Why I love Enron O&G

Goldman says Oil is going to $20, Boone says $70, I say nobody knows. There are far too many exogenous variables to make any call on crude, Marc Rich (yes that Marc Rich) never tried to predict price. I do not care about EPS, I care about acreage, debt levels and lifting cost. $EOG has the largest acreage position in the Eagle Ford Shale play in South Texas. The Eagle Ford is superior to Marcellus etc. , because it is wetter (more oil than gas), decline curves are not as dramatic as Bakken Etc. , it has more discovery potential and it is less costly to frac. EOG has been drilling but not completing wells, so when the market does turn, they can ramp up production faster than any competitors. EOG has also been rumored as an acquisition target and is an excellent candidate. Go buy $CHK if you want a tax writeoff, buy $EOG if you want to make money.