On May 19th, the world’s largest oilfield company, Schlumberger (SLB), announced that they were introducing their new GeoSphere* reservoir mapping-while-drilling service. This new technology will reveal features in reservoir subsurface beddings and fluid contacts, optimizing well landing operations and steering capabilities, and aiding the mapping of multiple boundaries.
SLB has been doing well, with modest first-quarter results, and is expected to do even better as the year progresses. With this in mind, we’ll take a look at a list of small cap stocks in the same sector if you want to invest in oil and natural gas:
Denver, CO-based Forest Oil Corporation (NYSE: FST), is an independent oil and natural gas company whose main area is the acquisition, exploration, development, and production of oil, natural gas liquids, and natural gas. FST was founded in northwestern Pennsylvania in 1916, incorporated in 1924, and began trading publicly in 1969. Their main areas of operation are the Eagle Ford Shale in South Texas and the Ark-La-Tex Area of East Texas and North Louisiana. This month they announced a merger with Sabine Oil and Gas LLC to increase capabilities for both companies in the East Texas region. On May 23rd, FST closed at $2.21, up one cent, with a market cap of $265.43 million. Its 52-week trading range is now $1.68 – $6.67.
Kodiak Oil & Gas Group (USA) (NYSE: KOG), also based in Denver, is an independent energy company that is focused on exploration, acquisition, exploitation, and production of natural gas and crude oil in the U.S., primarily in the Williston Basin of North Dakota and Montana and the Green River Basin of Wyoming and Colorado. In their 2014 first quarter results, KOG reported that oil and gas sales were $257.0 million, when same-period 2013 results were $165.1 –an increase of 56%! Of the results, KOG’s Chairman and CEO Lynn A. Peterson said, “As we move toward full-scale development of our core Williston Basin properties, we will continue to look for additional opportunities to improve drilling efficiencies and further drive down completed well costs.” On May 23rd, KOG closed at $12.47, down $0.03, with a market cap of $3.34 billion. Its 52-week trading range is now $8.34 – $14.11.
ATP Oil & Gas Corporation (OTCMKTS: ATPAQ) is a Houston, TX-based company that is involved in the acquisition, development, and production of natural gas and oil properties in the Mediterranean Sea, the Gulf of Mexico, and the North Sea. ATPAQ focuses on technology innovations to provide the best results in natural gas and oil acquisition, such as using a Subsea Isolation Device (SID) along with the typical surface-blowout-preventer (BOP) for increased risk prevention. On May 23rd, ATPAQ closed at $0.016, up $0.001, with a market cap of $824,126. Its 52-week trading range is now $0.01 – $0.11.
Another Denver based company is Emerald Oil Inc (NYSEMKT:EOX), which specializes in the exploration and production of developing oil wells in the Williston Basin of North Dakota (where they work across about 85,000 net acres) and Montana, as well as the Bakken and three forks shale oil formations. EOX’s 2014 First Quarter results yielded the production of 225,905 BOE, an averaging about 2,511 BOEPD, which is an increase of 136% compared to the first quarter of 2013. On May 23rd, EOX closed at $6.46, up $0.07, with a market cap of $431.55 million. Its 52-week trading range is now $6.00 – 9.20.
Keep an eye on this sector, as it seems to be growing every day!