Energy Price Hike Fuels Opportunity in Oil and Gas Stocks
UK households are in for a shock as energy prices skyrocket by nearly 16% to almost £2,000 per month in January due to disruptions in global gas supplies.
This news puts large oil and gas companies firmly in the spotlight, creating opportunities for investors. Seplat Energy (LSE: SEPL) is one such company that offers exposure to upstream crude production and growing domestic Nigerian gas operations.
The company's revenue comes mostly from oil at $2.83 billion, with gas contributing around $192 million and natural gas liquids making up $127 million. The ANOH gas plant and Sapele Gas Integrated Project are set to commission soon, allowing Seplat Energy to capture rising demand for domestic gas in Nigeria.
Shell (LSE: SHEL) is another major player with a global energy and petrochemical presence, producing and trading crude oil, natural gas, LNG, and fuels worldwide. Its large LNG portfolio of over 60 million tons makes it vulnerable to volatility in the global gas market.