Friday, March 20, 2015

Top 5 Gas Stocks To Watch For 2014

In this video, Fool.com contributor Aimee Duffy gives three reasons to buy Enterprise Products Partners (NYSE: EPD  ) :

Enterprise Products Partners unlocks tremendous value by operating assets throughout the entire midstream process, controlling the entire flow from wellhead to customer. Enterprise Products Partners is primed to increase its distribution with no general partner collecting an IDR fee. With $7.5 billion in growth projects under construction, Enterprise is in a great position to increase its market share in a number of developing U.S. oil and gas plays.

Enterprise is one of the best-run partnerships in the midstream industry, and any investor looking for yield should have it on their radar. For more details, check out the video.

The growing production of natural gas from hydraulic fracturing and horizontal drilling is flooding the North American market and resulting in record-low prices for natural gas. Enterprise Products Partners, with its superior integrated asset base, can profit from the massive bottlenecks in takeaway capacity by taking on large-scale projects. To help investors decide whether Enterprise Products Partners is a buy or a sell today, click here now to check out The Motley Fool's brand new premium research report on the company.

Top 5 Internet Stocks To Invest In 2015: Phillips 66 (PSX)

Phillips 66 is a holding company. The Company is engaged in producing natural gas liquids (NGL) and petrochemicals. The Company operates in three segments: the Refining and Marketing (R&M) segment, the Midstream segment and the Chemicals segment. The Refining and Marketing (R&M) segment purchases, refines, markets and transports crude oil and petroleum products, mainly in the United States, Europe and Asia, and also engages in power generation activities. The Midstream segment gathers, processes, transports and markets natural gas, and fractionates and markets NGL, predominantly in the United States. The Chemicals segment manufactures and markets petrochemicals and plastics on a worldwide basis. The Company�� operations encompass 15 refineries with a gross crude oil capacity of 2.8 million barrels per day, 10,000 branded marketing outlets and 7.2 billion cubic feet per day of gross natural gas processing capacity.

R&M

The Company�� R&M segment primarily refines crude oil and other feedstocks into petroleum products (such as gasolines, distillates and aviation fuels); buys, sells and transports crude oil; and buys, transports, distributes and markets petroleum products. This segment also engages in power generation activities. R&M has operations in the United States, Europe and Asia.

The Company�� Bayway Refinery is located on the New York Harbor in Linden, New Jersey. The refinery produces a high percentage of transportation fuels, such as gasoline, diesel and jet fuel, as well as petrochemical feedstocks, residual fuel oil and home heating oil. Its Trainer Refinery is located on the Delaware River in Trainer, Pennsylvania. Refinery facilities include fluid catalytic cracking units, hydrodesulfurization units, a reformer and a hydrocracker. The Alliance Refinery is located on the Mississippi River in Belle Chasse, Louisiana. The single-train facility includes fluid catalytic cracking units, hydrodesulfurization units and a reformer and aromatics unit. Alli! ance produces a percentage of transportation fuels, such as gasoline, diesel and jet fuel. Other products include petrochemical feedstocks, home heating oil and anode petroleum coke.

The Lake Charles Refinery is located in Westlake, Louisiana. Its facilities include crude distillation, fluid catalytic cracker, hydrocracker, delayed coker and hydrodesulfurization units. The refinery produces a percentage of transportation fuels, such as gasoline, off-road diesel and jet fuel, along with home heating oil. It owns a 50% interest in Excel Paralubes, a joint venture which owns a hydrocracked lubricant base oil manufacturing plant located adjacent to the Lake Charles Refinery. The Sweeny Refinery is located in Old Ocean, Texas, approximately 65 miles southwest of Houston. Refinery facilities include fluid catalytic cracking, delayed coking, alkylation, a continuous regeneration reformer and hydrodesulfurization units. It produces a percentage of transportation fuels, such as gasoline, diesel and jet fuel. Other products include petrochemical feedstocks, home heating oil and coke.

The Company�� Merey Sweeny, L.P. (MSLP) owns a delayed coker and related facilities at the Sweeny Refinery. Fuel-grade petroleum coke is produced as a by-product and becomes the property of MSLP. The Company owns 50% operating interest in Sweeny Cogeneration, a joint venture, which owns a simple cycle, cogeneration power plant located adjacent to the Sweeny Refinery. The plant generates electricity and provides process steam to the refinery, and it also provides merchant power into the Texas market.

The Company�� Wood River Refinery is located in Roxana, Illinois, about 15 miles northeast of St. Louis, Missouri, at the convergence of the Mississippi and Missouri rivers. Operations include three distilling units, two fluid catalytic cracking units, hydrocracking, coking, reforming, hydrotreating and sulfur recovery. The refinery produces a percentage of transportation fuels, such as gasoline,! diesel a! nd jet fuel. Other products include petrochemical feedstocks, asphalt and coke. Its Borger Refinery is located in Borger, Texas, in the Texas Panhandle, approximately 50 miles north of Amarillo. The refinery facilities consist of coking, fluid catalytic cracking, hydrodesulfurization and naphtha reforming, in addition to a 45,000-barrels-per-day NGL fractionation facility. It produces a percentage of transportation fuels, such as gasoline, diesel and jet fuel, as well as coke, NGL and solvents.

The Ponca City Refinery is located in Ponca City, Oklahoma. It is a high-conversion facility, which includes fluid catalytic cracking, delayed coking and hydrodesulfurization units. It produces a range of products, including gasoline, diesel, jet fuel, liquefied petroleum gas (LPG) and anode-grade petroleum coke. The Billings Refinery is located in Billings, Montana. Its facilities include fluid catalytic cracking and hydrodesulfurization units. The Ferndale Refinery is located on Puget Sound in Ferndale, Washington, approximately 20 miles south of the United States-Canada border. Facilities include a fluid catalytic cracker, an alkylation unit, a diesel hydrotreater and an S-Zorb unit. The Los Angeles Refinery consists of two linked facilities located about five miles apart in Carson and Wilmington, California. The San Francisco Refinery consists of two facilities linked by a 200-mile pipeline. The Santa Maria facility is located in Arroyo Grande, California, about 200 miles south of San Francisco.

As of December 31, 2011, the Company marketed gasoline, diesel and aviation fuel through approximately 8,250 marketer-owned or -supplied outlets in 49 states. At December 31, 2011, its wholesale operations utilized a network of marketers operating approximately 6,875 outlets that provided refined product offtake from its refineries. In addition to automotive gasoline and diesel, it produces and markets aviation gasoline, which is used by smaller piston engine aircrafts. As December 31, 2011,! aviation! gasoline and jet fuel were sold through dealers and independent marketers at approximately 875 Phillips 66-branded locations in the United States.

The Company manufactures and sells automotive, commercial and industrial lubricants, which are marketed worldwide under the Phillips 66, Conoco, 76 and Kendall brands, as well as other private label brands. It also manufactures Group II and import Group III base oils and market both globally under the respective brand names Pure Performance and Ultra-S. It manufactures and markets graphite and anode-grade petroleum cokes in the United States and Europe for use in the global steel and aluminum industries. It also manufacture and market polypropylene to North America under the COPYLENE brand name. Its ThruPlus Delayed Coker Technology, a process for upgrading heavy oil into higher value, light hydrocarbon liquids, was sold in June 2011. In October 2011, it sold Seaway Products Pipeline Company to DCP Midstream. In December 2011, the Company sold its 16.55% interest in Colonial Pipeline Company and its 50% interest in Seaway Crude Pipeline Company. The Company manufactures and sells a variety of specialty products, including pipeline flow improvers and anode material for high-power lithium-ion batteries. Its specialty products are marketed under the LiquidPower and CPreme brand names.

The Company owns four refineries outside the United States: the Humber Refinery, Whitegate Refinery, Melaka Refinery and Wilhelmshaven Refinery. The Humber Refinery is located on the east coast of England in North Lincolnshire, United Kingdom. It is an integrated refinery, which produces a high percentage of transportation fuels, such as gasoline and diesel. Humber�� facilities encompass fluid catalytic cracking, thermal cracking and coking. The refinery has two coking units with associated calcining plants, which upgrade the heaviest part of the crude barrel and imported feedstocks into light oil products and graphite and anode petroleum cokes.

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Th! e Whitegate Refinery is located in Cork, Ireland. The refinery primarily produces transportation fuels, such as gasoline, diesel and fuel oil, which are distributed to the inland market, as well as being exported to Europe and the United States. It also operate a crude oil and products storage complex consisting of 7.5 million barrels of storage capacity and an offshore mooring buoy, located in Bantry Bay, about 80 miles southwest of the refinery in southern Cork County.

The Mineraloelraffinerie Oberrhein GmbH (MiRO) Refinery, located on the Rhine River in Karlsruhe in southwest Germany, is a joint venture in which it owns an 18.75% interest. Facilities include three crude unit trains, fluid catalytic cracking, petroleum coking and calcining, hydrodesulfurization units, reformers, isomerization and aromatics recovery units, ethyl tert-butyl ether (ETBE) and alkylation units. MiRO produces a percentage of transportation fuels, such as gasoline and diesel. Other products include petrochemical feedstocks, home heating oil, bitumen, and anode- and fuel-grade petroleum coke. The Wilhelmshaven Refinery is located in the northern state of Lower Saxony in Germany, and has a 260,000 barrels-per-day crude oil processing capacity.

As of December 31, 2011, the Company had approximately 1,430 marketing outlets in its European operations, of which approximately 900 were Company-owned and 330 were dealer-owned. It also held brand-licensing agreements with approximately 200 sites. Through its joint venture operations in Switzerland, it also has interests in 250 additional sites.

Midstream

The Midstream segment purchases raw natural gas from producers, including ConocoPhillips, and gathers natural gas through pipeline gathering systems. Its Midstream segment is primarily conducted through its 50% investment in DCP Midstream. DCP Midstream also owns or operates 12 NGL fractionation plants, along with propane terminal facilities and NGL pipeline assets. It has a 25% inte! rest in R! ockies Express Pipeline LLC (REX).

Chemicals

The Chemicals segment consists of its 50% investment in CPChem. As of December 31, 2011, CPChem owned or had joint-venture interests in 38 manufacturing facilities. CPChem�� business is structured around two primary operating segments: Olefins & Polyolefins (O&P) and Specialties, Aromatics & Styrenics (SA&S). The O&P segment produces and markets ethylene, propylene, and other olefin products, which are primarily consumed within CPChem for the production of polyethylene, normal alpha olefins, polypropylene and polyethylene pipe. The SA&S segment manufactures and markets aromatics products, such as benzene, styrene, paraxylene and cyclohexane, as well as polystyrene and styrene-butadiene copolymers.

Advisors' Opinion:
  • [By Ben Levisohn]

    Oppenheimer’s Fadel Gheit and Robert Du Boff have become the latest analysts to offer their opinion of refining stocks, when they downgraded Holly Frontier (HFC), Marathon Petroleum (MPC), Phillips 66 (PSX), Tesoro (TSO) and Valero (VLO) to Perform from Outperform today.

  • [By Tyler Crowe]

    What several oil companies realized, though, is that moving oil by rail did one thing that pipelines could not: reach the East Coast and West Coast markets. Less than six months ago, the price spread between Bakken crude and imported Brent crude -- the primary source for East Coast refiners -- was over $20. So despite the premium to move by rail versus by pipeline, it was still well worth it for the refineries. Refiners and producers from the Bakken region have thus begun to move massive amounts of oil by rail. Continental Resources (NYSE: CLR  ) , the largest producer of crude from the Bakken, now transports about 80% of all its crude by rail, and Phillips 66 (NYSE: PSX  ) signed on to a five-year contract to receive 50,000 barrels per day of Bakken crude that will get there mostly by rail.

Top 5 Gas Stocks To Watch For 2014: LRR Energy LP (LRE)

LRR Energy, L.P (LRR Energy) is a limited partnership formed by affiliates of Lime Rock Resources to operate, acquire, exploit and develop producing oil and natural gas properties in North America. The Company�� properties are located in the Permian Basin region in West Texas and southeast New Mexico, the Mid-Continent region in Oklahoma and East Texas and the Gulf Coast region in Texas. As of March 31, 2011, the Company�� total estimated proved reserves were approximately 30.3 million barrels of oil equivalent (MMBoe), of which approximately 84% were proved developed reserves. During the year ended December 31, 2010, approximately 55% of its pro forma revenues were from oil and natural gas liquids (NGLs) and approximately 37% of its total estimated proved reserves were oil and NGLs. As of March 31, 2011, the Company operated 93% of its proved reserves. Based on its pro forma average net production of 6,503 barrels of oil equivalent per day (Boe/d) for December 31, 2010, the Company�� total estimated proved reserves as of March 31, 2011 had a reserve-to-production ratio of approximately 12.8 years. In January 2013, the Company acquired oil and natural gas properties in the Mid-Continent region in Oklahoma from its sponsor, Lime Rock Resources. In April 2013, it announced that it closed its acquisition of oil and natural gas properties in the Mid-Continent region in Oklahoma.

The Company�� general partner, LRE GP, LLC, is controlled by Lime Rock Management LP. The Company�� general partner has sole responsibility for conducting its business and for managing its operations. The Company�� properties consist of mature, low-risk onshore oil and natural gas reservoirs with long-lived, predictable production profiles located across three diverse producing regions: the permian basin region in west texas and southeast new mexico, the mid-continent region in oklahoma and east texas, and the gulf coast region in texas. As of March 31, 2011, the Company�� estimated proved developed non-! producing reserves included 192 gross (158 net) recompletion, refracture stimulation and workover projects. In addition, as of March 31, 2011, the Company�� proved undeveloped reserves included 213 gross (140 net) identified drilling locations.

As of March 31, 2011, approximately 55% of the Company�� estimated proved reserves and approximately 44% of its pro forma average daily net production for the three months ended December 31, 2010, were located in the Permian Basin region. Approximately 60% of the Company�� estimated net proved reserves in the Permian Basin region are oil and NGLs. The Permian Basin is one of the oil and natural gas producing basins in the United States, extending over 100,000 square miles in West Texas and southeast New Mexico, and has produced over 24 billion barrels of oil. The Company owns an 83% average working interest across 665 gross (552 net) wells and operates approximately 92% of its properties in the Permian Basin. The Company�� estimated proved reserves for its Permian Basin properties as of March 31, 2011 totaled 16.6 MMBoe and had a standardized measure of $237.7 million, which represented 69% of the total standardized measure for all of its estimated proved reserves.

The Company�� properties in the Red Lake area is an oil-weighted field located in Eddy County, New Mexico. The Red Lake properties have produced approximately 4.9 MMBoe. The primary producing formations are the San Andres and Yeso at a depth of approximately 2,000 to 5,000 feet. The Company operates approximately 99% of its proved reserves in the Red Lake area, including 157 gross (144 net) producing wells in the field with an average working interest of 92%, and own a non-operated working interest in 10 gross (3 net) additional wells in the area with an average working interest of 31%. The Company�� properties in the field contained 9.6 MMBoe of estimated net proved reserves as of March 31, 2011, approximately 86% of which are oil and NGLs, and generated average n! et produc! tion of 1,410 Boe/d for December 31, 2010. These properties represented 32% of its total estimated proved reserves as of March 31, 2011 and 22% of the Company�� pro forma average net production for December 31, 2010. In addition, these properties had a standardized measure of $163.3 million as of March 31, 2011, which represented 48% of the total standardized measure for all of the Company�� estimated proved reserves.

The Company�� properties in the Pecos Slope area is a gas-weighted field located in Eddy, Chaves, Lea and Roosevelt Counties, New Mexico. The Company operates approximately 100% of its proved reserves in the Pecos Slope area, including 434 gross (382 net) producing wells in the field with an average working interest of 88%. The Company�� Willow Lake field is an oil-weighted field located in Eddy County, New Mexico. There are 41 gross (8 net) producing wells in this area with an average non-operated working interest of 19%. The Cowden Ranch area is an oil-weighted field located in Crane County, Texas. The Company operate s100% of its proved reserves in the Cowden Ranch area, including 8 gross (approximately 5 net) producing wells in the field with an average working interest of 71%. The Company�� properties in the Corbin and Vacuum have produced approximately 3.0 MMBoe. The Company operates 100% of its proved reserves in the Corbin and Vacuum areas, including 8 gross (8 net) producing wells with an average working interest of 100%.

As of December 31, 2010, approximately 33% of the Company�� estimated proved reserves and approximately 38% of its pro forma average daily net production for December 31, 2010 were located in the Mid-Continent region. The Company�� Potato Hills Area is an Arkoma Basin natural gas property located in Latimer and Pushmataha Counties in Southeast Oklahoma. The Company�� Reklaw properties have produced approximately 5.6 MMBoe. The Company operates 100% of its proved reserves in the Reklaw area, including 63 gross (61 net) pro! ducing we! lls in the field with an average working interest of 97%. Its properties in the Black Bayou-Doyle Creek area is a natural gas-weighted field located in Angelina, Cherokee and Nacogdoches Counties, Texas, in close proximity to the Reklaw area. The Company�� non-operated interest in 43 gross (approximately 12 net) producing wells in the field with an average non-operated working interest of 26%.

As of March 31, 2011, approximately 12% of the Company�� estimated proved reserves and approximately 18% of its pro forma average daily net production for December 31, 2010 were located in the Gulf Coast region. Approximately 31% of the Company�� estimated net proved reserves in the Gulf Coast region are oil and NGLs. The Company owns an 82% average working interest across 42 gross (35 net) wells and operates 100% of its properties in the Gulf Coast region. The Company�� property New Years Ridge area is a natural gas-weighted field located in DeWitt County, Texas. The Company�� George West-Stratton areas consist of natural gas-weighted fields located in Live Oak and Hidalgo Counties, Texas. The Company�� operates 100% of its proved reserves in the George West-Stratton areas, including 23 gross (17 net) producing wells in the George West-Stratton areas with an average working interest of 73%.

Advisors' Opinion:
  • [By Robert Rapier]

    I am going to address LRR Energy LP (NYSE: LRE) and Memorial Production Partners LP (NASDAQ: MEMP) in an upcoming issue of MLP Investing Insider.

    (Follow Robert Rapier on Twitter, LinkedIn, or Facebook.)

Top 5 Gas Stocks To Watch For 2014: Awilco Drilling PLC (AWLCF)

Awilco Drilling PLC is a United Kingdom-based drilling contractor. The Company�� principal business is to own offshore drilling rigs for use in offshore drilling for oil and gas, and to provide drilling services for oil and gas companies using these rigs. The Company operates two semi-submersible drilling rigs: WilHunter, previously Arctic IV and WilPhoenix, previously Arctic II. As of December 31, 2011, the Company wholly owned five subsidiaries, namely WilPhoenix (UK) Ltd, WilHunter (UK) Ltd, WilPhoenix (Malta) Ltd, WilHunter (Malta) Ltd and the Singapore-based Awilco Drilling Pte Ltd. As of December 31, 2011, Awilco Drilling AS was the Company's largest shareholder and controlled 49% shares. Advisors' Opinion:
  • [By Ben Levisohn]

    We expect Caledonia to generate close to $600M in EBITDA. While RIGs mid-water OPEX has averaged about $125k/d we expect it to be lower at Caledonia. 2015 Consensus EBITDA for RIG is ~$3B which means 20% of RIGs 2015 EBITDA comes from the rigs that will become Caledonia. The problem (in a bear market) is that companies with lower end rigs trade at a discount ��just ask Awilco (AWLCF), Fred Olsen Energy, and Paragon Offshore (PGN) which trade at an average multiple of 3.3x on 2015 EBITDA versus RIG which trades at 6.3x.

Top 5 Gas Stocks To Watch For 2014: National-Oilwell Inc.(NOV)

National Oilwell Varco, Inc. designs, constructs, manufactures, and sells systems, components, and products used in oil and gas drilling and production; provides oilfield services and supplies; and distributes products, and provides supply chain integration services to the upstream oil and gas industry worldwide. Its Rig Technology segment offers offshore and onshore drilling rigs; derricks; pipe lifting, racking, rotating, and assembly systems; rig instrumentation systems; coiled tubing equipment and pressure pumping units; well workover rigs; wireline winches; wireline trucks; cranes; and turret mooring systems and other products for floating production, storage and offloading vessels, and other offshore vessels and terminals. The company?s Petroleum Services & Supplies segment provides various consumable goods and services to drill, complete, remediate, and workover oil and gas wells and service pipelines, flowlines, and other oilfield tubular goods. It also manufacture s, rents, and sells products and equipment for drilling operations, including drill pipe, wired drill pipe, transfer pumps, solids control systems, drilling motors, drilling fluids, drill bits, reamers and other downhole tools, and mud pump consumables. In addition, this segment provides oilfield tubular services comprising the provision of inspection and internal coating services; equipment for drill pipe, line pipe, tubing, casing, and pipelines; and coiled tubing pipes and composite pipes. Its Distribution Services segment sells maintenance, repair and operating supplies, and spare parts to drill site and production locations. The company primarily serves drilling contractors, shipyards and other rig fabricators, well servicing companies, pressure pumping companies, oil and gas companies, supply stores, and pipe-running service providers. National Oilwell Varco, Inc. was founded in 1862 and is based in Houston, Texas.

Advisors' Opinion:
  • [By Selena Maranjian]

    Among holdings in which Fred Alger Management increased its stake were Two Harbors Investment (NYSE: TWO  ) and National Oilwell Varco (NYSE: NOV  ) . The company reduced its stake in lots of companies, including Questcor�and Weatherford. Two Harbors is a mortgage REIT, or "mREIT," recently yielding a gargantuan 11.4%. It's a "hybrid" mREIT, though, investing in both government agency-backed mortgages and ones that are not so backed. Thus, it has more flexibility than some of its peers. Some worry about rising interest rates and prepayments on loans, but Two Harbors has apparently hedged against some of that. Insiders and institutions�have been buying shares in recent months.

  • [By David Smith]

    So it appears to be with National Oilwell Varco (NYSE: NOV  ) , of late the darling of the oilfield services sector. On Friday, however, it was the purveyor of news that its first-quarter 2013 results had fallen well below the consensus expectations of those who watch it most closely.

  • [By Selena Maranjian]

    The biggest new holdings are Boeing�and cement giant Cemex. Other new holdings of interest include Sarepta Therapeutics (NASDAQ: SRPT  ) and National Oilwell Varco (NYSE: NOV  ) . Sarepta stock has soared more than�tenfold over the past year. After the company petitioned the FDA for accelerated approval for its Duchenne muscular dystrophy drug, eteplirsen, the FDA requested more information, sending shares lower. But management is optimistic about its recent interactions with the FDA, and new data reported this week was encouraging. Some see the stock as reasonably or attractively valued, but there are risks to consider.

  • [By Lauren Pollock]

    Among the companies with shares expected to actively trade in Tuesday’s session are Applied Materials Inc.(AMAT), Red Hat Inc.(RHT) and National Oilwell Varco Inc.(NOV)

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