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by Stockwatch Business Reporter

West Texas Intermediate crude for July delivery lost 11 cents to $51.36 on the New York Merc, while Brent for July lost 19 cents to $53.96, as traders jockeyed for position ahead of tomorrow's OPEC meeting in Vienna (all figures in this para U.S.). Western Canadian Select traded at a discount of $10.30 to WTI ($41.06), unchanged. Natural gas for June lost one cent to $3.21. The TSX energy index lost 1.87 points to close at 194.42.

Saskatchewan Viking producer Raging River Exploration Inc. (RRX) lost 12 cents to $8.37 on 1.05 million shares. The drop came despite a lovely mention in a research note yesterday by TD Securities analyst Juan Jarrah, who upgraded the stock to "action list buy" from "buy" while leaving his price target at $11.50. Mr. Jarrah praised Raging River for having "some of the most attractive capital efficiencies of any oil player we follow, and one of the best balance sheets." The stock has nonetheless fallen toward $8 from a high of nearly $12 last October. In Mr. Jarrah's opinion, all Saskatchewan-focused producers are being "overlooked" by the market these days, and Raging River in particular is being "disproportionately penalized" despite its productive and low-cost assets. Even if WTI oil prices head toward $40 (U.S.), Raging River could keep its production flat at about 20,400 barrels of oil equivalent a day for the next two years by spending within its means, said Mr. Jarrah. At higher oil prices, he reckons that the company will generate cash flow that could be used to "grow organic production, acquire assets accretively or even test new play concepts elsewhere in the basin."

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