BP...should i go long..??

counter_violent

Legendary member
9,813 2,518
BP is becoming known in the industry as having a terrible safety/ incident record, firstly on land and now off shore. This was the reason they pulled away from on shore refining and more in to exploratory and drilling. Now it seems they can't even get this side of the business right. They are setting themselves up for a fall from world leader to also ran in my not so humble opinion.
 

chilltrader

Experienced member
1,296 115
Find it funny when people have suddenly started knocking BP.

Granted its a bad spill but talk of the company closing down is hilarious!

Remember its a HUGE company with gargantuan capitalisation and assets.

Some of you might say.. "so what? even the banks which went down were big too!"..

But here's the difference.

BP does something useful, something tangible. It digs oil - which everyone needs.
and the last time I checked its more difficult to start an oil company than starting a swindle agency (i.e Banks/Hedge fund) :))
 

bigal60

Junior member
31 0
In my humble opinion you're absolutely right; 3-6 months from now it'll all be forgotten and there'll be a mass scrabble to buy in....think I'll go long £1 a point LIMIT to open at, say 480-500? Sound reasonable?

Big Al
 

trader_dante

Veteren member
4,535 1,476
Could you do worse?
Absolutely.
Worth a small punt now to get the ball rolling?
Yeah.
Worst case scenario?
You double your holding at 3 quid something.
Sound advice.

Real high probability trading.
 
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Splitlink

Legendary member
10,850 1,232
Talking of the company, not trading it. I remember reading about Milken and junk bonds. The point was that his were not "junk". The rest of Wall Street called them junk because they did not know better, at the time. They were companies with problems and bonds and shares went up and down in tandem but the former were loans and interest on them got paid before dividends. Also, in bankruptcy, they get repayed first. In fact, bondholders could end up with the company and shareholders with nothing---just, in theory, like Manchester United to-day.

Does anyone have any idea of their present yield and what they pay at par?
 

cr6196

Well-known member
444 76
Another thing is that under the 1990 Oil Protection Act the damages have to be split up, BP's share is 65%. An approximate is that if it runs at $60m/day for another 4 months the bill will be $7.2b...I didn't come up with this btw and there will probablly be a fine or something as well.
 

Splitlink

Legendary member
10,850 1,232
Credit Suisse reckon it could cost the company $17b. Who can tell what it will be once all the people on the coast start legislation. There are, also, the possible problems with the coming hurricane season. Can you imagine what something like Katrina could stir up and blow inland?
 

Splitlink

Legendary member
10,850 1,232
The knives are out for B P. How do I know ? Obama is leading the charge !
Obama is a disappointment to lots of people. I can't see what else he has done, except a little bit of health reform. He needs a scapegoat and BP is a nice, big one, with which everyone is p'd off.

Not that I say that they do not deserve it but they are an obvious target to take away a lot of Obama's woes.
 

chilltrader

Experienced member
1,296 115
Here's how a phone conversation between Obama and Cameron will go.

Cameron - Hey Barack, back off our Brit company mate
Obama - No way dude, its my chance to show the country what I'm made of!
Cameron - well.. in that case I'll need to rethink our troops position in Iraq and Afghanistan...
Obama - Hey Hey!! gotcha dude.. just cool down.. I'll ease up on BP...we want a "win-win" remember?!
 

Splitlink

Legendary member
10,850 1,232
Here's how a phone conversation between Obama and Cameron will go.

Cameron - Hey Barack, back off our Brit company mate
Obama - No way dude, its my chance to show the country what I'm made of!
Cameron - well.. in that case I'll need to rethink our troops position in Iraq and Afghanistan...
Obama - Hey Hey!! gotcha dude.. just cool down.. I'll ease up on BP...we want a "win-win" remember?!
I'm glad that Cameron has a bargaining chip. :)
 

Luminox

Junior member
44 2
Here's how a phone conversation between Obama and Cameron will go.

Cameron - Hey Barack, back off our Brit company mate
Obama - No way dude, its my chance to show the country what I'm made of!
Cameron - well.. in that case I'll need to rethink our troops position in Iraq and Afghanistan...
Obama - Hey Hey!! gotcha dude.. just cool down.. I'll ease up on BP...we want a "win-win" remember?!
:LOL: @ the thought of Cameron using the word 'mate'.
 

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