Developing nations, comprising a massive portion of the world’s population, will witness huge energy demand in the years to come. As a result, the crude pricing scenario will continue to be highly favorable for upstream operations, brightening the outlook for EOG Resources (EOG - Free Report) , Matador Resources Company (MTDR - Free Report) and Diamondback Energy, Inc. (FANG - Free Report) .
Surging Energy Demand Outpacing Population Growth
Shaikh Nawaf al-Sabah, CEO of Kuwait Petroleum Corporation, believes that through 2050, the demand for energy across the globe will increase faster than the population growth rate. He estimated that by 2050, the global population will jump 25%, which will be lower than the pace of energy demand growth.
Nawaf al-Sabah added that in the developing world, three-quarters of a billion people lack access to electricity, while nearly 2.5 billion people do not have access to clean cooking solutions. Thus, in the coming decades, the energy market will experience significant crude demand, securing an extremely healthy oil pricing scenario.
Oil Stocks to Gain
Considering the backdrop, it would be wise to keep an eye on companies involved in oil and gas exploration and production in the prolific shale resources in the United States. Let’s focus on three such stocks.
EOG Resources holds substantial acreages in prolific oil shale plays such as Permian and Eagle Ford, with numerous untapped premium drilling locations, contributing to an optimistic production outlook. The company has consistently been witnessing a notable decrease in the debt-to-total capitalization ratio at the end of each of the last four reported quarters, reflecting a strong debt reduction strategy.
Matador Resources has a strong presence in the oil-rich core acres of the Wolfcamp and Bone Spring plays in the Delaware Basin. In the sub-basin of the broader Permian, the company has a vast inventory of drilling areas that will back the exploration and production company’s production volumes.
Diamondback Energy, a leading pure-play Permian operator, has reported ongoing enhancements in the average productivity per well in the Midland Basin. Thus, the exploration and production company is likely to continue witnessing increased production volumes. FANG also has an investment-grade balance sheet.
Zacks Names #1 Semiconductor Stock
It's only 1/9,000th the size of NVIDIA which skyrocketed more than +800% since we recommended it. NVIDIA is still strong, but our new top chip stock has much more room to boom.
With strong earnings growth and an expanding customer base, it's positioned to feed the rampant demand for Artificial Intelligence, Machine Learning, and Internet of Things. Global semiconductor manufacturing is projected to explode from $452 billion in 2021 to $803 billion by 2028.
See This Stock Now for Free >>
Developing nations, comprising a massive portion of the world’s population, will witness huge energy demand in the years to come. As a result, the crude pricing scenario will continue to be highly favorable for upstream operations, brightening the outlook for EOG Resources (EOG - Free Report) , Matador Resources Company (MTDR - Free Report) and Diamondback Energy, Inc. (FANG - Free Report) .
Surging Energy Demand Outpacing Population Growth
Shaikh Nawaf al-Sabah, CEO of Kuwait Petroleum Corporation, believes that through 2050, the demand for energy across the globe will increase faster than the population growth rate. He estimated that by 2050, the global population will jump 25%, which will be lower than the pace of energy demand growth.
Nawaf al-Sabah added that in the developing world, three-quarters of a billion people lack access to electricity, while nearly 2.5 billion people do not have access to clean cooking solutions. Thus, in the coming decades, the energy market will experience significant crude demand, securing an extremely healthy oil pricing scenario.
Oil Stocks to Gain
Considering the backdrop, it would be wise to keep an eye on companies involved in oil and gas exploration and production in the prolific shale resources in the United States. Let’s focus on three such stocks.
EOG Resources holds substantial acreages in prolific oil shale plays such as Permian and Eagle Ford, with numerous untapped premium drilling locations, contributing to an optimistic production outlook. The company has consistently been witnessing a notable decrease in the debt-to-total capitalization ratio at the end of each of the last four reported quarters, reflecting a strong debt reduction strategy.
Matador Resources has a strong presence in the oil-rich core acres of the Wolfcamp and Bone Spring plays in the Delaware Basin. In the sub-basin of the broader Permian, the company has a vast inventory of drilling areas that will back the exploration and production company’s production volumes.
Diamondback Energy, a leading pure-play Permian operator, has reported ongoing enhancements in the average productivity per well in the Midland Basin. Thus, the exploration and production company is likely to continue witnessing increased production volumes. FANG also has an investment-grade balance sheet.
Zacks Names #1 Semiconductor Stock
It's only 1/9,000th the size of NVIDIA which skyrocketed more than +800% since we recommended it. NVIDIA is still strong, but our new top chip stock has much more room to boom.
With strong earnings growth and an expanding customer base, it's positioned to feed the rampant demand for Artificial Intelligence, Machine Learning, and Internet of Things. Global semiconductor manufacturing is projected to explode from $452 billion in 2021 to $803 billion by 2028.
See This Stock Now for Free >>
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