Hot Quality Companies To Watch In Right Now

Hot Quality Companies To Watch In Right Now: Pacific Coast Oil Trust (ROYT)

Pacific Coast Oil Trust is a statutory trust formed by Pacific Coast Energy Company LP (PCEC) to own interests in the Underlying Properties. As of December 31, 2011, the Underlying Properties consisted of the proved developed reserves on the Underlying Properties, which it refers to as the Developed Properties, and all other development potential on the Underlying Properties, which it refers to as the Remaining Properties. The Underlying Properties are located in California in the Santa Maria and Los Angeles Basins. PCEC produces oil and natural gas from its Orcutt properties in the Santa Maria Basin. The production in the Orcutt oilfield is produced from formations utilizing conventional production methods.

PCEC is engaged in the production and development of oil and natural gas from properties located in California. As of December 31, 2011, PCEC held interests in approximately 276 gross (215 net) producing wells, and had proved reserves of approximately 34. 1 million barrels of oil equivalent. The Underlying Properties consist of producing and non-producing interests in oil units, wells and lands located onshore in California in the Santa Maria Basin, which contains PCECs Orcutt properties, and the Los Angeles Basin, which contains PCECs West Pico, East Coyote and Sawtelle properties. As of December 31, 2011, there were 37 producing wells and six waterflood injection wells in the West Pico Unit. West Pico also includes three wells held by the Stocker JV, a joint venture between PCEC and PXP.

Advisors' Opinion:

• [By Rich Duprey]

  Perpetual royalty trustPacific Coast Oil Trust (NYSE: ROYT  ) announced yesterday its July distribution of $0.15721per unit. The amount of the trust's monthly distributions will fluctuate depending on the proceeds it receives from its owner, Pacific Coast Energy, as a result of actual production volumes, oil and gas prices, and develop! ment expenses. The current distribution relates to net profits and overriding royalties generated during May 2013.

• [By Robert Rapier]

  We do follow them, but generally dont like the risk/reward ratio for most MLP investors. I have had some conversations with investors who were chasing the 12-14% yields on these trusts without really appreciating the underlying risks. As you note,Pacific Coast Oil Trust(NYSE: ROYT) is near its 52-week low after declining by 25% over the past year. Those high yields provide little consolation given that sort of downside risk.

• [By Jake L'Ecuyer]

  Pacific Coast Oil Trust (NYSE: ROYT) down, falling 7.13 percent to $16.70 after the company priced a public offering by Pacific Coast Energy Company LP and other selling unitholders of 13,500,000 trust units at a price of $17.10 per unit.

source from Top Penny Stocks For 2015:http://www.seekpennystocks.com/hot-quality-companies-to-watch-in-right-now-2.html