Energy Industry Icon Re Affirms Oil and Natural Gas Prices will Correct to Downside; Recommends Investors Go to the Sidelines Quickly

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MIAMI, Sept. 13 /-USNewswire/ -- Karl W. Miller, a senior energy executive and institutional investor, today issued the following statement through his advisor VBCC, regarding the state of the U.S. Equity Markets and the Energy Industry.

Mr. Miller recently issued a sell recommendation on the US Natural Gas producers, and called for Natural gas to trade below $3 mmbtu in the U.S. last week.

Mr. Miller re affirms expectations for natural gas to correct to the $2.50 to $2.75 mmbtu price range and will continue getting cheaper, as there are no sustainable demand drivers.

Thus, the natural gas pipeline, master limited partnerships (MLP's) and natural gas producers will suffer substantially reduced earnings during the next 6-8 quarters and are substantially overvalued at the current time.

Mr. Miller recommends that the sidelines are the best placement of capital at the current time. The real buying opportunity will come, but now is not the time.

Mr. Miller continues to warn that China will be irrelevant to the U.S. economy and energy complex at for the next 12-18 months, given the fact that there is no fundamental U.S. demand and the U.S. dollar is substantially disadvantaging any minor demand that might arise in the near term.

Mr. Miller continues to remind institutional and retail investors that the Oil and Natural Gas markets and prices are decoupled in the U.S. and investors should not chase a speculatively driven oil price when it has nothing to do with the fundamentals on the ground relating to Natural Gas production and demand in the United States.

Oil is a dollar based, but has no linkage to natural gas in the U.S. as it does in Europe and Asia.

Mr. Miller retains a sell recommendation on U.S. publicly listed renewable energy companies. He predicts will see many of these companies, which are reliant upon massive government subsidies, state approval of pass through price increases, and highly levered fail and/or will be purchased at distressed prices when the bust comes, and it is sure to come.

About Mr. Miller

Mr. Miller is a globally recognized energy executive and institutional investor with a balance of both financial and energy sector expertise. Mr. Miller began his career on Wall Street during the 1980's and has an extensive background in banking, commodities trading and risk management.

Mr. Miller has a long history in the global energy business and has held a variety of executive management positions both within the United States, Europe and Asia. Mr. Miller has bid on over $25 billion in energy related assets during his career.

Mr. Miller has built, restructured and managed energy businesses for major public energy companies on several continents, including PG&E Corporation, Electricite de France, El Paso Energy, Enron Corporation and JPMorgan Chase.

Mr. Miller holds an MBA in Finance from the Kenan-Flagler Business School at The University of North Carolina, Chapel Hill. Mr. Miller also holds a B.A. in Accounting from Catholic University located in Washington DC.

Mr. Miller is currently on medical leave until late 2009.

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