Close menu




August 21st, 2020 | 08:00 CEST

BP, Saturn Oil & Gas, Shell - why this share is now interesting

  • Oil
Photo credits: pixabay.com

The Corona pandemic is still keeping politics and business busy. The restrictions in everyday life are causing many changes for people. An end to the situation is not yet in sight and therefore great hope is being placed in the development of a vaccine against Covid-19. Those who want to position themselves for the time after this phase have excellent opportunities with the oil sector, one of the largest markets in the world.

time to read: 2 minutes | Author: Mario Hose
ISIN: CA80412L1076 , GB0007980591 , GB00B03MLX29

Table of contents:


    Dr. Thomas Gutschlag, CEO, Deutsche Rohstoff AG
    "[...] China's dominance is one of the reasons why we are so heavily involved in the tungsten market. Here, around 85% of production is in Chinese hands. [...]" Dr. Thomas Gutschlag, CEO, Deutsche Rohstoff AG

    Full interview

     

    Good Canadian crude oil

    Saturn Oil & Gas from Canada was established around three years ago as the result of a restructuring process and has been focusing on oil production in the province of Saskatchewan ever since. When management took the helm in 2017, the oil price was quoted at around USD 45.00 per barrel. Against this background, the current oil price of around USD 43.00 is not a situation that should cause the company any concern. For this reason, the share price is likely to remain at the level of a year ago.

    The Saturn Oil & Gas share is currently attractive for a number of reasons. Firstly, the company operates in a country that prioritizes human rights and environmental protection. Modern society is dependent on oil and for this reason it is particularly important to source the raw material from countries where ESG values are respected. It is also particularly important at Saturn Oil & Gas that the management says it is working on an acquisition. Due to the volatility of the oil market, many competitors are under pressure to move and have to divest assets. CEO John Jeffrey had already announced that he wanted to take advantage of this opportunity.

    Human rights at the pump

    The oil giant BP can do little at present to counter the disinterest of fund managers and asset managers in the company's shares. The value of the shares has roughly halved in the past 12 months and is currently approaching the low of March 2020 again.

    However, companies of this kind have the opportunity to defend themselves against the current situation and lack of interest by offering fuel from different countries or regions, for example. What works for coffee and bananas works even better for crude oil. Imagine if you were allowed to fill up with fuel from the North Sea or Canada and would not unknowingly or against your will obtain oil from countries that do not value human rights. How would you decide?

    Choice creates peace

    Shell shares were able to recover after the price slide in March 2020, but since their high, they have clearly lost their feathers again. The valuation of the company is once again in a downward spiral. The major investors who could park their assets in the company are lacking important impulses. In addition, there is an overhang on the seller's side, which is why the share is losing value. However, as soon as the pandemic weakens significantly, investors will show more buying interest again.

    Shell, with its market power, would also have the opportunity to raise the issue of the origin of oil. In a modern society it is about time that the people at the petrol pump or when paying for oil can decide against oil from despots.


    Conflict of interest

    Pursuant to §85 of the German Securities Trading Act (WpHG), we point out that Apaton Finance GmbH as well as partners, authors or employees of Apaton Finance GmbH (hereinafter referred to as "Relevant Persons") may in the future hold shares or other financial instruments of the mentioned companies or will bet on rising or falling on rising or falling prices and therefore a conflict of interest may arise in the future. conflict of interest may arise in the future. The Relevant Persons reserve the shares or other financial instruments of the company at any time (hereinafter referred to as the company at any time (hereinafter referred to as a "Transaction"). "Transaction"). Transactions may under certain circumstances influence the respective price of the shares or other financial instruments of the of the Company.

    Furthermore, Apaton Finance GmbH reserves the right to enter into future relationships with the company or with third parties in relation to reports on the company. with regard to reports on the company, which are published within the scope of the Apaton Finance GmbH as well as in the social media, on partner sites or in e-mails, on partner sites or in e-mails. The above references to existing conflicts of interest apply apply to all types and forms of publication used by Apaton Finance GmbH uses for publications on companies.

    Risk notice

    Apaton Finance GmbH offers editors, agencies and companies the opportunity to publish commentaries, interviews, summaries, news and etc. on news.financial. These contents serve information for readers and does not constitute a call to action or recommendations, neither explicitly nor implicitly. implicitly, they are to be understood as an assurance of possible price be understood. The contents do not replace individual professional investment advice and do not constitute an offer to sell the share(s) offer to sell the share(s) or other financial instrument(s) in question, nor is it an nor an invitation to buy or sell such.

    The content is expressly not a financial analysis, but rather financial analysis, but rather journalistic or advertising texts. Readers or users who make investment decisions or carry out transactions on the basis decisions or transactions on the basis of the information provided here act completely at their own risk. There is no contractual relationship between between Apaton Finance GmbH and its readers or the users of its offers. users of its offers, as our information only refers to the company and not to the company, but not to the investment decision of the reader or user. or user.

    The acquisition of financial instruments entails high risks that can lead to the total loss of the capital invested. The information published by Apaton Finance GmbH and its authors are based on careful research on careful research, nevertheless no liability for financial losses financial losses or a content guarantee for topicality, correctness, adequacy and completeness of the contents offered here. contents offered here. Please also note our Terms of use.


    Der Autor

    Mario Hose

    Born and raised in Hannover, Lower Saxony follows social and economic developments around the globe. As a passionate entrepreneur and columnist he explains and compares the most diverse business models as well as markets for interested stock traders.

    About the author



    Related comments:

    Commented by Armin Schulz on April 25th, 2022 | 13:26 CEST

    BP, Saturn Oil + Gas, Shell - Oil shares in focus after the French election

    • Oil
    • Gas

    The EU wants to tighten Russia sanctions further. Oil and coal imports are to be stopped. According to Annalena Baerbock, it should be ready by the end of the year. But will it stay that way? At the moment, it has not yet been possible to bring an immediate import stop, also in order not to endanger the election in France. The duel between Macron and Le Pen is too close, and the challenger could use further price explosions in the energy sector to her advantage. JPMorgan sees the oil price at USD 185 if the EU immediately stops its imports. Once the election is over, the full import ban could come. France's Finance Minister LeMaire recently said that an EU ban on Russian oil is underway. We look at three beneficiaries of rising oil prices.

    Read

    Commented by Stefan Feulner on April 20th, 2022 | 12:57 CEST

    BP, Saturn Oil + Gas, Deutsche Rohstoff - Continued clear dependence

    • Oil
    • Gas

    We can spin it any way we want and make further ambitious plans for a faster transition from fossil fuels to renewables. Still, currently, the global economy is dependent on oil and natural gas. And this is likely to remain the case in the near future, as seen from the significant rises in Brent and WTI crude oil. The primary beneficiaries of this trend - JPMorgan declared a supercycle for oil as early as June 2020 - are undoubtedly the producers of the black gold.

    Read

    Commented by Armin Schulz on April 6th, 2022 | 10:08 CEST

    K+S, Barsele Minerals, Shell - Which commodity stocks belong in the portfolio?

    • Gold
    • Commodities
    • Oil

    Commodity prices are rising in almost all areas. To blame everything on the Ukraine conflict is too short-sighted. Fertilizer prices have significantly increased in the past year due to crop failures caused by natural disasters. Oil prices also began to rise last year. However, the sanctions against Russia gave the oil price a further significant tailwind. Gold has only been able to increase with the outbreak of the Ukraine war and is currently quoted at between USD 1,900 and 2,000. The high inflation should further increase the demand for gold. Today we look at three companies from the three sectors and analyze their potential.

    Read