Ameratex Energy is HIGHLY regarded as an
Authority in Oil and Gas Drilling in Texas.
Much of the speculative nature of oil-gas investments involves drilling to find oil reserves that
will be profitable to develop and money is sometimes spent where they are unsure as to the size
of the oil reserve or gas pocket.
On average, propane and heating oil prices have fallen in New England and Atlantic Canada by
about 10% since January 1st, 2012. The primary driver of heating oil and propane prices is the
price of crude oil, which has been falling since January 1st, 2012. Extreme weather, seasonal
demand, supply disruptions and speculation can also affect short-term propane and heating oil
prices. Therefore, to get an idea of where heating fuel prices could go, you have to understand
where crude oil prices could go.
Oil and gas investments are normally considered safe investments, as they are commodities
that will be used for a number of years in the United States. While the prices can fluctuate
greatly, large amounts of money can be made in oil-gas investments if you do some research
and buy or sell at the right time.
Why have crude oil prices dropped and where are they headed?
Crude prices have primarily gone down due to concerns over the economic growth rates of the
United States, China and Europe. Slower economic growth leads to lower demand for oil, and
therefore lower prices.
There are several ways that you can make investments with oil and gas, through company stock
purchase, mutual funds that invest in the energy sector or commodities trading. You need to do
research on when is a good time to buy and sell oil and gas investments. Right now, prices are
down, so we are nearing the bottom, because of the state of the economy. As the economy
comes back, oil and gas investments will go up in value.
These events will likely lead to lower 2012 crude oil prices:
Lower predictions for the global economic growth and recovery, and therefore lower oil demand;
No resolution to the European debt crisis, and therefore a belief that Europe's economies will
continue to suffer;
Conflicts in Africa and the Middle East get resolved in 2012 and oil supply increases (e.g.
Yemen, Syria, Sudan and Iran).
These events will most likely lead to higher 2012 crude oil prices:
Decrease in oil supply from African and Middle Eastern countries due to conflict or economic
sanctions (e.g. Yemen, Syria, Sudan and Iran);
AmeratexEnergy Forecasts for global economic growth improve, particularly in the United
States, China, or Europe;
The European debt crisis is resolved in 2012 and Europe's economies improve.
If it's really important for you to predict your budget for winter energy bills, then you should
consider a Price Protection Plan if you live in NH, Maine or VT, or a Cap Pricing Program if you
live in NB, NS, NF or PEI. With these options, you'll be able to budget for the upcoming heating
season. If you would prefer to pay a market price or are absolutely convinced that heating oil or
propane prices will fall from here, then you can choose a variable pricing option.