I spent two years working along Sam Bottell as he worked with minesite.com and oilbarrel.com and he is a good, honest and clever chap. Now that he is starting his career freelance writing as well as an organiser of the UKInvestor Show I have no hesitation in helping him along via this blog as a guest contributor. As such I bring to your attention a share tip from him from TradingResearch Point…
If one tracks the Bulletin Boards the excitement in the oil sector always seems to surround the smaller oil companies. As my former colleague from my days working with Oilbarrel and t1ps, Robert Sutherland Smith, recently noted here one always needs exposure to oil. However buying a pure E&P punt is a play on exploration success and only indirectly on the crude price – it is not a true hedge – and that brings me to Premier Oil (PMO) which is a FTSE 250 stock valued at £1.94 billion. Its production and proven reserve base more than underpin that valuation leaving the exploration upside in for virtually nothing, something I expect to be demonstrated in an operations update out on Thursday 17th January.
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