OIL STOCKS AND SECTOR ANALYSIS - APRIL 2020

Dear fellow investor,

I've taken another look at oil as the price is low. My conclusion is that I don't have to change anything and stick to my guns. I already had portfolio exposure to the industry and I'll stick to my exposure of low cost producers:-)

Oil will be volatile because of the headwinds and supply management so it is tricky - a low cost production makes me sleep well.

However, I have looked at Lundin Petroleum and Surguneft again - see how that fits you if you fancy a direct oil investment.

I'll make a video on Sunday and discuss the investment situation more in detail - have uploaded more than 50 slides - no time to write a 50 page report as I am not going to act on it more than I already have:

The short conclusion:

Long-term average oil prices will be between $30 and $60 - shale oil might suffer and offshore or deepwater - so be careful there. Low cost producers will do ok, with volatile earnings depending on the situation.

All the best,

Sven

Download
Lundin Petroleum AB.pdf
Oil Sector Analysis 2020.pdf
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