oil and gas

Oil prices continue to strengthen as COVID-19 travel and other restrictions ease. Despite new government regulations to limit carbon emissions, crude prices will remain elevated as producers like Chevron focus on improving their efficiency instead of increasing production....

RUSSEL METALS INC., $33.44, is a buy. Through their shares, investors tap one of North America’s largest metal distributors: the company (symbol RUS on Toronto) serves 33,000 clients at 48 locations in Canada and 16 others in the U.S.

Russel’s revenue in the three months ended December 31, 2021, jumped 70.9%, to $1.15 billion from $671 million a year earlier....

TC ENERGY INC., $66.81, Toronto symbol TRP, remains a buy for long-term gains and income.

TC generates steady cash flow for investors mainly through a 93,300-kilometre pipeline network that pumps natural gas from Alberta to eastern Canada and the U.S....

Oil and gas prices have moved up lately. But the future direction of energy prices depends on a lot of things, particularly economic growth rates around the world in the wake of COVID-19. Meanwhile, though, well-established companies in the industry took advantage of the earlier setback to pick up properties and employees who might be harder to find in more-prosperous times.


Those top companies also have the strength to survive, even if energy prices drop and to continue paying dividends....

A: Ninepoint Energy Fund is a mutual fund that holds a portfolio of mid-cap energy companies.

Prior to March 12, 2018, the mutual fund was called the Sprott Energy Fund.

Ninepoint Energy Fund invests primarily in equity and equity-related securities of mid-tier companies that are involved in the exploration, development, production and distribution of oil, gas, coal, uranium or other related activities in the energy and resource sector.

The fund’s current top holdings are Arc Resources, Baytex Energy, Cardinal Energy, Cenovus Energy, Enerplus, Headwater Exploration, Meg Energy, Nuvista Energy, Tamarack Valley Energy, and Whitecap Resources.

Ninepoint is managed by Eric Nuttall, who feels that his numerous company relationships in the energy industry are a big plus.

The fund gained a whopping 242.5% over the last year along with a jump in oil and gas prices....

A: Tidewater Midstream and Infrastructure Ltd., $1.32, symbol TWM on Toronto (Shares outstanding: 339.1 million; Market cap: $457.9 million; www.tidewatermidstream.com), purchases, sells and transports natural gas and natural gas liquids (NGLs) throughout North America and to overseas markets.

Tidewater is also engaged in the acquisition and development of oil and gas infrastructure, including gas plants, pipelines, export terminals and storage facilities.

The company first sold shares to the public and began trading on the TSX Venture Exchange on April 15, 2015, at $1.00 each....

In addition to Cenovus (see page 21), we also like the outlook for these three leading oil producers. All of them are using their improving cash flows to pay down debt, which helps protect them if crude prices weaken. As well, each is raising its dividend and buying back shares.


SUNCOR ENERGY INC....

Despite volatile crude prices, we continue to advise all investors to maintain some exposure to the oil and gas industry. That advice reflects oil’s huge importance to global economic growth even as governments impose new regulations to cut carbon emissions.


We also recommend investors stick with well-established producers like Cenovus....

The performance of energy services companies is highly dependent on the willingness of their oil and gas production customers to spend money on exploration and new infrastructure. Note, energy producers spend more readily when they generate strong profits and cash flow.


Meantime, the higher oil and gas prices that prevailed for most of 2021 are now creating a return to pre-COVID-19 capital spending by many producers.


Energy producers are inclined to expand their operations and upgrade their facilities when they become more profitable....

Oil and gas prices are up strongly as the U.S. and other economies continue to recover. That has now prompted oil and gas producers to boost exploration to meet rising demand. In fact, demand should remain elevated for several years to come as the world continues to rely on fossil fuels even as it shifts to more-sustainable renewable energy sources.


Here are two energy-services ETFs that stand to gain from what should be an expanding drilling market....