CNBC Pro

Energy investing is 'speculative gambling,' says pro with 20 years in the industry

Share
A derrick man secures a length of drill pipe during drilling on a natural gas drill rig near Montrose, Pennsylvania, U.S., on Monday, April 5, 2010.
Daniel Acker | Bloomberg | Getty Images

(This story is for CNBC PRO subscribers only.)

Since dropping into negative territory for the first time on record in April, West Texas Intermediate, the U.S. oil benchmark, has staged a record rebound and now trades around the $39 level. But David Ramsden-Wood, who has 20 years of experience in the industry and was previously COO of OneEnergy Partners, said the recent run is nothing to cheer about, and investors should steer clear of the sector.

"I have a hard time seeing oil above $40, and I would probably say it averages $30 for the next 12 to 18 months as supply around the world, and in particular in the U.S. and Canada, comes down to match global demand," he said Tuesday in discussion with CNBC's Brian Sullivan during the latest installment of the LIVE PRO Talk series. 

More In Pro Talks

VIDEO32:42
CNBC ProCNBC Pro Talks: Veteran fund manager Hugh Young shares his top stock picks and weighs in on China's crackdown
watch now
VIDEO46:02
CNBC ProCNBC PRO Talks: Star small-cap manager Amy Zhang unveils her top stock picks
watch now
VIDEO28:40
CNBC ProEquity outlook and opportunities with BofA's Sebastian Raedler