● Investing in Energy: A Primer on the Economics of the Energy Industry
By Gianna Bern
Excerpt via publisher, Bloomberg/Wiley
The energy industry is undergoing unprecedented change as it reacts to new challenges in safety, regulation, exploration, and alternative-energy initiatives. One need only layer on the global political environment and the long-ranging repercussions of the 2010 Gulf of Mexico oil spill or the turmoil in the Middle East to realize that the energy sector is as complex as it has ever been. From this increasing complexity springs the need for this book. The following pages present a framework for understanding the basic elements of energy-industry economics. While not covering geology or refining from technical standpoints, this book provides a framework for analyzing the industry’s basics and economics, and thereby helps prepare investors and other energy-industry professionals to more confidently venture forth into this vast and complex sector. This book explores various opportunities available to investors in the energy arena and provides tools to better equip those new and not so new to investing in oil, gas, and alternatively generated energy. Time-tested analytic tools and investment criteria are utilized to provide the reader a better understanding of the economics behind the various energy sectors. Thoughtful and deliberate use of these analytic tools should enable deeper understandings of opportunities and more confident investment decisions.
