from TD bank's "Action list -best ideas" dated November 3 Things to Watch for in the Coming Month
Most of our companies will be reporting Q3/14 financial results over the coming
weeks. We expect Brent crude, which we believe is a more important benchmark
for International E&Ps than WTI, to continue trading at a premium to WTI, likely
remaining above US$80/bbl in the short term. However, we anticipate potential oil
price volatility, with short-term fluctuations driven largely by strong supply-side
dynamics, geopolitics, and perceptions of global economic growth prospects. For
many companies, results from ongoing exploration and development drilling
programs are likely to be the key determinants in share price evolution. Since
exploration drilling typically has the largest upside potential, we highlight
significant ongoing or planned exploration drilling programs for Q4/14 to hold
large upside potential for Africa Oil (AOI-T), Canacol Energy (CNE-T), Gran
Tierra Energy (GTE-T), Parex Resources (PXT-T), and Petroamerica Oil
(PTA-V) in particular.
ciao vito