For Talisman Energy, Things Might Get Worse Before They Get Better

Mon, 05/07/2012 - 13:13 EDT - Seeking Alpha

By Mitchel Husky: Given depressed natural gas prices, one cannot help but wonder if the window of opportunity for buying into natural gas stocks is opening. The current natural gas price is at around $2.5 per thousand cubic feet, which is about the lowest point in 10 years, largely due to the oversupply caused by the success of hydraulic fracturing. A subsequent upward price cycle may provide substantial profits in the future for those who buy into natural gas stocks now.Chesapeake Energy Corporation (CHK), one of the largest natural gas companies in the U.S., is a natural bet for those who want to gain exposure to natural gas. However, the news that Aubrey McClendon, the CEO of Chesapeake, runs a hedge fund betting on the same commodity Chesapeake is selling does not exactly inspire investors' confidence in the corporate governance of the company. The lack of confidence in the management's commitment toComplete Story »

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For Talisman Energy, Things Might Get Worse Before They Get Better

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