Here are our TCR investing positives for oil. For pandemics. For precious metals shortages.
Pandemics come in all shapes and segments.
1. Oil‘s decline this northern hemisphere autumn is a
boost for low-cost energy producers, processors and prospectors. That includes
uranium, coal, oil, shale oil, tar-sands oil and nat-gas — as long as they are
belt-tightened producers or worthy wanna-bes. I bet you can find a handful of
oil drillers, producers, refiners who already are beating the low-cost theme
into their paragraphs. I have several we are looking at in TCR —
some run out of Calgary, Canada, others run from the USA, and most of them
traded as stocks in Canada and the USA. For now, I am sticking with companies
whose principals or large shareholders, or both, I know personally. I will have
more on the energy front, including uranium, in coming days.
For now, my energy holdings, all purchased in the open market, and all
highly prospective, as are most of my natural resource stakes: American Sands
Energy (AMSE in USA) is moving toward what looks like cheaply
run 2016 production from its Utah tar sands; Lynden Energy (LVL in Canada) owns or leases, with partners, large
tracts of contiguous acreage in western Texas’s Permian Basin of Texas and in
Utah — and it is a growing oil and gas producer with a grip on expenses; Powertech
Uranium (in the process of closing a financing and renaming itself Azarga);
and Virginia Energy, which is a dormant (for now) property holder
and political hostage in the USA state of Virginia. Also: Prophecy Coal (PCY in Canada), a Mongolia producer of thermal coal
that is richer than most of the carbon in that part of the world; Athabasca
Basin’s Lakeland Resources (LK in Canada); one or two others. I know the
principals of all of these companies, excepting Virginia Energy.
2. Pandemics. The human positive during an
active pandemic, such as influenza or Ebola, is the accelerating of
drug trials for treatment of disease. The investing positive
is accelerating headlines for drug developers. Our pandemic diagnosis is for
portfolio purposes. About 8 percent of our equity holdings are in BioCryst
Pharmaceuticals (BCRX in USA.) This has ranged as high as 15 percent
since 2005. Call it portfolio insurance. The so-called beta on
BCRX shares Tuesday spurted to 3.8 from a 5-year beta of 2.1 — this after
health agencies, among them National Institutes of Health in the USA, included
BioCryst’s experimental treatment for Ebola in its update on the virus.
BioCryst shares, having satisfied most technical challenges, such as a test of
its September 30, 2014, low, and various swings across moving averages, is
headed far higher in coming days and weeks. I continue to be a buyer of the
stock (we own about 22,000 shares) and I am looking at call options that expire
on Friday. I do not know the principals of BioCryst. I do know the science for
most of its molecular compounds.
More details on pandemics, metals shortages and cyber portfolio
insurance: http://thomcalandra.com/pandemics-of-all-stripes-on-money-pile/#pandemics.
*Let’s hope that AG statistic is not a jail sentence
for silver producers. Visit ThomCalandra.com, and Join The Family
Today. Price Rise October 31, 2014.
THE CALANDRA
REPORT: Subscribe
Disclaimer: This article was posted with the
permission of a third-party contributor and the opinions contained therein
do not necessarily reflect those of Smallcappower. Smallcappower does not
endorse any investment advice provided by these third-party contributors.
Please consult your investment advisor before making any investment
decisions.
Ubika Corporation
and its divisions Smallcappower, Ubika Communication and Ubika Research are not
registered with any financial or securities regulatory authority in Ontario
or Canada, and do not provide nor claims to provide investment advice or
recommendations to any visitor of this site or readers of any content on
this site. – See more at: http://www.smallcappower.com/posts/small-cap-power-disclosure
