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Dirk Graszt, CEO, Clean Logistics SE

Dirk Graszt
CEO | Clean Logistics SE
Trettaustr.32, 21107 Hamburg (DE)

info@cleanlogistics.de

+49-4171-6791300

Interview Clean Logistics: Hydrogen challenge to Daimler + Co.


Matthew Salthouse, CEO, Kainantu Resources

Matthew Salthouse
CEO | Kainantu Resources
3 Phillip Street #19-01 Royal Group Building, 048693 Singapore (SGP)

info@krl.com.sg

+65 6920 2020

Interview Kainantu Resources: "We hold the key to growth in the Asia-Pacific region".


Justin Reid, President and CEO, Troilus Gold Corp.

Justin Reid
President and CEO | Troilus Gold Corp.
36 Lombard Street, Floor 4, M5C 2X3 Toronto, Ontario (CAN)

info@troilusgold.com

+1 (647) 276-0050

Interview Troilus Gold: "We are convinced that Troilus is more than just a mine".


22. April 2021 | 07:47 CET

BYD, Saturn Oil & Gas, BP - There will be no world without oil!

  • Oil
Photo credits: pixabay.com

While Europe is discussing carbon taxes, coal phase-out and wind power, the global energy supply is still firmly in the hands of fossil giants such as Saudi Aramco, Exxon Mobil and Shell. Just under four-fifths of global demand was still met by coal, oil, and gas last year, despite increasing wind and solar plants. Oil prices have since recovered from the massive slump caused by the Corona pandemic. Demand due to the resurgent economy is rising. The major beneficiaries are the producers.

time to read: 3 minutes by Stefan Feulner
ISIN: CNE100000296 , CA80412L1076 , GB0007980591


John Jeffrey, CEO, Saturn Oil + Gas Inc.
"[...] The Oxbow Asset now delivers a substantial free cash flow stream to internally fund our impactful drilling and workover programs. [...]" John Jeffrey, CEO, Saturn Oil + Gas Inc.

Full interview

 

Author

Stefan Feulner

The native Franconian has more than 20 years of stock exchange experience and a broadly diversified network.
He is passionate about analyzing a wide variety of business models and investigating new trends.

About the author


Perfect turnaround

One reason for the oil crash was the sharp drop in demand due to the global lockdowns, and another was the massive inventory overhang on the supply side. According to the International Energy Agency IEA, these have already been completely depleted. Now, due to the easing, demand is rising significantly, especially in China and the USA. JP Morgan predicted as early as June 2020, shortly after the oil market crash, that oversupplied oil markets could run into a "fundamental supply deficit" from 2022. An "oil supercycle" was well within the realm of possibility, he said, with oil prices rising to USD 190 per barrel.

Extreme margins

The major beneficiaries of this rapid turnaround are, first and foremost, the oil producers that produce oil at particularly low prices. While oil giants like Exxon Mobil, BP or Total have production costs beyond USD 30 on the clock, Saturn Oil & Gas produces a barrel for USD 12, making it Canada's cheapest oil producer. The Company, which operates well fields in the province of Saskatchewan, wants to maintain its cost structure, which is outstanding by industry standards. According to management, this is more likely to be achieved through acquisitions than through in-house production. The Company has been on the lookout for larger, suitable acquisition targets since last year. Announcing an acquisition target would move Saturn Oil & Gas into higher valuation territory, both in cash flow and stock market valuation.

Internally well positioned

On the internal front, the Canadians were already preparing for larger tasks last year. At the end of last year, a significant increase in personnel quality was achieved. Wendy Woolsey was brought in as the Company's new chief financial officer. Woolsey has 25 years of experience in the oil industry. In addition, the renowned manager Jean-Pierre Colin was brought in as a strategy consultant for the Mergers & Acquisitions division. In addition to various consulting mandates, including for the Canadian government, Colin made a name for himself primarily by selling his Eleonor project for more than USD 1 billion to Goldcorp Inc, now known as Newmont Corporation. Saturn Oil & Gas shares are currently trading at EUR 0.08 and have a market valuation of just under EUR 21 million. Should the prospective takeover of a larger competitor be announced, these prices should be a thing of the past.

The search for a new model

For more than a century, the oil multinational BP has specialized in the production of fossil fuels. Now, in the next few years, the Company is to make the turn to green energy. By 2050, BP wants to reduce carbon emissions from its operations to zero. The reason is the declining demand for oil in the coming years. BP estimates that non-fossil fuels will account for most global energy sources in about 20 years, with the share of hydrocarbons falling by more than half in the next 30 years. In March of this year, a cooperation with VW was announced, reflecting a mainstay of the future green BP. The Wolfsburg-based Company plans to invest jointly with BP and its subsidiary Aral in a European charging network that will include more than 1,000 charging stations in cities, trunk roads and highways.

Open platform

It is not yet known whether it will be possible to charge at BP charging stations in the future using the Han produced by BYD. The Chinese are more open, including to third-party customers, with their new electric car platform, which was presented at the Shanghai Auto Show. BYD's "e-platform 3.0" relies on the manufacturer's Blade batteries and is supposed to enable enormous driving performance and ranges of more than 1,000 kilometers. According to BYD, the "next generation of high-performance smart EVs" has several advantages over existing platforms. In addition to intelligence, efficiency, safety and aesthetics, the new platform is also expected to be less expensive as core components are further standardized and integrated into the platform.


Author

Stefan Feulner

The native Franconian has more than 20 years of stock exchange experience and a broadly diversified network.
He is passionate about analyzing a wide variety of business models and investigating new trends.

About the author



Conflict of interest & risk note

In accordance with §34b WpHG we would like to point out that Apaton Finance GmbH as well as partners, authors or employees of Apaton Finance GmbH may hold long or short positions in the aforementioned companies and that there may therefore be a conflict of interest. Apaton Finance GmbH may have a paid contractual relationship with the company, which is reported on in the context of the Apaton Finance GmbH Internet offer as well as in the social media, on partner sites or in e-mail messages. Further details can be found in our Conflict of Interest & Risk Disclosure.


Related comments:

06. October 2021 | 12:56 CET | by Stefan Feulner

BYD, Saturn Oil + Gas, Royal Dutch Shell - Explosion on the oil market

  • Oil

The Organization of Petroleum Exporting Countries OPEC and its alliance partners led by Russia (OPEC+) have decided to increase production only gradually, despite tight supply. Demand is recovering strongly as the Delta variant of the coronavirus subsides. The result is skyrocketing oil prices, which are the highest they have been in seven years. In contrast, oil producer shares are still far from their highs.

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28. September 2021 | 13:31 CET | by Fabian Lorenz

Nel, JinkoSolar, Saturn Oil + Gas: It looks good!

  • Oil

Shares from the solar, hydrogen and oil sectors are in demand again. And the chances are good that it will continue. The federal elections are creating a good mood for solar and hydrogen; whether it is a traffic light or Jamaica, the new government will be greener. So good news for Nel and JinkoSolar. Both have also reported positive news. But oil stocks could also be in for a hot fall. That is because little work is being done on new projects, and demand will remain high for decades to come. So oil could become scarce despite the trend toward clean energy, according to one expert. Saturn Oil & Gas should benefit from this. The Canadians just bought huge oil reserves at a bargain price.

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22. September 2021 | 10:28 CET | by Nico Popp

BP, Saturn Oil + Gas, Gazprom: Where growth meets low valuations

  • Oil

The climate turnaround is coming, but it will not happen overnight. One raw material that will be needed for a long time to come is oil. OPEC recently increased its demand forecast for 2022 by 4.2 million barrels - every day. The oil companies, which are currently valued low on the stock market, will therefore continue to earn good money for a long time to come. But here, too, the companies with the edge are those that are flexible and have a sustainable focus. We present three stocks.

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