices offer investment opportunity for investors willing profit from the last days of the carbon economy.

Published: 03-Apr-2005

The party might not be over for investors hoping to profit from rising energy prices, though oil and coal stocks as well as raw-commodity prices have posted big gains.

"It certainly isn't early," said Ken Crawford, who follows the energy industry for Argent Capital Management in Clayton, "but I don't know that it's late."

Investors who might put money into oil or energy plays must weigh the long-term prospects for prices, he said. "Is $55-a-barrel oil normal, or is $35-a-barrel oil normal?"


Visits to China, India, Malaysia and Pakistan are significant because the trip spells out the Saudi Kingdom's Look East policy, representing a new reorientation in its foreign policy that was heavily tilted toward the West.

The worst two scenarios suggest a drastic decline in output to 875,000 barrels a day by the end of 2007 and to just 520,000 a day by the end of 2008.

Bush said he envisioned a future in which a plug-in hybrid car could drive 40 miles on a lithium-ion battery, then stop at a filling station for ethanol, a fuel usually made from corn, similar to HyMotion Prius pictured below.


blog comments powered by Disqus