Local Oil & Gas Analyst Betting on Industry Rebound with Conference
CALGARY, AUGUST 8, 2018 – Josef Schachter has seen many boom and bust cycles during his forty plus years as an oil and gas analyst, and to avoid knee jerk reactions and provide steady guidance for his clients, the data intensive researcher keeps his eye on the basics – the fundamentals of supply and demand. What he sees lends him to think that global prices for oil and gas are set to increase for the next several years, ushering in the potential for a new super cycle for companies’ share prices. “In response to a sustained crash of commodity prices in the second half 2014, companies slashed their investments in exploration and development, and this has continued for four years now. At the same time, the global demand for oil has remained strong and increased by an average of 1.5 M/bd during each of the past four years. The result is that reserves have steadily should decreased despite demand growing, and we are now at an inflection point where commodity prices will increase over the next 3.5 years because of this imbalance, which bodes well for share prices in Canadian oil and gas companies.”
In fact, Josef is so convinced that commodity prices are set to rebound that he is hosting the conference: “Schachter Energy Conference—Catch the Energy” on September 29th in Calgary at the Calgary Telus Convention Centre. Josef was compelled to host the conference by what he saw as a large gap in the market for forums focused on individual investors. “More and more people are taking control of their finances and retirement planning and investing on their own. While it is fairly common for institutional investors and portfolio managers to meet with companies’ management teams and hear their stories, it is quite difficult for an individual investor to do this. “Our conference will give individual investors this opportunity”, he says. Schachter says that a great deal of the companies he has spoken to would like to have more retail shareholders, so they are eager to participate.
The list of presenting companies at the conference is diverse and impressive, and includes large producers such as Tourmaline Oil and Vermilion Energy; smaller players such as Razor Energy and Blackbird Energy; and even service companies like STEP Energy Services and High Arctic Energy Services. “We also have some companies whose share prices have been badly beaten up since 2014, but whom we think are well positioned for turnarounds, including Bellatrix Exploration and Bonavista Energy.” In total, there are over forty companies that will be presenting throughout the day, and will make themselves available to meet with people afterwards. “We think it is the perfect time for oil and gas companies to begin telling their stories again and that investors are ready to listen.”
Josef Schachter, CFA, is the author of the newsletter “Schachter Energy Report” and is a frequent guest on BNN Bloomberg. For more information about the conference, please see https://www.schachterenergyreport.ca/conference-2018.
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