Great value here, I have done my homework, and
researched the entire oil sector, IMHO, TDW offers the best
value of any stock out there...
Buying on the open
and will double my money in 12 mo...
-Russian Oil Exports Drop in May as Pledge to
OPEC Takes Hold
Moscow, June 9 (Bloomberg)
-- Russia cut crude oil exports in May, government
figures indicated, signaling the world's third- largest
producer may fulfill its pledge to reduce shipments in the
second quarter of 1999 to help boost world prices.
The state-owned oil transportation monopoly, RAO
Transneft, exported 10.6 million tons (77.4 million barrels)
last month, down 1.6 percent from a year earlier.
Shipments from Kazakhstan and Azerbaijan, which are
included in Transneft's total, are some 846,000 tons a
month, analysts say, indicating Russian exports fell
about 5 percent in the month.
largely failed to meet its commitment to slow oil
exports, a plan adopted with the 11-member Organization of
Petroleum Exporting Countries. In March, Russian officials
promised to cut exports by 100,000 barrels a day from
April 1 to July 1, but instead boosted April exports by
5 percent, raising skepticism the country would
meet its pledge.
``After an increase in April,
exports have been apparently cut in May,'' said Vladimir
Nosov, an oil and gas analyst at Fleming UCB in Moscow.
``It looks like they'll keep their promise to cut
exports when judged for the entire quarter.''
government has said Russia shipped more oil than planned in
April to compensate for storms in the Black Sea in
March. The government said it would introduce more cuts
in May and June so that Russian crude exports won't
exceed 28.7 million tons in the entire second quarter.
Since the producers' agreement in March, oil prices
have risen about 20 percent to $15.75 a barrel for the
benchmark Brent blend in London.
Kazakhstan has the
right to pump through Russia 416,000 tons of oil a
month, up from last year's quota of 275,000 tons.
Azerbaijan should have sent to the Russian port of
Novorossiysk 430,000 tons of oil last month, up from about
170,000 tons a year earlier. Those estimates leave
Russian exports at 9.75 million tons of oil last month.
While fulfilling its pledge to OPEC, of which it is not
a member, the Russian government is also showing
the country's oil producers it is serious about using
access to pipelines to influence companies, Nosov said.
The government said it will cut off producers from
export pipelines if they fail to pay their taxes in
``By introducing the cuts, the government
is showing companies a cudgel,'' he said. ``And
companies' ability to lobby for more access to pipelines is
limited now, with new officials taking seats in the
Prime Minister Sergei Stepashin, who took
office last month, appointed Viktor Kalyuzhny to replace
Sergei Generalov as Fuel and Energy minister. Kalyuzhny
is now reshuffling the ministry.
The Tide's "jaws" (Bollinger bands) are now
starting to upen up wide signaling the begining of a new
rising movement, that can culminate with the stock
reaching 32.00 before months end.
Good luck to all
*API Crude Oil Inventories Decline: Economic
U.S. crude oil inventories fell unexpectedly
week, a report from the American Petroleum Institute
1.47 million-barrel, or 0.4 percent,
decline came even as imports
surged 14 percent.
The report, issued after the end of floor trading of
futures, also showed increases in inventories of both
and distillate fuels.
Crude oil for July delivery
was little changed at $16.57 a
barrel, down 8
cents, in electronic trading on the New
Mercantile Exchange after the report was issued. Gasoline
heating oil futures also were little
Behind the Numbers
Crude oil inventories fell to
330.9 million barrels during
the week ended May 28,
the API said, as refinery operations
unchanged from a week earlier at 96.7 percent of
The API revised the inventory figure for the
raising it by 339,000 barrels.
analysts surveyed by Bloomberg News had expected
ranging, on average, from 300,000 barrels and 1.3
barrels. Five analysts expected a gain and two a
The drop in crude supplies came as imports rose
1.10 million barrels a day to 8.86 million barrels a
Gasoline inventories rose 2.32 million barrels
222.3 million barrels, the API said. Analysts were
whether gasoline supplies rose or fell,
with forecasts ranging
from a decline of 600,000
barrels to an increase of 200,000
Gasoline imports rose by 145,000 barrels a day to
barrels a day. Implied demand for gasoline, derived from
in the API report, was little changed at 8.73
million barrels a
day, an increase of 116,000 barrels
Distillate fuel inventories rose 1.94
million barrels to
132.6 million barrels. Analysts
expected gains ranging, on
average, from 1.1 million
barrels to 1.6 million barrels. Within
fuel category, heating oil supplies rose by
million barrels, while diesel supplies rose by
What Experts Say
``The crude draw was surprising,
but the gasoline number was
a disappointment for
those expecting a bullish report,'' said
Kilduff, senior vice president of energy risk management
Fimat USA Inc. in New York.
The unchanged refinery
utilization figure was ``OK, but it's
going to come down,
as more and more refiners cut back. That
there will be less of everything down the road, and
good for the complex. All in all, it's moderately
the crude number.''
Crude oil prices fell 32 percent in 1998,
touching a 12-year
low of $10.35 a barrel in December,
as output cuts pledged by
major producers failed
to eliminate a worldwide glut. Prices
this year, reaching a 17-month high of $19.05 on May
following more supply cuts from the Organization of
Exporting Countries and other producers.
recover on signs that Asia is slowly recovering
more than a year of weak oil consumption and that OPEC
sticking to its promise to reduce output. OPEC made 91
its pledged cuts during May, according to a
Bloomberg survey of
Organic_chemical...nothingh ever goes in a
straight line except taxes, the national debt, the funeral
home business and the balance of payment
This is a normal correction, and the weakness reflects
the oil prices since TDW is viewed as a commodity.
I don't understand this relative weakness in TDW share price. There has
been a gradual decline as of late, and I think it is totally unwarranted.
TDW looks so strong and undervalued.