Tuesday, January 25, 2011

Didja Hear About Noble Energy's Big Gas Find Last Month? So Did the Israeli Tax man (NBL)

On Dec. 29 we posted "Noble Energy Has More Upside on Huge Gas Find (NBL)" with the stock at $87.50.
One week later, in a move that stunned Wall Street, it was "How Much will Noble Energy Be Taxed On Their Big Israeli Gas Find? (NBL)":
...Now the stock is trading at $83.86, down 4.16%, I forgot to post a major writeup by the Wall Street Journal, and a reader sends me some material non-positive (c'mon, you thought I'd say 'non-public' didn't you) information....
...Out at $83.86.
Now let's find a Yugoslav blackjack game! 
Yesterday the stock closed at $87.11.
Here's the latest from Upstream Online:

Israel plans gas tax hike
The Israeli government could take up to 62% of net profits from natural gas projects after the nation’s cabinet adopted recommendations from the Finance Ministry

The Finance Ministry panel, headed by economist Eytan Sheshinski, recommended keeping royalties at 12.5% while adding a progressive tax of between 20% and 50% of net profits – dependent on profitability.
In a statement, Israeli Prime Minister Benjamin Netanyahu said the cabinet had accepted all committee recommendations.

Reuters reports the bill will be submitted for parliamentary approval, and energy companies have vowed to fight the measure.

Israel currently takes 30% of net profits from the country's single existing gas field -- one of the world's lowest rates -- through a combination of taxes and royalties....MORE
I'm usually a devotee of Satchel Paige's dictum "Don't look back.... Something might be gaining on you." but in this case, if anyone missed the second post, here's another chance.