Track the companies that matter to you. It's FREE! Click one of these fan favorites to get started: Apple; Google; Ford.



3 Companies Winning in the Eagle Ford Shale

In the following video, Tyler Crowe interviews Aimee Duffy and gets her to share three picks with exposure to the Eagle Ford shale formation.

Aimee's first pick is EOG Resources, the largest landholder in the Eagle Ford. With proven reserves of 2.2 billion barrels, this year EOG plans to drill 400 wells and forecasts a profit increase of 28%.

Her next recommendation is not an oil producer. Instead, it's Enterprise Products Partners, a midstream company. Enterprise has spent lots of money in the Eagle Ford, and it's already paying off, as seen in the company's Q4 results for its onshore natural gas pipeline and services segment, and its onshore crude pipelines and services segment.

Aimee's third pick is ConocoPhillips, the nation's largest independent oil producer. (It was a close call between ConocoPhillips and Marathon Oil, she says.) As it sets production records, ConocoPhillips benefits from drilling the cheapest wells in the Eagle Ford. It needs oil prices of only $37/barrel to break even, compared with $40-$80 or $50-$70 for its rivals. She recommends this company to the conservative investor seeking dividends.

The growing production of natural gas from hydraulic fracturing and horizontal drilling is flooding the North American market and resulting in record-low prices for natural gas. Enterprise Products Partners, with its superior integrated asset base, can profit from the massive bottlenecks in takeaway capacity by taking on large-scale projects. To help investors decide whether Enterprise Products Partners is a buy or a sell today, click here now to check out The Motley Fool's brand new premium research report on the company.

Read/Post Comments (0) | Recommend This Article (5)

Comments from our Foolish Readers

Help us keep this a respectfully Foolish area! This is a place for our readers to discuss, debate, and learn more about the Foolish investing topic you read about above. Help us keep it clean and safe. If you believe a comment is abusive or otherwise violates our Fool's Rules, please report it via the Report this Comment Report this Comment icon found on every comment.

Be the first one to comment on this article.

Compare Brokers

Fool Disclosure

Sponsored Links

Leaked: Apple's Next Smart Device
(Warning, it may shock you)
The secret is out... experts are predicting 458 million of these types of devices will be sold per year. 1 hyper-growth company stands to rake in maximum profit - and it's NOT Apple. Show me Apple's new smart gizmo!

DocumentId: 2273320, ~/Articles/ArticleHandler.aspx, 10/1/2016 11:55:31 AM

Report This Comment

Use this area to report a comment that you believe is in violation of the community guidelines. Our team will review the entry and take any appropriate action.

Sending report...

Today's Market

updated 14 hours ago Sponsored by:
DOW 18,308.15 164.70 0.91%
S&P 500 2,168.27 17.14 0.80%
NASD 5,312.00 42.85 0.81%

Create My Watchlist

Go to My Watchlist

You don't seem to be following any stocks yet!

Better investing starts with a watchlist. Now you can create a personalized watchlist and get immediate access to the personalized information you need to make successful investing decisions.

Data delayed up to 5 minutes

Related Tickers

9/30/2016 4:04 PM
EOG $96.71 Up +1.66 +1.75%
EOG Resources CAPS Rating: ****
COP $43.47 Down -0.19 -0.44%
ConocoPhillips CAPS Rating: ****
EPD $27.63 Up +0.21 +0.77%
Enterprise Product… CAPS Rating: ****