- Refined petroleum is the largest import market in Australia.
- Triangle Energy (Global) Ltd ASX: TEG (TEG) is a small West Australian explorer and producer.
- Finding a home for any barrels of oil won’t be difficult; getting it out of the ground is the hard part. A diverse range of opportunities and companies will aid in that task – enter TEG.
Triangle Energy (Global) Ltd ASX: TEG (TEG) is primarily involved in the exploration and production of oil and gas in Australia.
Australia’s population and its heavy industries are reliant on fossil fuels. In order to be able to meet the demand while not leaving itself open to geopolitical risks that might affect imports, Australia needs to increase its oil production.
To optimise the amount of oil available from its own resources, small Australian companies involved in exploration and production (E&P) have an essential role to play. They are exploring larger geographical areas and are diversifying the sources of capital needed for exploration and production.
Triangle Energy (Global) Ltd ASX: TEG (TEG)
With all of Triangle Energy’s production being sold to BP Singapore, the current cash flows are assured.
There is also potential for increases in production from their current assets through a combination of boosting output from existing reservoirs and the addition of new wells.
Top Australian Brokers
- eToro - market-leading social trading platform - Read our review
- IG - Extensive product array and user-friendly platforms - Read our review
- IC Markets - experienced and highly regulated - Read our review
- Avatrade - powerful trading tools - Read our review
TEG is a small producer and will need to continue to add to its existing portfolio of products in order to remain viable and provide a return to investors. For those willing to take a risk on the company’s management and the market, TEG can nicely complement a more comprehensive portfolio of investments in this industry.
Small E&P companies are subject to wide variations in their stock price, and TEG is no exception. If considering investing in TEG, assess the risk in some detail and only commit funds you can afford to lose.
Source: Yahoo!Finance
