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



Forget Shale Drilling -- This Will Drive the Future of Oil

There has been a lot of talk about how shale drilling is the game-changing energy event for both the U.S. and the world. But this train of thought does injustice to another fast-moving oil space: offshore drilling. In the past decade, more than 41% of all newly discovered oil has been found in ultra-deepwater regions, outpacing both onshore and near-shore finds. Also, with big finds in areas like the Gulf of Mexico, offshore Brazil, and Africa, there is still a lot of development that will help to drive the industry. 

Of course, exploration of ultra-deepwater can be both expensive and risky. Just ask a company like Royal Dutch Shell (NYSE: RDS-A  ) , which has dumped more than $5 billion into looking for oil off the shores of Alaska only to come up with nothing. Rather than worrying about whether oil gets found, investors should look at the companies, such as rig companies, that make money offshore regardless of whether oil is found. Rig fleets are set to explode worldwide in the next couple of years, and some players are getting ready. Tune into the video below where Fool contributor Tyler Crowe looks at a couple of rig companies gearing up for the offshore boom.

The offshore industry may be about to take off, but why limit yourself to just one part of the oil sector? Analysts here at The Motley Fool have identified one behind-the-scenes energy giant that is poised to make profits from every facet of the oil and gas industry. To get the name and detailed analysis of this company that will prosper for years to come, check out the special free report: "The Only Energy Stock You'll Ever Need." Don't miss out on this limited-time offer and your opportunity to discover this under-the-radar company before the market does. Click here to access your report -- it's totally free.

Read/Post Comments (7) | Recommend This Article (4)

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.

  • Report this Comment On July 05, 2013, at 6:36 PM, mfxsp wrote:

    About the only thing that Mr. Crowe might have gotten correct in his reference to Royal Dutch Shell's offshore Alaska exploration effort may be the dollars they have spent so far. The water depth is very shallow -- hundreds of feet at most -- and most certainly not ultra-deepwater. The reason that they have "come up with nothing" so far is that the the two wells drilled in 2012 were incomplete 'top holes' or, in other words, the wells did not reach the target hydrocarbon zones. And this was due to drillship/rig issues and equipment problems, not geological reasons.

  • Report this Comment On July 05, 2013, at 8:28 PM, cdkeli wrote:

    Yeah let's drill lots of big holes all over the silly planet and continue to foul the place with toxic petrochemicals and screw all those crazy environmentalists and the tree-hugging libertines that think climate change is a big issue,,,just make sure you have a real big boat (ark?) and lots of canned goods cuz all the animals and plants will have gone extinct by then,,,then again maybe all the wonderful elite rich like good ole us will have fast rocketships by then and we can settle on that lovely planet Mars!! Oh how fun will that be?! Cheers everyone ;)

  • Report this Comment On July 05, 2013, at 8:39 PM, ThisIsUnReal wrote:


    Drilling in water to deep to dive is just nuts... haven't we learned anything???

    Even close offshore drilling is nuts... think about it... how do you create a REAL SEAL in soil at the bottom of a body of water? Pressure from the find will ALWAYS blow around the drill, into the water, and end up either mixing with the water, polluting it, or not mix and end up on shore or stuck on some plant or animal.

    The Green River Valley has 6 times the amount of oil known to exist in the world, and is located in a Federal area that is of no concern to anyone or thing... The oil is 10 feet into the side of a mountain or 10 feet below the surface. It was discovered in 2012, and exposed to Obama in January... Obama said "NO!!! It will create too many jobs".

    The official document was removed from the internet after too many people voiced their opinions to Obama, but there is still a copy on Butt eye .com

    We have to keep oil extraction on land where every part of the system can be immediately accessed by a repairman and the spills can be contained and cleaned up.

    Oil is vital, but there is no reason to destroy during the pursuit of getting it to us.

  • Report this Comment On July 06, 2013, at 12:49 AM, Oilvet wrote:

    Well they have been drilling offshore since just after WW2 so frankly this is you have no idea what your talking about

  • Report this Comment On July 06, 2013, at 8:01 AM, AceEvryDayefG3 wrote:

    I wanna job really bad!!! Off shore is interesting to me!! 23 yr old man live n Co i work hard!! Have 6yr degree n hard work

  • Report this Comment On July 07, 2013, at 3:30 PM, romeofoxtrot wrote:

    When discussing RDS/A why do you not include RDS/B? There is a difference. It is my understanding that The B should be used by IRA and other tax sheltered retirement fund investors and A would be appropriate for taxable investors. But this is just my understanding. Perhaps your readers would benefit if you shed some light on the differences between the two as to why "X" Would be the appropriate for Taxable investors whereas "Y" would be more appropriate for IRA and other tax-sheltered Retirement accounts

  • Report this Comment On July 07, 2013, at 6:03 PM, mfxsp wrote:

    AceEvryDayefG3: don't know about the job market at this time offshore but oil & gas business is booming in your state as well as in WY and ND. Pay is pretty good even for entry jobs. Might want to check it out.

Add your comment.

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: 2522764, ~/Articles/ArticleHandler.aspx, 9/24/2016 7:12:15 PM

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 21 hours ago Sponsored by:
DOW 18,261.45 -131.01 -0.71%
S&P 500 2,164.69 -12.49 -0.57%
NASD 5,305.75 -33.78 -0.63%

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

9/23/2016 4:00 PM
CVX $99.22 Down -0.76 -0.76%
Chevron CAPS Rating: ****
RIG $9.10 Down -0.55 -5.70%
Transocean CAPS Rating: ****
SDRL $2.03 Down -0.07 -3.33%
Seadrill CAPS Rating: ***
APC $59.50 Down -1.71 -2.79%
Anadarko Petroleum CAPS Rating: ****
PBR $9.18 Down -0.38 -3.97%
Petroleo Brasileir… CAPS Rating: **
RDS-A $47.97 Down -0.50 -1.03%
Royal Dutch Shell… CAPS Rating: ****