Talisman Mining Ord Shs TLM

RE:Risk

[dinkdestroyer]

Under the right conditions, this stock could be much higher. Being so heavily weighted with Natural Gas, and not well run up until now, it has been a horrible performer. However, there are some things happending that could lead to a sentiment change, and perhaps a much better stock price. Natural Gas supply/demand balance looks set to tip into a tighter market favoring producers, and Icahn is going to take steps to get the stock price moving up. With storage so low, it is unlikely the NG price has much downside from here, and if it does not get rebuilt, the price next year could be $6-7. LNG exports, higher power sector demand(see my earlier post on retired coal plants), along with a lot of new industrial demand coming in US(cheap gas induced) will result in big demand increases. Current drilling is inadequate to meet this demand and the price has to go up in deferred futures to induce drilling. I think this could easily go up 50-100% from here.