Oil options have reached historic levels. While the $100 call per barrel are the most widely held option now in WTI Crude, according to the Wall Street Journal, Fox News and the WSJ some investors are betting Brent Crude may hit $200 by December 2022. Last evening, both oil benchmarks rose again. WTI crude closed at $81.83 and Brent Crude settled at $84.59.
For Allied Energy Corp. (OTCMKTS: AGYP), this is an unprecedented global market. Global energy prices make its oil and gas reserves even more valuable. AGYP recently announced it hit oil and natural gas on three wells on its Annie Gilmer Lease site. That is in addition to the two wells pumping oil and natural gas now at AGYP’s Green Lease Site. AGYP is now producing oil and gas from five wells on U.S. soil.
AGYP stock closed at $0.2920 yesterday, off 7.32% in heavy volume of 475,044.
AGYP’s catalyst is that it is now an oil producer. This is a eco-green company making established but abandoned wells commercial again. Its experienced management uses new technology, such as horizontal ‘legs’, down hole drilling and fracking, to re-energize proven well sites. These were once commercial well sites.
“I haven’t seen crazy strikes like this in a long time. The momentum and trend is higher,” said Mark Benigno, co-director of energy trading at StoneX Group, Inc., told Fox News. John Gretzinger, Partner at Flashpoint Energy Partners, declared in the WSJ, “It’s just a bit of a wild market right now.”
Oil prices have hit a 7-year high. $100-$200 per barrel options on oil futures mean energy experts see high prices ahead. AGYP is positioned on the right side of things.
AGYP has hit oil on its Annie Gilmer Lease Site. It hit oil and gas prior at its Green Lease site. Recently, it acquired the Prometheus site exploring for more oil and gas. Hitting oil and natural gas at the Annie Gilmer lease site continues the successful momentum of AGYP. The company is focusing its attention on wells 1, 2 and 5. All three have been producing oil and natural gas since October 11, the Company said.
Representatives of AGYP have identified a regional natural gas purchasing company and are presently working on securing a Gas Purchase agreement, the Company announced.
AGYP recently announced it had completed acquisition of the Prometheus Lease site in Texas. Curtis Boyles, Allied project manager, will be on the ground at the Prometheus Lease focusing attention on well H-1.
An oil engineer last summer pegged AGYP’s oil and gas reserves at $32 million at the Annie Gilmer and Green Lease sites last July at a $46/barrel price. Market prices now (quoted above) are approaching double that. Plus there may be additional oil and gas finds at the newly-acquired Prometheus site.
Analysts say oil prices will grow to $+90/bbl and higher. Goldman Sachs predicts $90/bbl oil by year’s end. Some analysts believe high oil prices could be “here to stay.” These estimates could prove to be conservative. Oil experts are betting on options that oil could surpass $100 per barrel.
AGYP posted video tweets of the Annie Gilmer site well preparing for oil production.That tweet showed the Pumpjack installation on Gilmer’s first well.
The 28 Unit Well 1H at the Prometheus well site was a commercial producer. It was pumping 200 barrels of oil daily as late as 2016.
Keep AGYP on your Watchlist. Energy stocks are growing higher in a historic market. Link to more news are at https://alliedengycorp.com/ and https://twitter.com/AlliedEnergyCo1
