Friday, March 29, 2013

Thoughts on investing in Fracking stocks. - The Hull Truth - Boating ...

My company is deep into supplying products to the Fracking industry and this is a new emerging market that has huge upside potential. I'm just learning about the financial/investment side of this industry. Does anyone know much about investing in Fracking companies?

Here is some information I've found regarding companies involved in this new industry. Looking for some conversation on investment opportunity, risk, etc.

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For this, you'll want to look into companies that hold stakes in some of the major shale plays or are otherwise involved in fracking activities. Here are a couple fracking stocks worth looking into:
Continental Resources (NYSE: CLR), for example, is involved in drilling activities in a number of U.S. shale plays, including the Bakken and Niobrara.
Rosetta Resources (NASDAQ: ROSE) also has shale assets in Eagle Ford and the Southern Alberta Basin.
Encana (NYSE: ECA) is a solid, conservative natural gas producer who will benefit considerably from large

FRAK currently has holdings in 48 companies in the United States, Canada, and Australia. Companies involved must receive 50% of their revenue from unconventional energy or own properties that could give them that capability in the future.
Here are its top 5 holdings, with the percentage of net assets:

  • Occidental Petroleum Corporation (OXY) ? 8.47%
  • Anadarko Petroleum Corporation (APC) ? 8.14%
  • EOG Resources (EOG) ? 7.12%
  • Devon Energy Corporation (DVN) ? 5.53%
  • Noble Energy Inc (NBL) ? 4.98%

Source: http://www.thehulltruth.com/dockside-chat/496229-thoughts-investing-fracking-stocks.html

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