Investors snap up energy and mining stock

Angus Rigby, Chief Executive Officer, TD Waterhouse comments: "Ahead of the G20 summit investors turned to the energy sector this week, with two new entrants in the buys - Tullow Oil and Petroceltic International - while Gulf Keystone Petroleum climbed to third position in the top ten buys."

"As the price of oil spills over $73 a barrel, G20 representatives expect a potential oil spike sparking higher business costs and consumer price inflation, which could pose a threat to economic recovery. Energy and mining stock accounted for almost half (47%) of this week's total buy trades amid speculation from industry experts that oil will extend beyond $100 a barrel - considerably higher than the lows of $32 back in December 2008.

"Gulf Keystone Petroleum accounted for 27% of the top ten mining stock trades this week after it appointed an independent consultant to evaluate discoveries in its North Iraq-based well. Global Advisors will provide a third party assessment of the Shaikan-1 well. The reassuring move appears to have been received well by investors as shares in the company rose as high as 91½p on Monday. Shares in the firm previously surged at the end of August after it revised its estimate of ‘oil-in-place' at the well from 1.5bn barrels to between 1.5bn and 3bn barrels.

"Among the numerous energy firms entering the top ten this week, newcomer Tullow Oil reached seventh place in the top ten buys after making significant discoveries in Sierra Leone and Uganda. The Irish oil exploration company accounted for 14% of the top ten energy and mining buys after announcing the finding at its wholly-owned Ngassa-2 exploration well. Following the announcement on Thursday, shares shot to 1245p, helping the firm's shares reach an annual increase of 51.63%.

"Customers also snapped up shares in Petroceltic International, which climbed into tenth place in the top ten buys after announcing better than expected results on its AT-1 test well based in Algeria. The well was tested at the Ordovician zone at a depth of 1915 meters - causing shares in the firm to rise as much as 18%, climbing to a 52-week high of 21p. Last Friday the firm announced that BlackRock Group is the registered owner of 95,009,697 ordinary shares - representing 6.96% of Petroceltic International's issued ordinary share capital."