Posts for Ticker ‘Pickens’

Cramer Chases Pelosi & Pickens in Clean Energy (CLNE)

Clean_energy_tanker_2On tonight’s MAD MONEY on CNBC, Jim Cramer said that a stock you can buy that didn’t even have to buy off politicians to do well is Clean Energy Fuels Corp. (NASDAQ: CLNE).  This turns out that it was a rather large holding of Speaker Nancy Pelosi and her husband that was disclosed last week in the amount of $50,000 to $100,000 for their own investments back in 2007.

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Posted on: August 25, 2008 – 5:31 pm in Alternative Energy, Cramer, Oil & Gas, Politics, , , , ,

T. Boone Pickens Trades Oil With Both McCain & Obama

Pickens_picOn Sunday, T. Boone Pickens issued a press release stating that he had met with Senator Obama in Reno, Nevada to discuss his energy plans.  This follows the statement he issued Friday stating that he had met with Senator McCain in Aspen, Colorado to discuss his energy plans. 

Pickens calls this non-partisan in both meetings and stressed that the Pickens movement hopes to get legislation passed in the first 100 days of the next administration.

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Posted on: August 18, 2008 – 4:58 am in Oil & Gas, Politics, , ,

T. Boone Pickens Takes New Energy Plan On The Road

Oil Baron T. Boone Pickens has been on CNBC this morning touting his new energy plan.  While his plan does call on several domestic solutions to lower our $700 Billion deficit we are sending out for buying foreign oil.  So far he thinks that demand destruction has only killed 1 million barrels per day.

Of course his Clean Energy (NASDAQ: CLNE) is a solution to use natural gas to be converted to fuel for autos. He noted that most cars could be retrofitted to run on LNG for roughly $2,000.00.  Other stocks he’s mentioned he likes before today in oil & gas were EP, SD, XCO.

His biggest plan calls for much more added wind farm capabilities than anything, and this is where the media is focusing much of its efforts on the Pickens plan today.

He is also calling for more nuclear power plants, although he does note that the solution to build many new plants on a cost effective basis doesn’t get us all the way there on its own.  USEC Inc. (USU) is the U.S. play there.

Others mentioned were hydro and solar, and he’s still pro-ethanol because it is at least a domestic solution.  Ethanol stocks: AVR, VSE, PEIX.

This can take out 38% of the oil imported in the U.S. over a ten year period.

Pickens has also said he’d like to have a 3-way meeting with McCain and Obama.

Here were his comments calling for $150 oil before today.

You can see the full plan at PickensPlan.org.

Jon C. Ogg
July 8, 2008

Posted on: July 8, 2008 – 7:00 am in Oil & Gas, ,

The Inevitable $100 Oil (OIH, XLE)

Media reports today are noting a $100 print in oil trading, although we would caution that this appears to be a paper trade from the floor and not an accurate market trading print.  We inquired with another agency and with an oil trading group in Houston and the "$100 OIL" appears to be mistake.  Neither could confirm electronic trading at that level.  The flip side of the argument is that it’s irrelevant as we’ve already hit record prices today.

On last look we saw oil up $3.32 at $99.30 per barrel and that was on the real market. We are over $99.00 and the mystical $100 oil is a mere difference in semantics at this point.  In fact, we’d now expect that oil could see a real $100 trade this week because the traders are more in control of oil prices than the fundamentals.

We’ve already got T. Boone Pickens maintaining $100 oil and he’s been right the entire run up so far.  Ken Heebner is also sticking with his oil names.  Oil has a large geopolitical risk premium assigned to it.  The exact amount is unknown.  Some feel the premium is $10 per barrel, and others have a $30 suggested premium.  We won’t even try to claim the answer if oracles like T. Boone Pickens can’t put an exact price on it. 

But what we do know for sure is that the Gulf of Mexico has largely escaped any real damage for the last two years from hurricane season.  We have had no steady net oil delivery misses at terminals throughout the Middle East, and depending on who you talk to the argument is that Iraq is close to being back on-line as a decent producer.  Russia and others are becoming more prominent players and there is enough oil from the Canadian oil sands that is much more than feasible at levels anywhere remotely close to today’s prices.

Imagine if Pakistan was a key oil player.  Imagine if Chavez in Venezuela could make more than a sting.  Imagine if we have an active hurricane season.  Imagine if our pipeline explosion seen last month was much larger.  Those geopolitical risks are there and we are up at $99+ with no significant supply issues.  A real oil trade at $100 is less than 1% away and at this point seems inevitable.

The Oil Services HOLDR’s (AMEX: OIH) are up over 1% at $191.20, yet the highs there over the last year are $204.62.  The more liquid Energy Select Sector SPDR (AMEX; XLE) are up marginally by 0.3% at $79.65, and the highs there over the last year are $80.60.

How much higher oil goes is anyone’s guess.  The case for much lower oil is a recession, so maybe high oil prices aren’t all that bad.

Jon C. Ogg
January 2, 2008

Posted on: January 2, 2008 – 1:05 pm in Oil & Gas, , , , ,