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Re: hardcore post# 338180

Sunday, 12/26/2004 4:54:13 PM

Sunday, December 26, 2004 4:54:13 PM

Post# of 704041
"Profiting From the Coming Oil Crisis"
(This is from Option Investor.com. I only post because he brings up some interesting points about the energy sector. Of course the author then goes on to promote subscribing to OptionInvestor.com to get the full report. I like the service but it may not be for everyone.)

What does that really mean? We are facing an oil crisis
over the next several years that will not go away. We
can ignore it and pretend it does not exist but it will
still happen. The world is reaching the point where we
will not be able to pump enough oil to satisfy the demand.
The recent supply disruption caused by Hurricane Ivan
showed us that the problem is real and it is lurking
right around the corner.

The disruption eliminated 1.5mbpd from the normal supply
chain for nearly a month. According to the analysts OPEC
should have been able to just open the spigot and let
more oil flow. Instead with OPEC pumping every drop they
could manage the problem did not get resolved until the
supply from the Gulf of Mexico was restored. Disaster
was averted but only for a short time. The October panic
caused serious questions to be asked about OPEC supplies
and the rising global demand.

These questions had been around since the 1970s but
everyone always thought the answer was still decades
away. Even the government is telling us not to worry
there is no supply problem despite the glaring facts.

The facts are clear for anybody willing to do the
homework. One day soon, possible as early as 2007, the
world supply of oil could begin to decline. After 150
years of pumping countless billions of barrels out of
the earth the oil gauge is tilting toward dry.

We are not running out of oil. That will not happen
until sometime late this century. What we are running
out of is cheap oil. Once production begins to decline
it will do so at a moderate pace but once there is not
enough to go around it becomes a sellers market not the
buyers market we have today. We saw $55 oil when there
was only a small shortage for only three weeks. What
will a permanent shortage? It will begin slowly at maybe
100,000 barrels a day then 150,000 etc. The only problem
is it will never come back. There may be fluctuations
where new supply comes online or demand dips for a month
but the long-term outcome is still the same. Once oil
production peaks and begins to decline it is a one-way
trip. If you thought $55 oil was high then $75 or even
$100 oil is really going to be scary and it will
eventually go higher.

The simple reason is there is nothing to replace it with.
Your car will not run on solar and airplanes only guzzle
jet fuel. There is no replacement. Once the production
peak passes the world will have to start learning to live
on less. The price you pay for gas will be dependent on
how high American or United wanted to bid for oil to keep
their planes flying that month. $5 a gallon, count on it
and that is only for starters.

"Profiting From the Coming Oil Crisis"

As wise investors we have the opportunity to profit from
this coming crisis. Already institutions and hedge funds
are moving into strategic investments to profit from $75
oil. It is not the investments you would expect.

I have spent the last several months analyzing over 350
energy stocks and stocks that will be impacted by the
coming energy decline. This investor guide outlines which
ones to buy, which ones to sell and which ones to avoid.

Just in the energy sector alone it covers:

6 Mining Stocks
10 Coal Stocks
9 Transportation Stocks
22 Shipping Companies
17 Royalty Trusts
52 Electric Utilities
37 Natural Gas Stocks
77 Oil Service Stocks
20 Integrated Oil Giants
111 Oil Operators

I have compiled information on each and every one
that highlights the right place to be and the places
to avoid.

Did you know that the top ten dividend stocks in the
energy sector average well over a 10% yield. That is
not only amazing but it is going higher as well as
the stock prices.

In this guide you will not only get my top ten oil
recommendations from those 350 stocks but my research
papers as well on all 350. I have compiled a spreadsheet
by sub sector within the energy sector that includes
symbol, price, volume, dividend and description of each
stock. This is all categorized for you.

I have also included a Qcharts workspace with all 350
stocks also broken apart by sub-sector. All you have
to do is click and scan.

My "Profiting From the Coming Oil Crisis" special
investor guide is only available with the End of Year
Renewal special from Option Investor.

I firmly believe that any of the top ten recommendations
could not only pay for your subscription price but will
insulate you from the very high gas prices to come. The
early bird always gets the worm and it is time for us to
step in front of the herd and position ourselves for the
coming profits.

Click here to reserve your copy.
https://secure.sungrp.com/05renewal/

Jim Brown

Joe

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