Interview of Dr. Joseph Dancy (EPG member and professor at SMU): Cheaper to buy reserves on Wall Street than to drill for them
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We were interviewed today by Jim Puplava of the FSN Network on the energy market – we see record demand in 2013, with robust oil prices. Valuation of domestic oil producers is as depressed as we have seen in decades:
http://www.lsgifund.com/SMU/fsn2013-0122-1-dancy.mp3
Many producers are selling at a steep discount to the discounted present value of their proved and probable reserves, which creates rare opportunities for energy investors. It is cheaper to buy reserves on Wall Street than to drill for them in many cases