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$AGYP >> Best Oil Stocks Showing Potential In 2022 – AGYP
https://pennystocks.today/best-oil-stocks-showing-potential-in-2022-agyp/

Catalysts

On the onset of 2020 and Covid-19 causing lockdowns all over the world, in March 2020 the global oil industry reached an all-time low as demand fell by almost 30 million barrels a day. Fast forward to 2022 – the pandemic effects are starting to wear out and the industry is on track to hit $2.1 trillion in revenue by the end of this year.

The growth in the global oil industry market is a result of companies including AGYP and many others, returning to their operations and production levels from the pre-pandemic era. Most companies did not completely shut down their operations but with remote working and social distancing, companies faced a lot of challenges that affected their productivity.

On that note, the secretary-general of the International Energy Forum – Joe McMonigle – said that the two years of huge cuts in production are leading the world to an energy supply shortage that could disrupt many economies. Veteran industry analyst – Phillip Streible – also commented on the supply shortage saying “we have 432 million barrels. The five-year average is 460 million, so supplies are quite tight.” and he emphasized that “any small supply shock would send prices higher”. The industry leader is expecting prices to be $85 to $90 per oil barrel in 2022.

For years, AGYP has been acquiring and reworking existing oil and gas reserves throughout the US. However the company is constantly on the lookout for strategic abandoned lease sites, but to date, its most profitable sites are the Green Lease and Annie Gilmer sites.

According to an engineering and economic evaluation of the sites’ reserves, the Green Lease site holds $2,944,900 of proved oil and a total of $18,536,600 for both probable and possible oil. On the other hand, the Annie Gilmer site holds $6,704,900 in proved oil and gas reserves with $5,489,900 in probable and possible reserves.

However, the company’s latest acquired lease site might be its biggest investment yet. Known for its 28 Unit Well 1H – which historically produced around 200 barrels of oil and 300 thousand cubic feet of natural gas per day – the 325-acre Prometheus Lease site in Texas is already showing a lot of potentials. This site among other successful sites of AGYP will help build the company’s growth and make it one of the best oil stocks.

AGYP is affected more by the domestic market which experts are divided on where it’s headed. Barclays changed its prediction of oil prices in 2022, it now forecasts that the WTI contract price will reach $77 or even higher as the bank believes that the country’s recent oil release from the Strategic Petroleum Reserve isn’t a sustainable way to decrease prices and eventually prices will go up again. Whereas, the US Energy Information Administration (EIA) predicts that by Q4 of 2022, the oil prices will drop $7 and reach $62 per barrel.