• 5 minutes Covid-19 logarithmic growth
  • 8 minutes Why Trump Is Right to Re-Open the Economy
  • 12 minutes Charts of COVID-19 Fatality Rate by Age and Sex
  • 14 minutes China Takes Axe To Alternative Energy Funding, Slashing Subsidies For Solar And Wind
  • 7 mins Washington doctor removed from his post, over covid
  • 4 hours TRUMP pushing Hydroxychloroquine + Zpak therapy forward despite FDA conservative approach. As he reasons, "What have we got to lose ?"
  • 42 mins Which producers will shut in first?
  • 5 hours Shale Legs
  • 2 mins The Most Annoying Person You Have Encountered During Lockdown
  • 3 hours How to Create a Pandemic
  • 7 hours Real Death Toll In CCP Virus May Be 12X Official Toll
  • 3 hours KSA taking Missiles from ?
  • 4 hours Trump eyes massive expulsion of suspected Chinese spies
  • 6 hours Did Trump start the oil price war?
  • 11 hours WE have a suicidal player in the energy industry
  • 12 hours Eight Billion Dollars Wasted on Nuclear Storage Plant
Keith Schaefer

Keith Schaefer

Keith is the publisher of the Oil & Gas Investments Bulletin – an investment newsletter that looks at opportunities within the Canadian small cap oil…

More Info

International Junior Oil Stocks: How Investors Can Position Themselves for High-Reward International Plays

Without question, the oil stocks that have made me the biggest profits have been junior oil companies with international plays.

Companies like Xcite Energy, (XEL-TSXv) which went from 62 cents to $6 with a heavy oil play in the North Sea, or TAG Oil developing their New Zealand asset, moving from $2 - $6 a share.

(The one big international stock I missed was TransGlobe, (TGL-TSX) which went from $3.50 - $20 on drilling success in Yemen and Egypt.)

These junior international plays are often orphaned stocks with big, high-impact exploration plays - and if they hit... WHOOSH! The stock can flow upwards like oil gushing out of a well.

But if they miss... OUCH. The investment can be a big win, or a big loss. These international exploration plays are what I call a one-decision stock, or a widows-and-orphans stock (nobody gets out alive) or a binary trade - it's a 1 or a 0.

They have several key differences from the home-grown North American oil plays. If investors know what they are, and how to "game" them, they have a much better opportunity at making a profit - whether the well is a gusher or dry.

Here are the three clear differences that international plays can have:

1. More political risk that warrants a lower valuation...
2. A much bigger prize (bigger well) if they hit... and
3. More risk geologically compared to domestic ones. (I'll explain why below.)

First, though, understand that North American plays are now dominated…




Oilprice - The No. 1 Source for Oil & Energy News