Oil and natural gas are quickly becoming more expensive to find and produce around the globe. For 2013, the likes of Chevron, ExxonMobil, and Royal Dutch Shell are all planning to spend more than $35 billion in capital expenditures in an attempt to keep their reserve replacement levels above 100% of production. Investors hoping to capture some of this record spending in a less risky atmosphere might turn to some of the more investor-friendly service companies that pay dividends and are well diversified geographically -- including the ones mentioned in the following video.
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How to Avoid the Risks in Oil Production
Drilling conditions are becoming more and more risky, but investors need not go there.
Richard Engdahl has no position in any stocks mentioned. Taylor Muckerman owns shares of Halliburton and Ensco. The Motley Fool recommends Chevron and Halliburton. We Fools don't all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.
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